Aramco will offer less than 1% of shares to individuals

Saudi Aramco will sell up to 0.5% of its shares to individual investors in what could be the largest initial public offering in history, Kallanish Energy reports. The process begins Nov. 17, and closes on Dec. 4, the company said in its IPO prospectus, released last Saturday. The 658-page document comes almost four years after

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Years of offshore investments could be worthless: Rystad

International E&P companies are struggling to make money from offshore investments made during the latest investment upturn, according to a new study by Rystad Energy, Kallanish Energy reports. The independent research company has evaluated all offshore oilfields sanctioned since 2010 and ranked them by estimated value per barrel of oil under various oil-price scenarios. The

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Offshore wind set to be $1T business by 2040: IEA

Offshore wind should become a $1 trillion business by 2040, the International Energy Agency (IEA) said Friday, with global capacity set for a 15-fold increase, Kallanish Energy reports. According to the IEA’s Offshore Wind Outlook 2019, investment last year in the sector neared $20 billion, compared to under $8 billion in 2010. With today’s investment

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Aramco delays planned IPO until post-earnings update

Saudi Aramco has delayed the planned launch of its initial public offering in hopes pending third-quarter results will raise investor confidence in the world’s largest oil firm, two sources familiar with the matter told Reuters. Aramco had been expected to announce plans this week to float a 1% to 2% stake on the kingdom’s Tadawul

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US natgas production to rise in 2019, 2020: STEO

The Henry Hub natural gas spot price averaged $2.56 per million British thermal units (MMBtu) in September, up 34 cents/MMBtu from August, the first monthly price increase since March, the Energy Information Administration reports in the just-released Short-Term Energy Outlook (STEO). EIA/STEO forecasts Henry Hub prices to average $2.43/MMBtu in the fourth quarter of 2019,

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Brent to average $60/Bbl in 2020: STEO

Brent crude oil spot prices will average $59 per barrel in the fourth quarter of 2019, then fall to $57/Bbl by the second quarter of 2020, $5/Bbl lower than forecast one month ago, the Energy Information Administration reported Tuesday in its October Short-Term Energy Outlook (STEO). Despite the recent increase in supply disruptions, EIA expects

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BP names Bernard Looney as Dudley’s successor

BP’s board of directors announced today CEO Bob Dudley will retire on March 31, 2020 and will be succeeded by Bernard Looney – who currently heads BP’s Upstream, Kallanish Energy reports. Dudley decided to step down as group chief executive and from the BP Board following delivery of the company’s 2019 full year results on

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US crude oil exports continue growing in first half of 2019

U.S. exports of crude oil rose to average 2.9 million barrels per day (Mmbpd) in the first half of 2019, an increase of 966,000 b/d from the first half of 2018, the Energy Information Administration reports. U.S. crude oil exports also set a record-high monthly average in June, at 3.2 Mmbpd, Kallanish Energy learns. Despite

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Natural gas royalties paid in Pa reach nearly $10B

Royalties paid to Pennsylvania landowners for natural gas extraction in primarily eight counties totaled $8.84 billion from 2010 through 2018, according to calculations by the state Independent Fiscal Office (IFO), Kallanish Energy reports. Royalty payments made in the remaining Pennsylvania counties where natural gas is produced would add another $982 million in royalty payments to

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Texas wind power on track to outpace coal in 2020

Texas is about to go green — by 2020, more electricity will come from wind than coal, according to analytics/consulting firm Rystad Energy. Propelled by the surging shale revolution, Texas now contributes 40% of total U.S. oil production and nearly 25% of marketed natural gas production, Kallanish Energy reports. However, the “Lone Star State” is

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San Jose moves to ban natural gas in new residential buildings

The U.S.’s 10th most populous U.S. city Tuesday moved to ban natural gas in most new residential buildings, beginning next year, Kallanish Energy reports. The 10-member San Jose, California, city council and Mayor Sam Liccardo voted unanimously to make San Jose the largest U.S. city so far to seek to reduce greenhouse gas emissions by

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US producible gas volume jumps in latest biennial survey

Energy industry experts who comprise the Potential Gas Committee announced Wednesday the volume of producible natural gas in the U.S. has jumped roughly 20% since their last assessment two years ago. The increase of 557 trillion cubic feet (Tcf) reported by the Pgc is the highest assessment in its 54-year history. The organization estimates total

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Iraq will comply with Opec cuts, minister says

Iraq will immediately comply with Opec production cuts after months of overproduction, its oil minister told CNBC Tuesday. The second-largest crude producer in the 14-member cartel is known to chronically overproduce even as the group tries to curb output to help prop up prices, Kallanish energy reports. In August, Baghdad reported its highest oil production on

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EQT simplifying organization, cutting 23% of workforce

EQT Corp. said Tuesday it’s cutting its workforce by 23% — 196 positions – and chopping departments to 15 from 58 – all designed to improve operational effectiveness, and create a more efficient, nimbler organization. The workforce reduction will save roughly $50 million in general and administrative expenses annually, Kallanish Energy reports. All actions announced

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Plains gives up on pipeline steel surcharge

U.S. pipeline operator Plains All American has abandoned a plan to institute a surcharge to offset Section 232 steel tariffs for its new Cactus II Pipeline, following objections by ConocoPhillips and Encana, according to regulatory documents secured by Kallanish, sister publication of Kallanish Energy. The proposed tariff would have been $0.05/barrel on its 670,000 barrels

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