Category: Oil Industry

Despite recent signs of a slowdown and less-than-optimistic forecasts for future production growth, the International Energy Agency (IEA) believes Continue reading US shale to pump more oil than Russia

The growth in US oil production may be running out of steam, according to IHS Markit’s latest outlook for oil market fundamentals.

According to IHS Markit’s vice president for North American uncoventionals, Raoul LeBlanc, production growth will be radically lower than in recent years. The market outlook predicts a production growth of 440,000 barrels per day (bpd) in 2020, which may seem substantial, but is considerably lower than the 2 million bpd annual growth of last year. Production will then plateau in 2021 before resuming growth in 2022, albeit at much lower levels than in recent years.

LeBlanc explains that markets are having a moderating effect on shale oil production, which has been largely driving total US crude oil production. He says:

“The combination of closed capital markets and weak prices are pulling cash out of the system. Investors are imposing capital discipline on E&P’s by pushing down equity prices and pushing up the cost of capital on debt markets.”

Oil majors like ExxonMobil will likely not be affected by this, however, especially as it seems to be focussing on an approach of refining the oil from its shale operation into higher value goods, such as its Mobil DTE hydraulic oil, making it less susceptible to low crude oil prices.

The report also concludes that the US oil market does still have some capacity for growth should oil prices increase for whatever reason. It predicts that a price of $65 per barrel could see the return of strong volume growth.

Bento Albuquerque, Brazil’s Energy Minister, has said the country can potentially more than double its oil production, although he did not indicate how quickly this could be realised.

Currently, the Continue reading Brazil looks to more than double oil production

The Paris-based International Energy Agency (IEA) has said in its latest monthly report that it expects oil markets to show a supply surplus in 2020 in the absence of a strong recovery in demand. Continue reading IEA says oil markets could be oversupplied in 2020

Shell’s marine-oriented arm has published a new whitepaper providing guidance for ship operators as they transition to meet the low-sulphur caps being introduced by the IMO at the start of next year.

The whitepaper, Continue reading Shell publishes cylinder oil guidance for IMO 2020

Energy major ExxonMobil has announced that it has entered into a Memorandum of Understanding (MoU) with the Indian Institute of Technology, specifically at its Bombay and Madras locations, to further research into Continue reading ExxonMobil signs MoU with the Indian Institute of Technology

Oil major ExxonMobil has announced that it has signed an agreement to sell its non-operated Norwegian upstream assets.

Under the Continue reading ExxonMobil to sell upstream Norway assets for $4.5bn

Saudi Aramco, the state-owned oil company of Saudi Arabia, says it expects to restore full production levels by the end of September.

Two oil facilities at Continue reading Saudi Aramco expects full production again soon

Oil major ExxonMobil has made yet another discovery in the waters offshore of Guyana in South America, the 14th so far.

The find was made in Continue reading ExxonMobil strikes oil again offshore of Guyana

The new energy minister of Saudi Arabia, Prince Abdulaziz bin Salman, has signalled that the production-limiting deal between OPEC and Continue reading New Saudi energy minister signals deal to stay