Woodside's Pluto LNG restart delayed

Source: RBC Woodside's restart from its planned Pluto LNG turnaround will be delayed until the end of June after initial restart efforts were unsuccessful. Vibration in the refrigerant compressor has delayed restart. In the interim, Woodside will be purchasing cargoes from the market to fulfill its contractual obligations. However Woodside are making a healthy margin of  c.USD5/mmbtu with the current lull in Asian spot LNG prices due to...

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PGNiG acquires Total's 22.2% stake in King Lear

Total has sold its 22.2% stake in King Lear to PGNiG. This follows AkerBP's acquisition of Equinor's 77.8% stake in the field in October 2018 for USD250 million. In October 2018, AkerBP noted that King Lear is one of the largest undeveloped discoveries in Norway and that it planned to develope the field as a satellite to Ula. Ula is operated by AkerBP (80% with DNO as 20% partner) and the tie-back will improve capacity utilisation at the Ula...

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Hurricane reaches first oil and Lancaster

Hurricane has reached first oil at the Lancaster field. The Aoka Mizu FPSO completed the start-up phase with a 72-hour production test and combined production from the wells reached the targeted 20mbopd, marking the contractual completion of commissioning. Hurricane now expects to ramp up production over the next six months towards the longer-term ~85% operating efficiency target. Production guidance is: c.9mbopd for the next three months; followed...

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Chevron-Anadarko: the overlooked jewel

As Chevron swallows up its USD50 billion acquisition of Anadarko, OGInsights turns its focus away form the heavily covered synergies in the Permian, DJ Basin and Gulf of Mexico, and towards its LNG portfolio as Chevron strives to join the ranks of the supermajors in LNG. Chevron has a Australasia-centric LNG business, but Anadarko's 27% operated interest in Mozambique Area 1 now broadens the former's reach. The Mozambique position is a low...

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Saudi oil optics

The release of the March Official Selling Prices begins to illustrate Saudi Arabia's complex and calculated moves in the global oil markets. After years of trying to figure out the market dynamics of the brave new world with US shale and testing market responses to various signals, it knows that cutting its own production is not the only thing that matters (not to mentioned damaging to its own market share). In fact, targeting data points that...

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Further positive momentum at Zama

The Zama-2ST1 well (side-track well son Zama-2) encountered 873ft of gross oil bearing column with a net-to-gross ratio of c.70%. The well flowed at 7.9mboepd of which 94% was light 26-30 API oil. The well results indicated a prolific reservoir and potential to achieve significant plateau rates at the field. The operator estimates that a peak production of 150-175mboe/d is achievable. This news is positive for the recoverable reserves of the field...

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Energean success at Karish North

Energean has made a significant gas find at its high profile Karish North well. The well reached a depth of 4,880m and encountered a fantastic hydrocarbon column of c.250m Management guidance of the estimated Gas-in-Place is 1-1.5tcf of which ~875bcf could be recoverable resource (i.e. close to 60% recovery factor). Further evaluation will now be undertaken to determine the liquids content on the discovery.  The A, B and C sands have been...

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