Latest News

Russia to increase exports to China in strategic shift

Bob Tippee — Fri, 24 May 2013 21:48:00 GMT

In a change of market strategy with geopolitical implications, Russia is increasing exports of crude oil to China at the expense of other Pacific Basin importers.

US drilling rig count down 7 units to 1,762

OGJ editors — Fri, 24 May 2013 18:01:00 GMT

The US drilling rig count was down 7 units during the week ended May 24, reaching a total of 1,762 rotary rigs working, Baker Hughes Inc. reported.

MARKET WATCH: Oil price decline slows ahead of Memorial Day weekend

Sam Fletcher — Fri, 24 May 2013 17:45:00 GMT

The recent decline in oil prices slowed to a trickle in volatile trading May 23 ahead of the extended Memorial Day holiday weekend that marks the start of the summer driving season in the US.

GOP senators to Obama: Approve Keystone XL on its own merits

Nick Snow — Fri, 24 May 2013 17:36:00 GMT

Approval of the Keystone XL crude oil pipeline project should be based on its merits, and not linked to higher taxes or more regulations, John A. Barrasso (Wyo.), John Hoeven (ND) and 22 other US Senate Republicans said in a May 23 letter to US President Barack Obama.

FracFocus registry to be more accessible, Senate committee told

Nick Snow — Fri, 24 May 2013 17:25:00 GMT

FracFocus, the online registry of chemicals and other hydraulic fracturing ingredients, will become easier to use when its new version goes into operation on June 1, a witness said during the US Senate Energy and Natural Resources Committee’s final natural gas forum.

Rosneft, PDVSA unit to form Orinoco JV

OGJ editors — Fri, 24 May 2013 17:09:00 GMT

Rosneft and a subsidiary of Petroleo de Venezuela SA have signed an agreement to form a joint venture to develop heavy oil resources in Venezuela’s Orinoco belt.

RIL group has deep KG-D6 strike off India

OGJ editors — Fri, 24 May 2013 16:57:00 GMT

Reliance Industries Ltd. and partners plan an appraisal program with a view to developing a deepwater natural gas and condensate discovery on the controversial KG-D6 Block offshore eastern India.

ExxonMobil, InterOil in talks over Papua New Guinea assets

OGJ editors — Fri, 24 May 2013 16:38:00 GMT

InterOil Corp. and its joint venture partner, Pacific LNG Group, are talking with ExxonMobil Papua New Guinea Ltd. regarding development of Elk and Antelope gas-condensate fields.

Statoil to get stake in Tanzania Block 6

OGJ editors — Fri, 24 May 2013 15:44:00 GMT

Statoil has agreed to acquire a 12% working interest in 5,549-sq-km Block 6 offshore Tanzania from Petrobras Tanzania Ltd., the operator.

Flexibility in fracing reg seen still an open question

OGJ editors — Thu, 23 May 2013 22:09:00 GMT

Increased flexibility for operators remains an open question in a revised proposal for federal regulation of hydraulic fracturing, according to a May 23 legal update by Roger W. Patrick of the law firm Mayer Brown.

Shell lets subsea contract for Stones field development

OGJ editors — Thu, 23 May 2013 21:30:00 GMT

Royal Dutch Shell PLC has let a subsea equipment contract to FMC Technologies Inc. in a move to continue development of Stones oil and gas field in the Gulf of Mexico.

First Yamal hydraulic frac jobs reported

OGJ editors — Thu, 23 May 2013 18:10:00 GMT

Gazprom Neft has conducted what it says is the first hydraulic fracturing ever on Russia’s Yamal Pensinsula at geologically complex Novoport oil and gas condensate field.

Lundin plugging dry hole offshore Norway

OGJ editors — Thu, 23 May 2013 17:57:00 GMT

Lundin Petroleum AS, Stockholm, is plugging its 7/4-3 exploratory well on PL495 in the North Sea offshore Norway as a dry hole (OGJ Online, Apr. 5, 2013).

Das Island flare contracts awarded

Warren R. True — Thu, 23 May 2013 17:51:00 GMT

Abu Dhabi Marine Operating Co. (ADMA-OPCO) has awarded Technip, Paris, a lump-sum turnkey contract for engineering, procurement, construction, precommissioning, commissioning, and start-up assistance for flare modifications and revamp on Das Island.

Oklahoma gas plant starts up

OGJ editors — Thu, 23 May 2013 17:43:00 GMT

Caballo Energy LLC, Tulsa, has started up a 60-MMcfd gas processing plant near Carmen, Okla., in Alfalfa County, bringing Caballo’s total processing capacity in the region to about 100 MMcfd (OGJ Online, Sept. 18, 2012).

Total to add hydrocracker at Antwerp

OGJ editors — Thu, 23 May 2013 17:37:00 GMT

Total plans a €1 billion modernization of its Antwerp, Belgium, refining and petrochemical complex that will include new upgrading capacity at the 338,000-b/cd refinery.

BASF Total cracker revamped to run ethane

OGJ editors — Thu, 23 May 2013 17:30:00 GMT

BASF Total Petrochemicals LLC (BTP) has completed a revamp of its steam cracker in Port Arthur, Tex., enabling the 1-million-tonne/year facility to process ethane, supply of which is increasing from US shale plays.

Canadian LNG project awards FEED contract

OGJ editors — Thu, 23 May 2013 17:20:00 GMT

Pacific NorthWest LNG Ltd. has awarded the front-end engineering and design contract for the 12-million tonne/year project to three contractors: Bechtel, KBR/JGC joint venture, and Technip/Samsung Engineering/China Huanqiu joint venture.

Methane hydrate test used special ESP

OGJ editors — Thu, 23 May 2013 16:52:00 GMT

Depressurization in a pioneering test flow of methane from hydrates offshore Japan earlier this year involved a specially designed electric submersible pump system able to separate methane from water and move them to the drillship through separate production strings (OGJ Online, Mar. 12, 2013).

PetroBakken renamed Lightstream Resources

OGJ editors — Thu, 23 May 2013 16:42:00 GMT

PetroBakken Energy Ltd., Calgary, has received shareholder approval for a name change, effective immediately, to Lightstream Resources. Ltd.

MARKET WATCH: Uncertain economy pulls down oil prices

Sam Fletcher — Thu, 23 May 2013 16:17:00 GMT

Crude prices continued falling but at a faster pace May 22, down 2% in the New York futures market on disappointing inventories, a stronger dollar, and lackluster progress in the US economy.

Warner-Kaine bill would restore Virginia sales to 2012-17 OCS plan

Nick Snow — Thu, 23 May 2013 16:07:00 GMT

Virginia’s two US senators, Democrats Mark R. Warner and Timothy M. Kaine, introduced legislation that would revise the US Bureau of Ocean Energy Management’s 2012-17 Outer Continental Shelf program by restoring to the schedule a lease sale off the state’s coast.

Noble makes another gas strike offshore Israel

OGJ editors — Thu, 23 May 2013 15:31:00 GMT

Noble Energy Inc. and partners have added to a series of natural gas discoveries in deep water offshore Israel.

US House passes Keystone XL bill despite White House's veto threat

Nick Snow — Thu, 23 May 2013 14:53:00 GMT

The US House approved Rep. Lee Terry’s (R-Neb.) bill to bypass the White House and congressionally authorize construction of the Keystone XL crude oil pipeline’s northern segment by 241 to 175 votes on May 22.

European officials, industry leaders seek energy reform

OGJ editors — Wed, 22 May 2013 18:09:00 GMT

European officials and industry leaders have taken steps toward reviving energy-market reform and setting long-term targets for renewable energy.

QPI invests in Total E&P Congo

OGJ editors — Wed, 22 May 2013 18:03:00 GMT

Qatar Petroleum International (QPI) agreed to acquire a 15% stake in Total E&P Congo, stating this reinforces its commitment to invest in Africa.

MARKET WATCH: Oil prices end brief rally as dollar strengthens

Sam Fletcher — Wed, 22 May 2013 17:49:00 GMT

Oil prices fell with front-month crude down 0.6% in the New York futures market May 21 as the US dollar rallied in expectation the Federal Reserve Bank would maintain current efforts to stimulate the national economy.

Max Petroleum logs pay in Kazakh appraisal

OGJ editors — Wed, 22 May 2013 17:16:00 GMT

Max Petroleum PLC, London, has run production casing in an appraisal well it plans to test in Baichonas West field in Kazakhstan.

Kansas refinery to pay air-quality penalty

OGJ editors — Wed, 22 May 2013 16:46:00 GMT

Coffeyville Resources Refining & Marketing has agreed to pay a $300,000 civil penalty to settle alleged violations of federal air-quality requirements at its 115,000-b/d refinery at Coffeyville, Kan.

EPA proposes Tier 3 vehicle emission, gasoline sulfur limits

Nick Snow — Wed, 22 May 2013 16:36:00 GMT

The US Environmental Protection Agency proposed standards to reduce vehicle emissions and sulfur content in gasoline beginning in 2017. Comments on the so-called Tier 3 requirements will be accepted until June 13, EPA said on May 21.

Spain: Union Fenosa group shoots 3D in Rioja area

OGJ editors — Wed, 22 May 2013 15:02:00 GMT

Union Fenosa Gas Exploracion y Produccion SAU, Soc. de Hidrocarburos de Euskadi SA, and Oil & Gas Skills SA have completed a 232 sq km 3D seismic survey in the Rioja area of northern Spain.

Namibia: HRT finds noncommercial oil at Walvis well

OGJ editors — Wed, 22 May 2013 14:46:00 GMT

HRT Participacoes em Petroleo SA, Rio de Janeiro, said its Wingat-1 well on Block 2212 in the Walvis basin offshore Namibia found noncommercial amounts of oil and is being plugged.

Deloitte: Shale gas, oil potential increasingly apparent

Nick Snow — Tue, 21 May 2013 21:57:00 GMT

Oil and gas production from tight shale formations clearly is a long-term phenomenon and not a short-term trend, Deloitte LLP officials told reporters. The financial services company found growing confidence in unconventional energy resources in a survey it conducted last year, said John England, a vice-chairman and leader of its oil and gas practice.

Barclays: US gas exports to Mexico will accelerate

Warren R. True — Tue, 21 May 2013 20:37:00 GMT

As the US debates exporting more plentiful natural gas from new liquefaction along the East and Gulf coasts, gas exports to Mexico in the past 3 years have doubled, according to a recent research note from Barclays.

Shell official: Innovation, cooperation key to future energy success

Nick Snow — Tue, 21 May 2013 19:50:00 GMT

A combination of innovation and cooperation will be necessary to meet the world’s future energy needs, a Shell Downstream Inc. official forecast.

Pipeline okayed for Alberta blended bitumen

OGJ editors — Tue, 21 May 2013 18:03:00 GMT

Laricina Energy Ltd., Calgary, has received approval from the Energy Resources Conservation Board of Alberta for its Stony Mountain Pipeline (SMP) in the western Athabasca oil sands region.

Rosneft changes accommodate TNK-BP merger

OGJ editors — Tue, 21 May 2013 17:39:00 GMT

Rosneft has made a series of management changes in connection with its merger of TNK-BP, which it acquired from BP and the AAR group earlier this year (OGJ Online, Mar. 21, 2013).

European Parliament approves offshore oil, gas safety directive

Paula Dittrick — Tue, 21 May 2013 17:23:00 GMT

The European Parliament authorized a new offshore oil and gas operations directive that requires operators to prove their ability to cover potential liabilities and to submit major hazard reports and emergency response plans before operations start.

Growth easing for MENA oil exporters

OGJ editors — Tue, 21 May 2013 17:13:00 GMT

Economic growth rates of oil exporters in the Middle East and North Africa (MENA) are moderating as oil production flattens in response to modest global demand, reports the International Monetary Fund.

Plains All American to build W. Oklahoma oil line extension

OGJ editors — Tue, 21 May 2013 17:04:00 GMT

Plains All American Pipeline LP (PAA) is building a 95-mile extension of its existing Oklahoma crude oil pipeline system to service increasing production from the Granite Wash, Hogshooter, and Cleveland Sands producing areas in western Oklahoma and the Texas Panhandle.

MARKET WATCH: Oil, gas prices continue to increase

Sam Fletcher — Tue, 21 May 2013 16:49:00 GMT

Oil and gas prices continued climbing May 20 amid optimism for a US economic recovery and the prospect of increased demand for crude this summer. Natural gas was up 0.8% on forecasts for warmer weather for most of the country.

Mining firm getting closer to acquiring Plains E&P

OGJ editors — Tue, 21 May 2013 16:29:00 GMT

Freeport-McMoRan Copper & Gold Inc. and Plains Exploration & Production Co. said a majority of Plains shareholders have approved Freeport-McMoRan’s pending acquisition of Plains during a special May 20 meeting.

Solar EOR system commissioned in Oman

OGJ editors — Tue, 21 May 2013 16:01:00 GMT

Petroleum Development Oman and GlassPoint Solar have commissioned a solar enhanced oil recovery system at Amal West oil field in southern Oman (OGJ Online, Aug. 4, 2011).

Higher gas prices unlikely under several scenarios, BPC study finds

Nick Snow — Tue, 21 May 2013 15:28:00 GMT

US natural gas prices are unlikely to rise markedly under a variety of scenarios, including those with increased demand across multiple sectors, a study by the Bipartisan Policy Center’s Energy Project staff concluded.

Alaskan government proposes new ANWR crude oil resource study

Nick Snow — Mon, 20 May 2013 22:10:00 GMT

Alaska’s state government proposed that a new study of potential crude oil resources beneath the Arctic National Wildlife Refuge’s coastal plain be conducted before the Obama administration decides whether to designate more of the refuge as wilderness and wild and scenic rivers.

Cabot using Marcellus field gas to fracture wells

OGJ editors — Mon, 20 May 2013 21:22:00 GMT

Cabot Oil & Gas Corp. said it is using natural gas from the Marcellus shale in Susquehanna County, Pa., to fracture wells via dual-fuel technology in a process that can displace as much as 70% of the diesel fuel traditionally used to operate hydraulic fracturing equipment.

ACC details US chemical rebound from abundant, affordable gas

Nick Snow — Mon, 20 May 2013 20:24:00 GMT

Abundant, affordable US natural gas supplies resulted in 97 announced chemical and plastics projects totaling $71.7 billion in potential new investment, the American Chemical Council said in a recent report.

IOC develops biodiesel coprocessing method

OGJ editors — Mon, 20 May 2013 18:38:00 GMT

State-owned Indian Oil Corp. Ltd. (IOC) has developed and commercialized a technology for coprocessing nonedible vegetable oil in a refinery diesel hydrotreating unit to make biodiesel.

Hercules Offshore agrees to sell most of its inland fleet

OGJ editors — Mon, 20 May 2013 18:31:00 GMT

Hercules Offshore Inc. agreed to sell 11 inland barge rigs, which includes 3 active rigs, 8 cold-stacked rigs, and related assets for $45 million.

Fletcher Finucane oil production starts off W. Australia

Rick Wilkinson — Mon, 20 May 2013 18:22:00 GMT

Oil production has started ahead of schedule from Fletcher Finucane oil field offshore Western Australia in the Carnarvon basin, project operator Santos Ltd. reported.