Oil Prices News

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Offshore Drilling: It’s Going to Get Worse Before It Gets Better

The Offshore Rig Market – At $30 Oil Offshore Drillers May Be Out of OptionsCOVID-19 and low oil prices are already having an impact on the offshore rig market as contractors face crew and logistical challenges and E&Ps attempt to prioritize drilling campaigns.Contract scrutiny has already led to a few contract cancellations and the first claims of force majeure.However, contract options are at most risk. Over $1.6 billion in contract value is at stake for options that are due to be exercised this year. Africa, Southeast Asia, and the Middle East make up over 50% of the total.With the oil

Hywind Tampen Illustration - Image Credit: Equinor

Equinor's $466M Floating Wind Farm Plan Approved

;s 4.8 billion Norwegian crowns ($466 million) plan to build floating offshore wind turbines that will provide electricity to North Sea oil and gas platforms, the energy ministry said.The long-planned project is going ahead despite Equinor's decision to cut investment following a plunge in oil prices that has reduced the company's cash flow.Five platforms at Norway's Snorre and Gullfaks fields will be the first in the world to receive power from a floating wind park, the oil company said in a separate statement."As the whole industry is currently experiencing much uncertainty,

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As Oil Crisis Deepens, Hedge Funds Sense a Turnaround

Hedge fund managers sensed oil prices were nearing a turning point last week, and for the first time in more than two months started to add long positions in anticipation prices would bounce from an unsustainable low.Overall, hedge funds and other money managers were still net sellers of 19 million barrels of petroleum in the six most important futures and options contracts in the week ending on March 31.But they initiated 40 million barrels of new purchases as well as 59 million barrels of fresh sales, according to position records published by ICE Futures Europe and the U.S. Commodity Futures

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U.S. to send envoy to Saudi Arabia to Stabilize Oil Prices

plans to send a special energy envoy to Saudi Arabia to work with the kingdom on stabilizing the global oil market, officials said on Friday, as the U.S. scrambles to deal with a price crash so deep that regulators in Texas considered curbing production there for the first time in nearly 50 years.Oil prices have lost more than half their value in the last two weeks as Saudi Arabia and Russia kicked off a price war and the coronavirus pandemic destroyed demand. U.S. oil now trades at less than $23 a barrel.The crash has shocked the oil industry as a pact among OPEC and non-OPEC producers to cooperate

(Photo: TechnipFMC)

TechnipFMC Shelves Spin-off Due to Market Turmoil

crisis, rocked by the coronavirus outbreak and efforts by top exporter Saudi Arabia to raise production and cut prices.TechnipFMC shares slid to an all-time low on Friday as the plunge in crude oil hit stocks of industry players, though they had rebounded by the close in line with a late surge in oil prices.(Reporting by Gus Trompiz and Bate Felix; Editing by Jan Harvey

 Image: Heriot-Watt University

ORCA Hub Readies Drones for Offshore Energy

system for asset inspection and maintenance requirements.Commenting on the importance of events of this type, Professor David Lane CBE, from Heriot-Watt University and director of the ORCA Hub, said: “The international offshore energy industry faces many challenges, including near-permanent low oil prices and expensive decommissioning commitments from historic infrastructure, particularly in the North Sea. The ORCA Hub is providing game-changing, remote solutions that can be easily integrated into existing and future assets and sensors for both the renewables sector and traditional industries like

(Photo: Øyvind Hagen / Equinor)

Oil Price Controls Subsea Market Growth

The subsea market in 2019 will experience year-on-year growth for the first time since 2014. But the positive outlook is vulnerable to any significant decline in oil prices over the next few years, according to analyst Rystad Energy.“We expect the subsea market to thrive during the coming years, but market growth will be at risk if the oil price falls to $50 per barrel,” says Henning Bjørvik, an analyst on Rystad Energy’s oilfield service team.Rystad Energy, the independent energy research and consulting firm headquartered in Norway, has analyzed the outlook for global subsea

Source: GlobalData

Industrial Internet to Help Upstream Sector

of projects against different market scenarios, optimizing inventory levels, demand forecasting, decision support, and logistics optimization, and setting up long-term objectives for an organization.”Adoption of digital technologies has surged of late, largely as a reaction to the crash in crude oil prices. However, companies have been quite methodical in their approach to enable this transformation and ensuring maximum possible value can be derived through Industrial Internet implementations

(Image: Aker Solutions)

Aker Solutions Beats Forecasts

Aker Solutions beat second-quarter earnings on Wednesday citing demand from the offshore oil sector despite price pressure from ongoing high capacity.Service providers are slowly recovering from a 2014 slump in oil prices that prompted companies to curb offshore projects.Earnings before interest, tax, depreciation and amortization (EBITDA), excluding one-offs, rose to 629 million crowns ($73 million) from 441 million crowns a year earlier.That beat the 585 million crowns expected by four analysts in a Refinitiv poll."There is still a lot of capacity available in some areas, not all," Chief

Courtesy PGS

PGS Calls off Debt Refinancing, Shares Fall

weeks, sending the Norwegian company's shares down 24%.Oslo-listed PGS, which owns a fleet of seismic vessels that scan the seabed for buried hydrocarbons and sells the data to oil and gas explorers, had announced plans on May 27 to raise debt of $675 million as part of a refinancing.Brent crude oil prices have fallen by more than 10% since the company announced its refinancing plans."We see that the investor sentiment regarding oil services has been considerably weaker since we launched the refinancing plans at the end of May, and that has impacted the interest for the facilities negatively

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