Energy top stories to 09/08/22. OPEC daily basket price stood at $100.78/bl, 08 August 2022
Nigeria’s Bonny Light oil output fell 89,256 b/d to 1.31 million b/d or by 6% in July as pipeline closures persist
Crude and condensate production in July fell to 1,314,074 b/d, from 1,403,330 b/d in June, according to Nigerian Upstream Petroleum Regulatory Commission data.
WTI for September delivery rose 47 cents to settle at $89.01 a barrel in New York. , Brent for October settlement gained 80 cents to settle at $94.92 a barrel.
During a conversation with Accountancy Age, Dr Matthew Bell, EY’s global climate change and sustainability service leader at EY, Dr Matt Bell, highlighted highlights the need to “ramp up the pace” of progress with regards to sustainability sustainability reporting. New standards for sustainability reporting have seen listed companies publish non-financial information in their financial reports since 2021 More
Alaska Airlines announced it has finalized an agreement with biofuel company Gevo Inc., to purchase its most significant sustainable aviation fuel (SAF) offtake commitment to date – 185 million gallons of SAF over five years starting in 2026. This agreement was developed alongside others in the oneworld alliance. “Using sustainable aviation fuel is a significant part of Alaska’s five-part path to reach net zero carbon emissions, and alongside others in the oneworld alliance, we are committed to creating a more sustainable future for aviation,” said Diana Birkett Rakow, senior vice president of public affairs and sustainability at Alaska Airlines. “SAF is the most immediate path we have toward decarbonization of aviation, but we recognize there is significant work required ahead – including public policy action – to make SAF a viable, affordable option at scale.” Read More
Gevo announced a new fuel sales agreement with American Airlines, Inc.. The agreement sets forth the terms for the sale of 100 million gallons per year of sustainable aviation fuel (SAF) for five years from Gevo’s future commercial operations. Gevo’s delivery of SAF under this agreement is expected to begin in 2026. Gevo estimates that the agreement should generate approximately $2.75 billion of revenue over the five-year term, inclusive of the value of environmental benefits. The Agreement with American Airlines is the single, largest fuel sales agreement ever entered into by Gevo with a customer. Read More–>
Gevo, Inc. announced a new fuel sales agreement with Alaska Airlines (NYSE: ALK). The Agreement provides for Alaska Airlines to purchase 37 million gallons per year of sustainable aviation fuel (SAF) for five years through Gevo’s future commercial operations. Gevo’s SAF deliveries are expected to begin in 2026. Read More
China said Monday it was extending threatening military exercises surrounding Taiwan that have disrupted shipping and air traffic and substantially raised concerns about the potential for conflict in a region crucial to global trade. The exercises would include anti-submarine drills, apparently targeting U.S. support for Taiwan in the event of a potential Chinese invasion, according to social media posts from the eastern leadership of China’s ruling Communist Party’s military arm, the People’s Liberation Army. The military has said the exercises involving missile strikes, warplanes and ship movements crossing the midline of the Taiwan Strait dividing the sides were a response to U.S. House Speaker Nancy Pelosi’s visit to the self-ruled island last week. Read More
At the time of Russia’s illegal invasion of Ukraine, it typically supplied one out of every four barrels of crude oil that the European Union imported. These imports contributed significantly to funding Putin’s military aggression against Ukraine. To cut this funding stream, the European Commission has agreed a ban on imports before the end of the year and a ban on EU ships transporting Russian oil. The UK has also announced a ban on Russian oil imports to fully take effect by the end of the year.
Transport is responsible for two thirds of the EU’s oil demand. To ensure that the EU does not simply shift oil purchases from one authoritative regime to another, which will do nothing to improve the EU’s energy security, the EU and member states should use this as an opportunity to wean transport of its fossil fuel dependency altogether. This will not only improve the EU’s energy security. Crucially, it will also put EU transport on a more sustainable pathway to enable the EU to meet its climate goals.
This paper assesses how and to what extent the EU can reduce oil demand through short, medium and long term measures. We quantify and build upon the key transport recommendations included within the EU’s REpowerEU strategy – the new EU strategy to boost Europe’s energy independence – published in May. Read More
Abu Dhabi National Oil Company (ADNOC) announced two contracts totalling more than $3.4 billion (AED12.6 billion) have been awarded to ADNOC Drilling to hire 8 jack-up offshore rigs. The contracts, valued at $1.5 billion (AED 5.6 billion) and $1.9 billion (AED 7 billion) respectively, awarded by ADNOC Offshore, will support the expansion of ADNOC’s crude oil production capacity to five million barrels per day (mmbpd) by 2030 and enable gas self-sufficiency for the UAE.
Over the life of the 15-year contracts, ADNOC Drilling’s state-of-the-art rig fleet will enable ADNOC and its strategic international partners to further unlock Abu Dhabi’s offshore oil and gas resources, creating significant value for ADNOC, its partners and the UAE. Over 80% of the value of the awards will flow back into the UAE’s economy under ADNOC’s successful In-Country Value (ICV) program, supporting local economic growth and diversification. Read More
Saudi Arabian Oil Company (“Aramco”) and the SABIC Agri-Nutrients Company (“SABIC AN”), have obtained the world’s first independent certifications recognizing “blue” hydrogen and ammonia production. The certifications were granted by TÜV Rheinland, a leading independent testing, inspection and certification agency based in Germany, to SABIC AN, in Jubail, for 37,800 tons of “blue” ammonia and to Aramco’s wholly-owned refinery (SASREF), also in Jubail, for 8,075 tons of “blue” hydrogen. To certify ammonia and hydrogen as “blue”, a significant part of the CO2 associated with the manufacturing process needs to be captured and utilized in downstream applications. Read More
Oman will post its first yearly fiscal surplus in a decade in 2022 amounting to 6.5% of the gross domestic product (GDP), said Fitch Solutions.
Earlier this week, Oman’s Ministry of Finance released data showing that the Sultanate posted a surplus of OMR784 million in in the first half of 2022, following a deficit of OMR1108 million a year earlier.
“Revenue figures were in line with our expectations, and we think that revenue will rise further in [the second half of the year] as a result of high energy prices. We expect that expenditure growth will remain moderate due to authorities’ commitment to fiscal consolidation. Government debt data also came in line with our view as we expect it to further decrease to OMR17.5 billion towards the end of the year, bringing Oman’s debt to GDP ratio to 47.5% in 2022, down from 67.3% in 2021,” said Fitch.
The improvement was driven by a 54.2% year-on-year (YoY) increase in government revenues, mainly supported by a 40.1% YoY increase in oil revenues and a 137.8% increase in gas revenues. Read More
Lamprell announced its audited financial results for the year ended 31 December 2021.
In Q4 2021, the Group secured a USD 45 million working capital facility for the delivery of the two IMI rigs and subsequently raised USD 30.1 million through a placing of shares. Net finance cost (excluding interest expense on leases) for the full year 2021 amounted to USD 2.1 million (2020:USD 1.4 million).
Net loss for the year ended 31 December 2021 was USD 60.0 million (2020: loss of USD 53.4 million). The loss is driven by the low revenue levels which did not generate sufficient margin contribution to cover the Group’s overhead of USD 69.0 million and our share of loss of investments accounted for using the equity method of USD 17.0 million. The diluted loss per share for the year was 16.98 US cents (2020: diluted loss per share 15.63 US cents).
Read More
| Oil and Gas Blends | Units | Oil Price $ | change |
| Crude Oil (WTI) | USD/bbl | $91.77 | Up |
| Crude Oil (Brent) | USD/bbl | $97.87 | Up |
| Bonny Light | USD/bbl | $118.10 | Up |
| Saharan Blend | USD/bbl | $117.77 | — |
| Natural Gas | USD/MMBtu | $7.70 | Down |
| OPEC basket 08/08/22 | USD/bbl | $100.78 | Up |
Gasoline prices in the United States could fall below the $4 per gallon mark, Gas Buddy’s head of petroleum analysis, Patrick De Haan, said in a note on Monday.
Diesel will likely soon fall under $5 per gallon.
Gasoline prices have fallen for the eighth week in a row, according to Gas Buddy data.
“The national average is poised to fall back under $4 per gallon as early as today as we see the decline in gas prices enter its eighth straight week. By the end of the week, one hundred thousand stations will be at $3.99 or less,” De Haan said, adding that he has even seen some stations set their pricing below $2.99 per gallon.
Gasoline prices on Monday in the United States slipped to an average of $4.059 per gallon, according to AAA data. That’s 1 cent less than yesterday, 15.3 cents less than last week, and 66.2 cents lower than a month ago. While this is a dramatic drop over the last month, the average price is still 87 cents higher than it was a year ago. Read More
Lamprell confirms that the USD 45 million UAE Export Credit Agency backed revolving trade loan facility (the “Facility”) has now been repaid. The facility was agreed in October 2021 to assist with the working capital requirements of the two IMI newbuild jackup rigs which are currently under construction at the Group’s Hamriyah yard. The repayment follows the USD 145 million Bridge Loan Agreement between Lamprell and two lenders, Maverick Investment Holding Ltd (a company under the control of a member of the AlSayed family) and AlGihaz Holding Closed Joint-Stock Company, which was entered into on 21 July 2022. Read More
Charge point management platform Fuuse has unveiled a new enterprise fleet solution to accelerate the journey to electric fleets. Building on the company’s electric vehicle charging software, Fuuse Fleet’s suite of tools supports fleet managers through the journey to fleet electrification. From initial transition planning and site readiness to infrastructure installation, and charger operation and maintenance, Fuuse Fleet gives fleet managers the confidence and evidence they need to make key decisions for their electric fleet. Read More
Ørsted inaugurated the Ørsted Taiwan Offshore Wind Farms Operations and Maintenance (O&M) Hub. Located at the Port of Taichung, the O&M hub is the first operations facility with green design and the largest in terms of size and offshore service capacity in the Asia-Pacific region. It’s built with the aim to serve four Greater Changhua offshore wind farms with a combined capacity of approximately 2.4 GW.
Among the many distinguished guests at the inauguration ceremony were Shen Jong-chin, Vice Premier; Hung Sun-han, Legislator; Chen Su-yueh, Legislator; Yan Li-min, Deputy Speaker of Taichung City Council, Chen Rong-cong, President of Taichung Port, Taiwan International Ports Corporation, Ltd.; and foreign representatives as well as Mads Nipper, Group President and CEO of Ørsted, and Per Mejnert Kristensen, new President of Ørsted Asia-Pacific. Read More
U.S. Rig Count is down 3 from last week to 764 with oil rigs down 7 to 598, gas rigs up 4 to 161 and miscellaneous rigs unchanged at 5.
Canada Rig Count is down 1 from last week to 203, with oil rigs up 3 to 140, gas rigs down 4 to 63.
International Rig Count is up 9 rigs from last month to 833 with land rigs up 12 to 633, offshore rigs down 3 to 200.
| Region | Period | Rig Count | Change from Prior |
| U.S.A | 05 August 2022 | 764 | -3 |
| Canada | 05 August 2022 | 203 | -1 |
| International | July 2022 | 833 | +9 |
Targa Resources Corp. reports second quarter 2022 results.
Second quarter 2022 net income attributable to Targa Resources Corp. was $596.4 million (including a $435.9 million gain on the sale of an equity method investment attributable to the sale of Targa GCX Pipeline LLC) compared to $56.2 million for the second quarter of 2021.
The Company reported adjusted earnings before interest, income taxes, depreciation and amortization, and other non-cash items (“adjusted EBITDA”) of $666.4 million for the second quarter of 2022 compared to $460.0 million for the second quarter of 2021.
On July 14, 2022, Targa declared a quarterly dividend of $0.35 per share of its common stock for the second quarter of 2022, or $1.40 per share on an annualized basis. Total cash dividends of approximately $79 million will be paid on August 15, 2022 on all outstanding shares of common stock to holders of record as of the close of business on July 29, 2022. The Company reported distributable cash flow and adjusted free cash flow for the second quarter of 2022 of $533.4 million and $334.1 million, respectively. Read More
OilandGasPress Energy Newsbites and Analysis Roundup |Compiled by: OGP Staff, Segun Cole @oilandgaspress.
Disclaimer: News articles reported on OilAndGasPress are a reflection of what is published in the media. OilAndGasPress is not in a position to verify the accuracy of daily news articles. The materials provided are for informational and educational purposes only and are not intended to provide tax, legal, or investment advice.
Please email us your industry related news for publication info@OilAndGasPress.com
Follow us: @OilAndGasPress on Twitter |
