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  • Gazprom, PetroVietnam to Jointly Develop Two Russian Fields

    Gazprom and PetroVietnam Oil and Gas Group (PVN) signed a framework agreement for joint development of the Nagumanovskoye (Orenburg Region) and Severo-Purovskoye (Yamal-Nenets Autonomous Area) fields in Russia.The agreement outlines the timeline for decision-making to start the development operations, a...

    Gazprom, PetroVietnam to Jointly Develop Two Russian Fields
    Others

    Gazprom and PetroVietnam Oil and Gas Group (PVN) signed a framework agreement for joint development of the Nagumanovskoye (Orenburg Region) and Severo-Purovskoye (Yamal-Nenets Autonomous Area) fields in Russia.

    The agreement outlines the timeline for decision-making to start the development operations, a marketing concept as well as general principles of price setting and project financing.

    The Gazpromviet joint company, wherein Gazprom holds a 51% stake and PetroVietnam holds a 49% stake, will be responsible for the implementation of the agreement.

    View Gazprom press release

  • Freeport LNG to Begin Construction of Trains 1 & 2

    Freeport LNG will begin the construction of the first two liquefaction trains of the Freeport LNG project located near the Brazoria County, Texas. The first liquefaction train is expected to start operations in Q3-2018, with the second train expected to commence operations five months thereafter.The company...

    Freeport LNG to Begin Construction of Trains 1 & 2
    Projects & Capex

    Freeport LNG will begin the construction of the first two liquefaction trains of the Freeport LNG project located near the Brazoria County, Texas. The first liquefaction train is expected to start operations in Q3-2018, with the second train expected to commence operations five months thereafter.

    The company plans to pay for most of the project - about $8.4 billion - with loans from an array of Japanese banks. The remaining $2.5 billion will come from two Japanese companies - Osaka Gas and Chubu Electric Power - that previously contracted to buy liquefied natural gas from the facility.

    View Freeport LNG press release

  • Data analysis Tag Finds Oil, Gas in Taranaki Basin's Cheal-E6 Well

    Tag Oil has intersected over 9m of net oil and gas bearing sands in the Cheal-E-JV-6  well located in Taranaki Basin's PEP 54877. The well was drilled to a total depth of 1,939m targeting the Mt. Messenger Formation. It is being completed as a potential oil well with production testing to begin this...

    Tag Finds Oil, Gas in Taranaki Basin's Cheal-E6 WellData analysis
    Exploration

    Tag Oil has intersected over 9m of net oil and gas bearing sands in the Cheal-E-JV-6  well located in Taranaki Basin's PEP 54877. The well was drilled to a total depth of 1,939m targeting the Mt. Messenger Formation. It is being completed as a potential oil well with production testing to begin this week and, if economic, will be immediately commercialized.

    Tag will now proceed to drill the Cheal-E7 step out well located in Taranaki Basin's PMP 38156.

    Ownership of PEP 54877: Tag (70%, operator) and East West Petroleum Corp (30%).

    View Tag press release

  • Karoon Cheers Oil Find at Kangaroo-2 Well in Santos BasinData analysis
    Headlines, Exploration

    Karoon Gas Australia encountered multiple oil bearing zones in the Kangaroo-2 appraisal well located in Santos Basin’s Block S-M-1165 off Brazil.

    The well, drilled to a total depth 2,369m, hit oil in five separate reservoirs within the Palaeocene and the Maastrichtian formations. The net oil column of 135m with no gas cap was confirmed by the wireline logging and sampling.

    View Karoon press release

  • Woodside Secures Reconnaissance License Off MoroccoData analysis
    Others

    Woodside Petroleum has been awarded an exclusive reconnaissance license (RL) located off Morocco. The block, known as the Rabat Ultra Deep Offshore area, comprises a total of 36,737 sq km in depths ranging from 1,700m to 4,400m.

    The block is located just west of the Rabat Deep Offshore I-VI permits, in which Woodside has acquired a 25% stake.

    Commitments under the RL work program include a 2D seismic survey and studies. The RL duration is for 12 months.

    View Woodside press release

  • Solstad Wins Installation Work from Chevron

    Solstad Offshore has secured platform installation work from Chevron off Thailand. It’s DLB Norce Endeavour will install multiple new wellhead platforms (WHP) for Chevron in the Gulf of Thailand during the 2015 campaign.The offshore scope of work includes the installation of fourteen WHP’s with an...

    Solstad Wins Installation Work from Chevron
    Others

    Solstad Offshore has secured platform installation work from Chevron off Thailand. It’s DLB Norce Endeavour will install multiple new wellhead platforms (WHP) for Chevron in the Gulf of Thailand during the 2015 campaign.

    The offshore scope of work includes the installation of fourteen WHP’s with an estimated utilization of the vessel in the range of 110-120 days with preparation for mobilization starting mid-Apr-2015. It will also provide project management, engineering, procurement and logistics to support the installation and construction scope of work.

    Additionally, Chevron has the option to hire the vessel for their 2016 campaign.

    View Solstad press release  

  • Saipem, Daewoo Net $1 Billion E&C Contract

    Saipem and Daewoo Shipbuilding & Marine Engineering have been awarded an engineering and construction contract  worth $1 billion in the Caspian Region.The scope of contract includes yard engineering, fabrication and pre-commissioning activities as well as the load-out of 55,000 tons of pipe...

    Saipem, Daewoo Net $1 Billion E&C Contract
    Headlines

    Saipem and Daewoo Shipbuilding & Marine Engineering have been awarded an engineering and construction contract  worth $1 billion in the Caspian Region.

    The scope of contract includes yard engineering, fabrication and pre-commissioning activities as well as the load-out of 55,000 tons of pipe racks.

    View Saipem press release

  • Data analysis Clarkson Offers to Takeover Platou for $440 Million

    Clarkson announced its proposed acquisition of the entire issued share capital of Platou for a total consideration of £281.2 million (US$440 million). Under the terms of the acquisition, the proposed total consideration to be received by thePlatou shareholders would be £281.2 million of which 75%...

    Clarkson Offers to Takeover Platou for $440 Million Data analysis
    Headlines, Global Deals

    Clarkson announced its proposed acquisition of the entire issued share capital of Platou for a total consideration of £281.2 million (US$440 million). Under the terms of the acquisition, the proposed total consideration to be received by the

    Platou shareholders would be £281.2 million of which 75% would be satisfied in Consideration Shares, 16.66% in Loan Notes and 8.34% in cash.

    The combination of the Clarksons Group and the Platou Group would create a global shipping and offshore services business headquartered in London and employing approximately 1,400 people in 21 countries.

    View Clarkson press release  

  • Plains All to Expand Cactus Pipeline Takeaway Capacity

    Plains All American Pipeline (PAA) plans to provide additional pumps to increase the takeaway capacity of the Cactus Pipeline. Installation of booster stations along the pipeline, which runs from McCamey to Gardendale, Texas, will result in an increase in throughput from approximately 250 Mbbl/d to 330...

    Plains All to Expand Cactus Pipeline Takeaway Capacity
    Others

    Plains All American Pipeline (PAA) plans to provide additional pumps to increase the takeaway capacity of the Cactus Pipeline. Installation of booster stations along the pipeline, which runs from McCamey to Gardendale, Texas, will result in an increase in throughput from approximately 250 Mbbl/d to 330 Mbbl/d.

    This expansion, in conjunction with the previously announced Eagle Ford JV Pipeline expansion, will allow PAA to move increased production volumes from the Permian Basin to Corpus Christi and other delivery points along the system.

    The Cactus Pipeline is expected to be in service in Apr-2015 with the expansion to be completed in Q4-2015.

    View PAA press release

  • Data analysis Crestwood Equity Sells Midstream Assets for $130 Million

    Crestwood Equity Partners has entered into agreements to sell 100% of the membership interest in Tres Palacios Gas Storage LLC to a newly formed JV between Crestwood Midstream and an affiliate of Brookfield Infrastructure Group, for $130 million.The Tres Palacios natural gas storage facility has the capacity...

    Crestwood Equity Sells Midstream Assets for $130 MillionData analysis
    Headlines, Global Deals

    Crestwood Equity Partners has entered into agreements to sell 100% of the membership interest in Tres Palacios Gas Storage LLC to a newly formed JV between Crestwood Midstream and an affiliate of Brookfield Infrastructure Group, for $130 million.

    The Tres Palacios natural gas storage facility has the capacity to store up to 38.4 Bcf of gas and provides more than 1 Bcf/d of injection and withdrawal capability. The ‘multi-cycle’ storage facility has an approximately 60-mile bi-directional pipeline system with ten pipeline interconnects and associated facilities. The Tres Palacios assets are located in Matagorda, Wharton, and Colorado counties in Texas.

    As a part of the transaction, Brookfield Infrastructure is entering into five-year, fixed-fee contracts with Tres Palacios for 15 Bcf of firm storage capacity beginning Nov-2014.

    Crestwood Midstream will own 50.01% of Tres Palacios Holdings LLC and will be the operator of Tres Palacios and its assets.

    View Crestwood Equity press release

  • Ghana Green Lights Eni's $6 Billion Offshore Gas Project

    Ghana's government has given Eni the final green light to develop gas resources in the Offshore Cape Three Points (OCTP) Block which is expected to begin production in 2017.The government, hoping to boost oil and gas production, said that it also planned to acquire a third FPSO vessel, to be used for the...

    Ghana Green Lights Eni's $6 Billion Offshore Gas Project
    Headlines, Projects & Capex

    Ghana's government has given Eni the final green light to develop gas resources in the Offshore Cape Three Points (OCTP) Block which is expected to begin production in 2017.

    The government, hoping to boost oil and gas production, said that it also planned to acquire a third FPSO vessel, to be used for the project which must now be approved by Ghana's parliament.

    "This project promises to deliver up to 170 MMcf/d for the next 20 years and put Ghana on its way to a future where one of the critical constraints to power generation will be addressed," Ghanaian Government said.

    Source: Reuters

  • Data analysis CNOOC Starts Output from Pearl River Mouth Project

    CNOOC announced today that the Huizhou 25-8 Oilfield/Xijiang 24-3 Oilfield Xijiang 24-1 District Joint Development Project has commenced production. The project is located in the Pearl River Mouth Basin of the South China Sea with an average water depth of approximately 100m.The Huizhou 25-8 oilfield and...

    CNOOC Starts Output from Pearl River Mouth ProjectData analysis
    Headlines, Projects & Capex

    CNOOC announced today that the Huizhou 25-8 Oilfield/Xijiang 24-3 Oilfield Xijiang 24-1 District Joint Development Project has commenced production. The project is located in the Pearl River Mouth Basin of the South China Sea with an average water depth of approximately 100m.

    The Huizhou 25-8 oilfield and Xijiang 24-3 oilfield Xijiang 24-1 district project is a joint development project sharing one FPSO.

    The main production facilities include two drilling and production platforms and 29 producing wells. Currently, there are four wells producing approximately 6.3 Mbbl/d of crude oil, and the project is expected to reach peak production of approximately 33 Mbbl/d in 2016.

    View CNOOC press release

  • Data analysis Rawicz-12 Appraisal Well Spudded

    San Leon Energy reported that Palomar Natural Resources (PNR) has spudded the Rawicz-12 appraisal well located in the Rawicz Concession in Poland's southern Permian Basin.The well is targeting the previously-discovered Rawicz gas accumulation in the Permian Rotliegendes sandstones. The well is estimated...

    Rawicz-12 Appraisal Well SpuddedData analysis
    Projects & Capex

    San Leon Energy reported that Palomar Natural Resources (PNR) has spudded the Rawicz-12 appraisal well located in the Rawicz Concession in Poland's southern Permian Basin.

    The well is targeting the previously-discovered Rawicz gas accumulation in the Permian Rotliegendes sandstones. The well is estimated to take 45 days to reach a total depth of 1,900m and is being drilled by Poland's Exalo Drilling. A full testing program is planned immediately after drilling and completion of the well, assuming positive results.

    Ownership of Rawicz Concession: PNR (65%, operator) and San Leon (35%).

    View San Leon press release

    View San Leon's operations webpage

  • Data analysis Sound Oil Makes Offer for Antrim Energy

    Sound Oil intends to launch a public offer for the entire share capital of Antrim Energy.The intended offer for Antrim would offer for each Antrim share, 0.3198 new Sound Oil ordinary shares. Value each Antrim share at £0.344 (based on the closing market price of £0.10 per Sound Oil share on...

    Sound Oil Makes Offer for Antrim EnergyData analysis
    Others

    Sound Oil intends to launch a public offer for the entire share capital of Antrim Energy.

    The intended offer for Antrim would offer for each Antrim share, 0.3198 new Sound Oil ordinary shares. Value each Antrim share at £0.344 (based on the closing market price of £0.10 per Sound Oil share on 21-Nov-2014 on the AIM market of the London Stock Exchange. This values the entire issued share capital of Antrim at approximately £6.35 million.

    James Parsons, Sound Oil's CEO, commented: "By combining with Sound Oil, Antrim's portfolio can be managed as part of a wider European portfolio and run by a Europe based team with a strong track record of delivering value to shareholders."

    View Sound Oil press release

  • Lukoil to Invest in Nigerian Project with Chevron

    Lukoil has planned to invest in Nigeria with Chevron as a part of its push to seek opportunities away from Russia's state-dominated oil sector. "We have decided to enter a joint block with Chevron in a project in Nigeria, which we consider to be promising," CEO Vagit Alekperov said. He declined...

    Lukoil to Invest in Nigerian Project with Chevron
    Projects & Capex

    Lukoil has planned to invest in Nigeria with Chevron as a part of its push to seek opportunities away from Russia's state-dominated oil sector. "We have decided to enter a joint block with Chevron in a project in Nigeria, which we consider to be promising," CEO Vagit Alekperov said. He declined to name the project and provided no detail.

    According to Chevron's website, the Aparo field and the third-party-owned Bonga SW Field in Nigeria share a common geologic structure. It plans joint development for both.

    Source: Reuters

  • Data analysis Ecopetrol Hits Pay in Block CPO-9, Colombia

    Talisman Energy reported that Ecopetrol has hit hydrocarbons in the Nueva Esperanza-1 well (A2b), located in Block CPO-9 in Colombia’s Department of Meta.The well was drilled to a total depth at 12,056 ft. During an initial eight day flow test using an electro submersible pumping system, 309 ft of...

    Ecopetrol Hits Pay in Block CPO-9, ColombiaData analysis
    Headlines, Exploration

    Talisman Energy reported that Ecopetrol has hit hydrocarbons in the Nueva Esperanza-1 well (A2b), located in Block CPO-9 in Colombia’s Department of Meta.

    The well was drilled to a total depth at 12,056 ft. During an initial eight day flow test using an electro submersible pumping system, 309 ft of perforations in the T2 Formation stabilized at a flow rate of 910 bbl/d of 8° API crude oil with less than 2% water cut during the last day of flow.

    Ecopetrol is analyzing the results and will file an application with the Colombian authorities to place the Nueva Esperanza-1 well on long-term test. Approval has been granted to drill two down-dip appraisal wells, the first of which, Nueva Esperanza-2, started drilling operations on 16-Nov-2014.

    Nueva Esperanza-1 is the second oil discovery made by Talisman and Ecopetrol in Block CPO-9, following the discovery of hydrocarbons in the Akacias structure in 2010. In accordance with Colombian regulations, the partners declared commerciality of the Akacias Field in Dec-2013 and currently await receipt of a development license.

    Ownership of Block CPO-9: Ecopetrol (55%, operator) and Talisman (45%).

    View Talisman press release

  • SapuraKencana Wins Two Malaysian Blocks

    SapuraKencana has won two blocks - Block SB331 and Block SB332 - located onshore Sabah, Malaysia.Blocks SB331 and SB332, measuring 13,114 sq km and 17,933 sq km respectively are located in the eastern part of Sabah. Under the terms of both PSCs, the company is committed to drill two wildcat wells and...

    SapuraKencana Wins Two Malaysian Blocks
    Others

    SapuraKencana has won two blocks - Block SB331 and Block SB332 - located onshore Sabah, Malaysia.

    Blocks SB331 and SB332, measuring 13,114 sq km and 17,933 sq km respectively are located in the eastern part of Sabah. Under the terms of both PSCs, the company is committed to drill two wildcat wells and acquire 500 line km of new 2D seismic data in Block SB331 as well as to drill one wildcat well and acquire 100 line km of new 2D seismic data in Block SB332. In addition, it will also carry out other integrated studies based on existing data for the two blocks.

    Ownership of Blocks SB331 and SB332: SapuraKencana (70%, operator), M3nergy (25%) and Petronas (5%).

    View Petronas press release

  • Highlights of the Week Ending 22-Nov-2014

    Global DealsThe week was full of blockbuster deals. US OFS giant Halliburton's $35 billiontakeover of Baker Hughes created an oilfield services powerhouse in North America. Energy Transfer Partners agreed to acquire a 45% stake in the Bakken pipeline project from Energy Transfer Equity via an asset swap...

    Highlights of the Week Ending 22-Nov-2014
    Headlines, Global Deals, Projects & Capex, Exploration

    Global Deals

    The week was full of blockbuster deals. US OFS giant Halliburton's $35 billion takeover of Baker Hughes created an oilfield services powerhouse in North America. Energy Transfer Partners agreed to acquire a 45% stake in the Bakken pipeline project from Energy Transfer Equity via an asset swap the companies value at $3.75 billion.

    Apache sold of its interest in assets in southern Louisiana and Anadarko Basin for $1.4 billion. Shell announced that Newcross Exploration and Production has completed the acquisition of SPDC’s 45% stake in OML 24 in the Eastern Niger Delta for $900 million in cash. Petronas also divested its stake in three blocks offshore Vietnam for $400 million to SapuraKencana.

    Meanwhile, the long-awaited deal between Salamander and Ophir also came to an end.

    Rumor has it that Talisman Energy is in talks to sell its pipeline operations that serve the Marcellus region in New York and Pennsylvania to Regency Energy Partners LP. A deal could be announced within three weeks, valuing the assets at more than $1 billion

    Exploration

    Lundin announced that the Kitabu-1 exploration well off Sabah in Malaysia, did not contain any hydrocarbons. Statoil’s first well results from the area have been disappointing and although the company still sees remaining prospectivity in the Kwanza Basin.

    Ophir Energy also drilled a duster at the Mkuki-1 well in Block 7 off Tanzania.

    Projects & Capex

    The week kick started with a news stating that Ineos will invest around $1 billion in shale gas exploration in the UK. Suncor also laid out it plan to spend $6.4-$6.9 billion in 2015, with more than half of those funds earmarked for growth projects.

    Hess started production from the Tubular Bells Field, located in the Mississippi Canyon area of the Gulf of Mexico.

    Finally, Cenovus received approval from Alberta for its fully owned Telephone Lake thermal oil sands project

  • ExxonMobil in Final Talks for Two Ivory Coast Oil Blocks

    Ivory Coast is finalising production sharing agreements with ExxonMobil for two ultra-deepwater blocks in the Gulf of Guinea."It's with Exxon Mobil. We expect to finish discussions before the end of the year," said Ibrahima Diaby, director of hydrocarbons at the ministry, speaking on the...

    ExxonMobil in Final Talks for Two Ivory Coast Oil Blocks
    Headlines

    Ivory Coast is finalising production sharing agreements with ExxonMobil for two ultra-deepwater blocks in the Gulf of Guinea.

    "It's with Exxon Mobil. We expect to finish discussions before the end of the year," said Ibrahima Diaby, director of hydrocarbons at the ministry, speaking on the sidelines of an oil and gas seminar in the capital Yamoussoukro. "A memorandum of understanding was signed for the two ultra-deep blocks and negotiations for the production sharing agreements are very advanced," he said.

    Ivory Coast is seeking investors for seven new ultra-deepwater blocks, inviting Exxon Mobil, Total, Eni, Anadarko Petroleum, Tullow Oil and ConocoPhillips to a promotional event in Texas last month. 

    Source: Reuters

  • Data analysis Well Results Off Angola Disappoint Statoil

    Statoil’s first well results from the area have been disappointing and although the company still sees remaining prospectivity in the Kwanza Basin and on the Statoil acreage, more time is needed to evaluate the well results and mature new prospects before deciding on future activities.The first two...

    Well Results Off Angola Disappoint StatoilData analysis
    Headlines, Exploration

    Statoil’s first well results from the area have been disappointing and although the company still sees remaining prospectivity in the Kwanza Basin and on the Statoil acreage, more time is needed to evaluate the well results and mature new prospects before deciding on future activities.

    The first two Statoil-operated wells in this pre-salt play, Dilolo and Jacare, have been drilled safely and very efficiently. These two wells also fulfil the drilling commitments on these two blocks. The Jacare well in block 38 has now been plugged and abandoned.

    Statoil is participating in eight commitment wells across five blocks in the Kwanza Basin. So far four wells have been completed and one well is ongoing in Block 40 operated by Total.

    View Statoil press release

  • Permian Explorers Element, Tall City Seek $1 Billion SaleData analysis
    Headlines, Global Deals

    Bloomberg reported that Element Petroleum and Tall City Exploration, private equity-backed companies, are jointly exploring a sale. The companies are working with Royal Bank of Canada to seek offers for as much as $1 billion, said the people, who asked not to be identified because the matter is private.

    Advisers have reached out to potential buyers including QEP Resources and Encana, the people said.

    Element is backed by ArcLight Capital Partners LLC and Tall City is backed by Denham Capital Management LP. The companies, which mostly produce oil, are selling as a package because they have overlapping interests in the Permian, the people said.

    View original article

  • Data analysis Ophir Comes Up Dry at Mkuki-1 Well Off Tanzania

    Ophir Energy has come up dry at the Mkuki-1 well in Block 7 off Tanzania. The well was drilled to a total depth of 3,204m and encountered a high quality sandstone sequence but with no hydrocarbons.It targeted a Tertiary-aged stratigraphic prospect located in water depths of 1,648m.Ophir also drilled the...

    Ophir Comes Up Dry at Mkuki-1 Well Off TanzaniaData analysis
    Exploration

    Ophir Energy has come up dry at the Mkuki-1 well in Block 7 off Tanzania. The well was drilled to a total depth of 3,204m and encountered a high quality sandstone sequence but with no hydrocarbons. It targeted a Tertiary-aged stratigraphic prospect located in water depths of 1,648m.

    Ophir also drilled the Tende-1 well in the East Pande Permit in a water depth of  781m to a total depth of 4,153m targeting the Cretaceous-aged Tende prospect. Although gas traces were encountered in the upper strata of the primary objective, wireline logs confirmed that no moveable hydrocarbons were present in this prospect. 

    In the secondary Tikiti objective, the Tende-1 well encountered a gas bearing sandstone. The company will evaluate the wider impact of this find as it integrates the well results into its understanding of the remaining prospects in the East Pande Block.

    View Ophir press release  

  • Data analysis Buru Spuds Commodore 1 Well in Canning Basin

    Buru Energy has spudded the Commodore 1 exploration well located in EP 390 in Western Australia's onshore Canning Basin. The well will be drilled to a total depth of 1,550m and is expected to take 35 days.Primary objective of the well is conventional oil reservoirs in the Grant Formation with secondary...

    Buru Spuds Commodore 1 Well in Canning BasinData analysis
    Exploration

    Buru Energy has spudded the Commodore 1 exploration well located in EP 390 in Western Australia's onshore Canning Basin. The well will be drilled to a total depth of 1,550m and is expected to take 35 days.

    Primary objective of the well is conventional oil reservoirs in the Grant Formation with secondary objectives in the underlying Nita carbonates.

    Ownership of Commodore 1 well: Buru (25%), Apache (50%) and Mitsubishi (25%). 

    View Buru press release

  • Data analysis Ophir Confirms Salamander Offer

    Ophir Energy has confirmed its intention to acquire Salamander Energy after Cepsa scrapped a potential bid for the company.Under the terms of the offer, Salamander shareholders would be entitled to receive 0.5719 Ophir shares for each Salamander share, 44.5%. to the closing price of 80.3 pence per...

    Ophir Confirms Salamander OfferData analysis
    Global Deals

    Ophir Energy has confirmed its intention to acquire Salamander Energy after Cepsa scrapped a potential bid for the company.

    Under the terms of the offer, Salamander shareholders would be entitled to receive 0.5719 Ophir shares for each Salamander share, 44.5%. to the closing price of 80.3 pence per Salamander share on 24-Oct-2014 (being the last business day prior to the date of the announcement by Salamander on 27-Oct-2014), and 31.6% to the volume weighted average share price of 88.1 pence per Salamander share for the one month period between 25-Sep-2014 and 24-Oct-2014.

    The offer would constitute a Class 1 transaction for Ophir for the purposes of the FCA's Listing Rules.

    View Salamander press release

  • Data analysis Cue Farms-In to Mahato PSC in Indonesia

    Cue Energy Resources has executed a farm-in agreement with Bukit Energy to acquire a 12.5% participating interest in the Mahato PSC in Central Sumatra, Indonesia. The 5,600 sq km Mahato PSC contains multiple appraisal and exploration drilling opportunities with two wells currently...

    Cue Farms-In to Mahato PSC in IndonesiaData analysis
    Others

    Cue Energy Resources has executed a farm-in agreement with Bukit Energy to acquire a 12.5% participating interest in the Mahato PSC in Central Sumatra, Indonesia. 

    The 5,600 sq km Mahato PSC contains multiple appraisal and exploration drilling opportunities with two wells currently planned for 2015.

    The 2015 work plan includes an appraisal well delineating the possible extension of the Petapahan Field into Mahato PSC, an exploration well nearby and seismic acquisition to further high grade exploration prospects for future drilling. As part of the farm-in, Cue’s share of costs for the two wells and seismic is capped by Bukit. View Cue press release

  • Suncor Offers $663 Million Medium Term Notes

    Suncor Energy has agreed to issue C$750 million (US$663 million) of senior unsecured medium term notes maturing on 26-Nov-2021. The 2021 notes will have a coupon of 3.1% and were priced at $99.663 per note to yield 3.154%.Suncor intends to use the net proceeds from the sale of the 2021 notes to replenish...

    Suncor Offers $663 Million Medium Term Notes
    Others

    Suncor Energy has agreed to issue C$750 million (US$663 million) of senior unsecured medium term notes maturing on 26-Nov-2021. The 2021 notes will have a coupon of 3.1% and were priced at $99.663 per note to yield 3.154%.

    Suncor intends to use the net proceeds from the sale of the 2021 notes to replenish existing cash balances following the recent repayment of outstanding indebtedness.

    The 2021 notes will be issued under Suncor's short form base shelf prospectus dated 11-Jun-2014, and filed with securities regulatory authorities in Canada. The offering is expected to close on 26-Nov-2014.

    CIBC, RBC Capital Markets, and TD Securities acted as joint book-runners for the offering.

    View Suncor press release

  • Data analysis Apache Sells Certain US Onshore Assets for $1.4 Billion

    Apache announced the sale of its interest in assets in southern Louisiana and Anadarko Basin. The assets were sold for a total of for $1.4 billion in two separate transactions. The first transaction involves sale of interest in approximately 90,000 net acres in southern Louisiana and 115,000 net acres....

    Apache Sells Certain US Onshore Assets for $1.4 BillionData analysis
    Headlines, Global Deals

    Apache announced the sale of its interest in assets in southern Louisiana and Anadarko Basin. The assets were sold for a total of for $1.4 billion in two separate transactions. The first transaction involves sale of interest in approximately 90,000 net acres in southern Louisiana and 115,000 net acres. The second transaction comprises of assets in Stiles Ranch field in Wheeler County, Texas, and in its Mocane-Laverne and Verden fields in western Oklahoma.

    Production from assets sold in southern Louisiana amounted to 21 MBOE/d (62% gas and NGLs) net to Apache in Q3-2014. The company will retain 275,000 mineral acres in South Louisiana.

    The assets sold in Anadarko Basin produced 26 MBOE/d (83% gas and NGLs) net to Apache in Q3-2014.

    G. Steven Farris, Apache's Chairman, CEO and president, said: "Proceeds from today's announced asset sales will be used primarily to fund our 2014 leasehold acquisition program, which has added significant acreage within our primary focus areas."

    View Apache press release

  • Data analysis Petronas Exits Three Blocks Off Vietnam for $400 Million

    Petronas divested its stake in three blocks offshore Vietnam for $400 million to SapuraKencana Petroleum. The transaction is effective 1-Jan-2014.The transaction comprises of a 50% interest in the Petroleum Contract for Blocks 01/97 and 02/97 Cuu Long Basin, a 40% interest in the PSC for Blocks 10 & 11.1...

    Petronas Exits Three Blocks Off Vietnam for $400 MillionData analysis
    Headlines, Global Deals

    Petronas divested its stake in three blocks offshore Vietnam for $400 million to SapuraKencana Petroleum. The transaction is effective 1-Jan-2014.

    The transaction comprises of a 50% interest in the Petroleum Contract for Blocks 01/97 and 02/97 Cuu Long Basin, a 40% interest in the PSC for Blocks 10 & 11.1 in Nam Con Son Basin, and a 36.84% interest in the PSC for Block 46-Cai Nuoc, Malay-Thi Chu Basin.

    View SapuraKencana press release

  • Data analysis Newcross E&P Buys Out SPDC in OML 24 for $900 Million

    Shell announced that Newcross Exploration and Production has completed the acquisition of SPDC’s 45% stake in OML 24 in the Eastern Niger Delta for $900 million in cash. Shell will receive $600 million for its 30% stake.Total and Eni sold their 10% and 5% stakes respectively.OML24 covers an area of some...

    Newcross E&P Buys Out SPDC in OML 24 for $900 MillionData analysis
    Headlines, Global Deals

    Shell announced that Newcross Exploration and Production has completed the acquisition of SPDC’s 45% stake in OML 24 in the Eastern Niger Delta for $900 million in cash. Shell will receive $600 million for its 30% stake.

    Total and Eni sold their 10% and 5% stakes respectively.

    OML24 covers an area of some 430 sq km and includes the Awoba, Awoba Northwest and Ekulama fields and related facilities. The divested infrastructure includes three oil flow-stations and three gas processing plants, in addition to various oil and gas pipelines. The divested fields produced on average around 13 MBOE/d during H1-2014.

    Post-transaction ownership of OML 24: Newcross Exploration and Production (45%, operator) and NNPC (55%).

    View Shell press release

  • Oyster Farms-Into Red Castle Prospect in UK North SeaData analysis
    Global Deals, Others

    Oyster Petroleum has signed an agreement to acquire a 30% interest in license P2132, in exchange for covering certain well costs on drilling. The license includes the Red Castle prospect and covers blocks 16/11b and 16/16 in the South Viking Graben of the UK North Sea.

    The P2132 license is operated by Maersk Oil with Centrica Resources as a partner.

    Richard Morgan, CEO of Oyster Petroleum, commented: “Following our recent licence awards in the UK 28th Round, this is a further positive step for Oyster Petroleum as we continue to build a high quality exploration program. We are delighted to be working with Maersk Oil and Centrica as Red Castle moves towards drilling next year.”

    View Oyster press release

  • Ineos Plans $1 Billion Investment in UK Shale Exploration

    The BBC reports that the refining and petrochemical group Ineos will invest around $1 billion in shale gas exploration in the UK. The BBC added that Ineos believes shale gas will transform the economics of the company’s Grangemouth refinery and petrochemicals plant in Scotland.Source: Reuters

    Ineos Plans $1 Billion Investment in UK Shale Exploration
    Headlines, Others

    The BBC reports that the refining and petrochemical group Ineos will invest around $1 billion in shale gas exploration in the UK. The BBC added that Ineos believes shale gas will transform the economics of the company’s Grangemouth refinery and petrochemicals plant in Scotland.

    Source: Reuters

  • TGS Wins 2D Contract for Mexican, US Atlantic Waters

    TGS has signed an LoA with Seabird Exploration to acquire up to 300,000 km of 2D seismic data over Mexico and US Atlantic waters. The LOA provides TGS access to charter up to six seismic vessels over a period of approximately 36 months.  Activity is expected to commence in 2015 subject to the issuance of...

    TGS Wins 2D Contract for Mexican, US Atlantic Waters
    Others

    TGS has signed an LoA with Seabird Exploration to acquire up to 300,000 km of 2D seismic data over Mexico and US Atlantic waters. The LOA provides TGS access to charter up to six seismic vessels over a period of approximately 36 months.  Activity is expected to commence in 2015 subject to the issuance of seismic acquisition permits from the relevant authorities.

    View TGS press release

  • CGG Considers Strategic Sale, Rebuffs Technip Offer

    Reuters, quoting Bloomberg, reports that CGG is considering putting itself up for sale after rebuffing an offer from Technip. CGG had initially rejected an offer from French oil services group Technip as too low, although talks were still ongoing.Source: ReutersTechnip announced that it had made an offer for...

    CGG Considers Strategic Sale, Rebuffs Technip Offer
    Headlines, Global Deals

    Reuters, quoting Bloomberg, reports that CGG is considering putting itself up for sale after rebuffing an offer from Technip. CGG had initially rejected an offer from French oil services group Technip as too low, although talks were still ongoing.

    Source: Reuters

    Technip announced that it had made an offer for all outstanding shares of CGG at €8.3 ($10.37) per share.

  • Talisman Looks to Sell Marcellus Pipelines
    Headlines, Global Deals

    Talisman Energy is in talks to sell its pipeline operations that serve the Marcellus region in New York and Pennsylvania to Regency Energy Partners LP, people familiar with the matter said. A deal could be announced within three weeks, valuing the assets at more than $1 billion. No agreement has been signed and Talisman could still select another buyer.

    View original article

    Disclaimer: 1Derrick has not verified this story and does not vouch for its accuracy.

  • Samsung Group Units Scrap $2.5 Billion Merger

    Samsung Heavy Industries scrapped a $2.5 billion takeover of Samsung Engineering due to shareholder opposition.The two companies had said they could cancel the merger if the buy back costs exceeded KRW 410 billion (US$370 million) for Samsung Engineering or KRW 950 billion for Samsung Heavy. According to...

    Samsung Group Units Scrap $2.5 Billion Merger
    Headlines, Global Deals

    Samsung Heavy Industries scrapped a $2.5 billion takeover of Samsung Engineering due to shareholder opposition.

    The two companies had said they could cancel the merger if the buy back costs exceeded KRW 410 billion (US$370 million) for Samsung Engineering or KRW 950 billion for Samsung Heavy. According to joint statement, Samsung Engineering shareholders wanted to sell shares worth KRW 706.3 billion while Samsung Heavy shareholders wanted a buyback worth KRW 923.5 billion.

    In their statement, Samsung Heavy and Samsung Engineering said they could reconsider the merger after "taking into account the market situation and shareholder opinions".

    Source: Reuters

  • Data analysis CNOOC Makes 'Mid-Sized' Discovery in S China Sea

    CNOOC has made a ‘mid-sized’ discovery at the Lufeng14-4 well located in Lufeng Sag in the Pearl River Mouth Basin of the South China Sea. The discovery well, drilled to a total depth of 4,098m in a water depth of 145m, encountered oil pay zones with a total thickness of approximately 150m.The oil...

    CNOOC Makes 'Mid-Sized' Discovery in S China SeaData analysis
    Headlines, Exploration

    CNOOC has made a ‘mid-sized’ discovery at the Lufeng14-4 well located in Lufeng Sag in the Pearl River Mouth Basin of the South China Sea. The discovery well, drilled to a total depth of 4,098m in a water depth of 145m, encountered oil pay zones with a total thickness of approximately 150m.

    The oil production of the well tested around 1.32 Mbbl/d.

    View CNOOC press release

  • Data analysis Cairn Completes SNE-1 Well in Sangomar Offshore Block

    Cairn Energy has completed operations at the SNE-1 well in Senegal’s Sangomar Offshore Block and plans are now underway to appraise the discovery next year. The SNE-1 well located in 1,100m water depth was drilled to a total depth of approximately 3,000m.Having discovered oil in the upper clastic...

    Cairn Completes SNE-1 Well in Sangomar Offshore BlockData analysis
    Exploration

    Cairn Energy has completed operations at the SNE-1 well in Senegal’s Sangomar Offshore Block and plans are now underway to appraise the discovery next year. The SNE-1 well located in 1,100m water depth was drilled to a total depth of approximately 3,000m.

    Having discovered oil in the upper clastic target, no hydrocarbons were subsequently encountered in the deeper target of karstified and fractured Lower Cretaceous shelf carbonates.  Following completion of logging operations the well will be plugged and abandoned.

    Ownership of Sangomar Offshore Block: Cairn (40%, operator), ConocoPhillips (35%), FAR (15%) and Petrosen (10%).

    View Cairn press release

  • Libya Hopes to Restart El Feel Oilfield Next Week
    Projects & Capex

    Libya hopes to restart oil production at the El Feel oilfield next week.

    Libya’s National Oil Corp (NOC) shut down the field more than a week ago when clashes forced the closure of the neighboring El Sharara oilfield. Both sites use the same power supply.

    Source: Reuters

    El Feel Field ownership: Libyan NOC (50%) and Eni (50%).

  • Suncor 2015 Capex Stable Despite Lower Oil Prices

    Suncor Energy plans to spend C$7.2-C$7.8 billion (US$6.4-$6.9 billion) in 2015, with more than half of those funds earmarked for growth projects. That puts capital spending next year roughly in line with 2014, as the company pushes ahead with key growth projects, including its Fort Hills oil sands mine in...

    Suncor 2015 Capex Stable Despite Lower Oil Prices
    Headlines, Projects & Capex

    Suncor Energy plans to spend C$7.2-C$7.8 billion (US$6.4-$6.9 billion) in 2015, with more than half of those funds earmarked for growth projects. That puts capital spending next year roughly in line with 2014, as the company pushes ahead with key growth projects, including its Fort Hills oil sands mine in Alberta, despite tumbling oil prices.

    Suncor plans to spend up to C$4.3 billion on growth projects in 2015, including more than C$2 billion on its oil sands segment, and will also fund sustaining capital investments focused on "safe, reliable and efficient operations."

    Production in 2015 is expected to average 540-585 MBOE/d, up slightly from a projected 525-570 MBOE/d this year.

    The company also confirmed that its total 2014 output will come in near the bottom end of its annual guidance, due to lower-than-expected production from its oil sands operations.

    Source: Reuters

  • Energy Transfer Partners, Energy Transfer Equity Swap Assets

    Energy Transfer Partners (ETP) has agreed to acquire a 45% stake in the Bakken pipeline project from Energy Transfer Equity (ETE) via an asset swap the companies value at $3.75 billion.ETE would transfer 30.8 million ETP common units, ETE’s 45% interest in the Bakken pipeline project, and a cash amount...

    Energy Transfer Partners, Energy Transfer Equity Swap Assets
    Headlines, Global Deals

    Energy Transfer Partners (ETP) has agreed to acquire a 45% stake in the Bakken pipeline project from Energy Transfer Equity (ETE) via an asset swap the companies value at $3.75 billion.

    ETE would transfer 30.8 million ETP common units, ETE’s 45% interest in the Bakken pipeline project, and a cash amount to be determined in exchange for newly issued Class H Units of ETP that will generally entitle ETE to receive 40% of the cash distributions and other economic attributes of the general partner interest and incentive distribution rights of Sunoco Logistics Partners.

    In addition, ETE and ETP anticipate that they will negotiate a reduction in the incentive distribution right subsidies that ETE previously agreed to provide to ETP, and that such reductions would occur in 2015 and 2016. When combined with the 50.16 million Class H Units acquired by ETE in Oct-2013, ETE would own Class H Units that will generally entitle ETE to receive approximately 90% of the cash distributions and other economic attributes of the general partner interest and incentive distribution rights of Sunoco. Upon redemption of the 30.8 million ETP common units, ETP’s outstanding common units will be reduced to approximately 322 million common units.

    View ETP press release

  • Fluor Prices $500 Million Senior Unsecured Notes Offering

    Fluor Corporation has priced its previously announced offering of senior unsecured notes in the form of a registered public offering of $500 million aggregate principal amount of 3.5% senior unsecured notes maturing in 2024. Fluor expects to close the offering on 25-Nov-2014.Merrill Lynch, Pierce, Fenner...

    Fluor Prices $500 Million Senior Unsecured Notes Offering
    Others

    Fluor Corporation has priced its previously announced offering of senior unsecured notes in the form of a registered public offering of $500 million aggregate principal amount of 3.5% senior unsecured notes maturing in 2024. Fluor expects to close the offering on 25-Nov-2014.

    Merrill Lynch, Pierce, Fenner & Smith Incorporated and BNP Paribas Securities acted as joint book-running managers for this offering along with several senior co-managers and co-managers.

    View Fluor press release

  • Eni Transfers 10% in Nebit Dag Area to Turkmenneft

    Eni has transferred a 10% stake in the onshore Nebit Dag Area in West Turkmenistan to Turkmenneft. Additionally, the Government of Turkmenistan has extended Eni’s operatorship of the PSA for the Nebit Dag Area to Feb-2032.Eni added that the agreement between the company and the government will allow it...

    Eni Transfers 10% in Nebit Dag Area to Turkmenneft
    Projects & Capex

    Eni has transferred a 10% stake in the onshore Nebit Dag Area in West Turkmenistan to Turkmenneft. Additionally, the Government of Turkmenistan has extended Eni’s operatorship of the PSA for the Nebit Dag Area to Feb-2032.

    Eni added that the agreement between the company and the government will allow it to make E&P investments in Burun and other satellite fields of the Nebit Dag Block.

    Ownership of Nebit Dag PSA: Eni (90%, operator) and Turkmenneft (10%).

    View Eni press release

  • San Leon Spuds Giertaltowice Well in Poland

    San Leon Energy has spud the Gieraltowice well, the second well being drilled in the Karpaty area in Poland. The Gieraltowice prospect is on the Bielsko-Biala concession in Karpaty and is targeting 4 Bcf of mid-case recoverable gas in two target reservoirs - the Upper Carboniferous sandstone being the primary...

    San Leon Spuds Giertaltowice Well in Poland
    Exploration

    San Leon Energy has spud the Gieraltowice well, the second well being drilled in the Karpaty area in Poland. The Gieraltowice prospect is on the Bielsko-Biala concession in Karpaty and is targeting 4 Bcf of mid-case recoverable gas in two target reservoirs - the Upper Carboniferous sandstone being the primary target with the Lower Carboniferous limestone as a secondary target.

    The drilling of the well is expected to be completed in the next few weeks with any well testing to be done immediately afterwards.

    Ownership of Gieraltowice prospect: San Leon (60%, operator) and PGNiG (40%).

    View San Leon Energy press release

  • Lundin Encounters Dry Hole in Kitabu-1 Well Off Sabah
    Exploration

    Lundin Petroleum announced that the Kitabu-1 exploration well off Sabah in Malaysia, did not contain any hydrocarbons. The well was completed in Blocks SB307/SB308 off Sabah using the West Prospero rig. The well has reached planned total depth of 2,270m and is to be plugged and abandoned as a dry hole.

    Ownership of Blocks SB307/SB308: Lundin (42.5%, operator), EnQuest (42.5%) and Petronas (15%).

    View Lundin press release

    View Lundin exploration wells webpage

  • NET Midstream Completes NET Mexico Pipeline
    Others

    NET Midstream announced the completion of construction of its 120-mile, 42-inch and 48-inch Texas interstate pipeline. The company achieved mechanical completion of the NET Mexico pipeline in Oct-2014 and has concluded commissioning activities and is now operational and able to deliver natural gas to Mexico.

    The design capacity of the pipeline is 2.3 Bcf/d, which can be expanded to 3 Bcf/d with additional compression. The pipeline is anchored by a long term firm gas transportation agreement for up to 2.1 Bcf/d with Pemex.

    The NET Mexico pipeline will transport gas from nine interconnects at the Agua Dulce Hub in Nueces County, Texas, to a point near Rio Grande City, Texas in Starr County.

    View NET Midstream press release

    View NET Mexico operations webpage

  • CEPSA Consortium Withdraws Bid for Salamander

    Compania Espanola de Petroleos (CEPSA) said that it was withdrawing from the bidding to acquire oil firm Salamander Energy. The CEPSA-led consortium, which included Strategic Energy, had made its proposed offer on the condition that Salamander cancelled a deal it struck with Malaysia's SONA Petroleum...

    CEPSA Consortium Withdraws Bid for Salamander
    Global Deals

    Compania Espanola de Petroleos (CEPSA) said that it was withdrawing from the bidding to acquire oil firm Salamander Energy. The CEPSA-led consortium, which included Strategic Energy, had made its proposed offer on the condition that Salamander cancelled a deal it struck with Malaysia's SONA Petroleum Berhard in Jul-2014, selling a 40% interest in two Thai oil fields.

    The withdrawal will reduce competition for rival suitor Ophir.

    Source: Reuters

  • Hess Starts-Up Tubular Bells Deep-Water Field in GoM

    Hess Corporation announced that production has commenced from the Tubular Bells field, located in the Mississippi Canyon area of the deep-water Gulf of Mexico. The field is expected to deliver approximately 50 MBOE/d from three producing wells by end of 2014.The Tubular Bells Field was discovered in 2003 and...

    Hess Starts-Up Tubular Bells Deep-Water Field in GoM
    Headlines, Projects & Capex

    Hess Corporation announced that production has commenced from the Tubular Bells field, located in the Mississippi Canyon area of the deep-water Gulf of Mexico. The field is expected to deliver approximately 50 MBOE/d from three producing wells by end of 2014.

    The Tubular Bells Field was discovered in 2003 and the development was sanctioned in Oct-2011. It lies in approximately 4,300 feet of water, 135 miles southeast of New Orleans. The field has an estimated production life of 25 years.

    Shareholding of Tubular Bells field: Hess (57.14%, operator) and Chevron (42.86%).

    View Hess press release

  • Data analysis CorEnergy to Acquire MoGas Pipeline for $125 Million

    CorEnergy Infrastructure Trust has entered into an agreement to acquire the MoGas Pipeline System for $125 million in cash. The pipeline system is an approximately 263-mile interstate natural gas pipeline system which originates in northeast Missouri, and extends into western Illinois and central Missouri....

    CorEnergy to Acquire MoGas Pipeline for $125 MillionData analysis
    Global Deals

    CorEnergy Infrastructure Trust has entered into an agreement to acquire the MoGas Pipeline System for $125 million in cash. The pipeline system is an approximately 263-mile interstate natural gas pipeline system which originates in northeast Missouri, and extends into western Illinois and central Missouri. The pipeline maintains receipt points with Mississippi River Transmission Corporation in eastern St. Louis and with Panhandle Eastern Pipe Line Company and Rockies Express Pipeline on the northern end of the system.

    CorEnergy intends to finance the acquisition cost with a combination of borrowings under its credit facility and with proceeds of its simultaneously announced public offering of common stock.

    View CorEnergy press release

  • Data analysis Forest Oil Sells Arkoma Gas Assets for $185 Million

    Forest Oil has entered into an agreement to sell its natural gas properties located in the Arkoma Basin for approximately $185 million.The properties produced 22 MMcf/d during Q3-2014, had estimated 1P reserves of 159 Bcf as of 31-Dec-2013, and generated approximately $23 million of lease-level income during...

    Forest Oil Sells Arkoma Gas Assets for $185 MillionData analysis
    Headlines, Global Deals

    Forest Oil has entered into an agreement to sell its natural gas properties located in the Arkoma Basin for approximately $185 million.

    The properties produced 22 MMcf/d during Q3-2014, had estimated 1P reserves of 159 Bcf as of 31-Dec-2013, and generated approximately $23 million of lease-level income during the past twelve months ended 30-Sep-2014 (when NYMEX Henry Hub pricing averaged $4.27 per Mcf).

    View Forest Oil press release

  • YPF, ENAP Invest $200 Million for Magellan Straits Project

    YPF and ENAP have agreed to invest an extra $200 million to increase natural gas production off the southern tip of South America. The investment will help boost output from the Magellan Straits project to about 4 MMcm/d from the current 2.4 MMcm/d.YPF and ENAP also agreed to extend the joint production deal...

    YPF, ENAP Invest $200 Million for Magellan Straits Project
    Headlines, Projects & Capex

    YPF and ENAP have agreed to invest an extra $200 million to increase natural gas production off the southern tip of South America. The investment will help boost output from the Magellan Straits project to about 4 MMcm/d from the current 2.4 MMcm/d.

    YPF and ENAP also agreed to extend the joint production deal beyond the existing Aug-2016 expiry date. The length of extension will depend on negotiations between YPF and the central government and YPF and the federal province of Tierra del Fuego.

    Source: Reuters