Why Energy May Start To Follow Other Stocks
Why Energy May Start To Follow Other Stocks & Why That Isn’t Good News
As the Fed and other central banks around the world have raised rates, some areas of the stock market have posted big losses. Tech, for example, and anything to do with the worlds of crypto and the blockchain were hit hard at the end of last year, and while there has been some kind of a bounce in the early part of this year, even that is looking suspect now after this week’s acceptance by Fed Chair Jerome Powell that “higher for longer” is now expected.
2023/03/10 17:22
Exports of crude oil from the United States have surged since Russia invaded Ukraine last year.
U.S. Oil Exports May Be Rising But Production Isn’t
Exports of crude oil from the United States have surged since Russia invaded Ukraine last year.
The U.S. oil industry will see lower production growth this year and next before a potential return to stronger growth as prices rise.
With natural depletion, then, the cost of drilling increases and is added to already higher costs of equipment, services, and materials that are the result of global inflationary trends.
2023/03/03 17:16
The U.S. shale revolution had a profound impact on global politics.
How U.S. Shale Changed The Face Of Global Politics
The early days of the U.S. shale boom were characterized by innovation-driven disruption throughout an industry that had changed very little over time.
Fracking technology unlocked unfathomable reserves in the oil and gas realm.
The U.S. shale revolution had a profound impact on global politics.
2023/02/28 17:09
China’s Crude Oil Imports Expected To Hit A Record High In 2023
China’s Crude Oil Imports Expected To Hit A Record High In 2023
Chinese crude oil imports could increase to an average as high as 11.8 million barrels per day.
Reuters: Chinese refineries are raising utilization rates due to lower-cost crude and a surge in demand after the reopening.
China will also see this year the start-up of two new refineries with a combined capacity to process 520,000 bpd of crude.
2023/02/22 08:38
Russia And India Boost Energy Ties
Russia And India Boost Energy Ties
Before the invasion of Ukraine, India was a small marginal buyer of Russian crude oil.
Indian and Russian top energy executives are bolstering their energy ties this week at the India Energy Week.
India’s imports of Russian crude oil are estimated to have hit a record high of 1.2 million barrels per day in December.
2023/02/09 19:20
Venzuela is scrambling to capitalize on the global oil shortage, but it’s just not happening.
Venezuela Is Scrambling To Make The Most Of The Global Oil Shortage
Venzuela is scrambling to capitalize on the global oil shortage, but it’s just not happening.
Despite easing sanctions, the Maduro regime is struggling to ramp up production.
There has been around a month-long pause on crude and fuel exports, as PDVSA demands prepayment ahead of loading cargo, either with cash, goods, or services.
2023/02/04 10:12
Guyana’s Oil Industry Is In For A Stellar Year
Guyana’s Oil Industry Is In For A Stellar Year
Offshore Guyana, in as little as seven years, has emerged as the world’s hottest frontier oil play.
Guyana’s appeal to energy investors is bolstered by favorable geology, growing petroleum infrastructure and low breakeven prices.
Guyana’s oil auction is attracting considerable interest with major energy companies from Asia to Europe reviewing the opportunities available.
2023/01/28 18:38
Barclays Sees $15-$25 Barrel Downside If Manufacturing Activity Slows
Barclays Sees $15-$25 Barrel Downside If Manufacturing Activity Slows
Barclays: slowdown in global manufacturing activity could lead to increased downside for crude prices.
Barclays sees an estimated decline in Russia’s liquids output of 700,000 bpd from Q4 2023 to Q4 2024.
Barclays also isn’t writing off a potential boost in demand from China’s reopening.
2023/01/11 11:10
West Qurna 2 is operated by Russia's Lukoil.
One Of The World'sOne Of The World's Largest Oilfields Faces Delays In Development Largest Oilfields Faces Delays In Development
Middle East Business Intelligence: West Qurna 2 faces delays.
West Qurna 2 is operated by Russia's Lukoil.
Work on the next development phase of the giant oilfield was supposed to be completed by the end of this year.
2023/01/06 15:48
Where To Look For Unrealized Value In Oil Markets
Where To Look For Unrealized Value In Oil Markets
Today we’re offering a free glimpse into our monthly Global Energy Alert stock analysis. This report is written by David Messler, one of the top traders in the biz. He’s got a knack for picking winners and a keen eye for spotting ‘em before anyone else. Below, he breaks down two key oilfield service opportunities you’ll want to keep an eye on.
2022/12/28 14:46
Peru’s promising petroleum potential is being threatened as a political crisis embroils the country.
Peru’s Political Crisis Is Weighing On Its Energy Industry
Peru’s promising petroleum potential is being threatened as a political crisis embroils the country.
Peru’s oil production has declined sharply since the 1990s, with nearby Colombia and Ecuador garnering the energy investment once destined for the impoverished Andean country.
With fossil fuels providing 72% of all energy used in Peru, it is key for the national government to promote the development of the hydrocarbon sector to prevent an energy crisis.
2022/12/28 14:39
As central banks around the world hike interest rates, global economic growth is slowing, which will ultimately lead to a slowdown in India’s energy demand growth.
India’s Oil And Gas Demand Could Disappoint In 2023
In recent years India has been a key driver of global energy demand growth, helping to push both oil and gas prices higher.
As central banks around the world hike interest rates, global economic growth is slowing, which will ultimately lead to a slowdown in India’s energy demand growth.
While India may see a slowdown in oil and gas demand next year, its growing transportation sector will drive plenty of demand growth in the future.
2022/12/28 14:34
Why Energy May Start To Follow Other Stocks
Why Energy May Start To Follow Other Stocks & Why That Isn’t Good News
As the Fed and other central banks around the world have raised rates, some areas of the stock market have posted big losses. Tech, for example, and anything to do with the worlds of crypto and the blockchain were hit hard at the end of last year, and while there has been some kind of a bounce in the early part of this year, even that is looking suspect now after this week’s acceptance by Fed Chair Jerome Powell that “higher for longer” is now expected.
Exports of crude oil from the United States have surged since Russia invaded Ukraine last year.
U.S. Oil Exports May Be Rising But Production Isn’t
Exports of crude oil from the United States have surged since Russia invaded Ukraine last year.
The U.S. oil industry will see lower production growth this year and next before a potential return to stronger growth as prices rise.
With natural depletion, then, the cost of drilling increases and is added to already higher costs of equipment, services, and materials that are the result of global inflationary trends.
The U.S. shale revolution had a profound impact on global politics.
How U.S. Shale Changed The Face Of Global Politics
The early days of the U.S. shale boom were characterized by innovation-driven disruption throughout an industry that had changed very little over time.
Fracking technology unlocked unfathomable reserves in the oil and gas realm.
The U.S. shale revolution had a profound impact on global politics.
China’s Crude Oil Imports Expected To Hit A Record High In 2023
China’s Crude Oil Imports Expected To Hit A Record High In 2023
Chinese crude oil imports could increase to an average as high as 11.8 million barrels per day.
Reuters: Chinese refineries are raising utilization rates due to lower-cost crude and a surge in demand after the reopening.
China will also see this year the start-up of two new refineries with a combined capacity to process 520,000 bpd of crude.
Russia And India Boost Energy Ties
Russia And India Boost Energy Ties
Before the invasion of Ukraine, India was a small marginal buyer of Russian crude oil.
Indian and Russian top energy executives are bolstering their energy ties this week at the India Energy Week.
India’s imports of Russian crude oil are estimated to have hit a record high of 1.2 million barrels per day in December.
Venzuela is scrambling to capitalize on the global oil shortage, but it’s just not happening.
Venezuela Is Scrambling To Make The Most Of The Global Oil Shortage
Venzuela is scrambling to capitalize on the global oil shortage, but it’s just not happening.
Despite easing sanctions, the Maduro regime is struggling to ramp up production.
There has been around a month-long pause on crude and fuel exports, as PDVSA demands prepayment ahead of loading cargo, either with cash, goods, or services.
Guyana’s Oil Industry Is In For A Stellar Year
Guyana’s Oil Industry Is In For A Stellar Year
Offshore Guyana, in as little as seven years, has emerged as the world’s hottest frontier oil play.
Guyana’s appeal to energy investors is bolstered by favorable geology, growing petroleum infrastructure and low breakeven prices.
Guyana’s oil auction is attracting considerable interest with major energy companies from Asia to Europe reviewing the opportunities available.
Barclays Sees $15-$25 Barrel Downside If Manufacturing Activity Slows
Barclays Sees $15-$25 Barrel Downside If Manufacturing Activity Slows
Barclays: slowdown in global manufacturing activity could lead to increased downside for crude prices.
Barclays sees an estimated decline in Russia’s liquids output of 700,000 bpd from Q4 2023 to Q4 2024.
Barclays also isn’t writing off a potential boost in demand from China’s reopening.
West Qurna 2 is operated by Russia's Lukoil.
One Of The World'sOne Of The World's Largest Oilfields Faces Delays In Development Largest Oilfields Faces Delays In Development
Middle East Business Intelligence: West Qurna 2 faces delays.
West Qurna 2 is operated by Russia's Lukoil.
Work on the next development phase of the giant oilfield was supposed to be completed by the end of this year.
Where To Look For Unrealized Value In Oil Markets
Where To Look For Unrealized Value In Oil Markets
Today we’re offering a free glimpse into our monthly Global Energy Alert stock analysis. This report is written by David Messler, one of the top traders in the biz. He’s got a knack for picking winners and a keen eye for spotting ‘em before anyone else. Below, he breaks down two key oilfield service opportunities you’ll want to keep an eye on.
Peru’s promising petroleum potential is being threatened as a political crisis embroils the country.
Peru’s Political Crisis Is Weighing On Its Energy Industry
Peru’s promising petroleum potential is being threatened as a political crisis embroils the country.
Peru’s oil production has declined sharply since the 1990s, with nearby Colombia and Ecuador garnering the energy investment once destined for the impoverished Andean country.
With fossil fuels providing 72% of all energy used in Peru, it is key for the national government to promote the development of the hydrocarbon sector to prevent an energy crisis.
As central banks around the world hike interest rates, global economic growth is slowing, which will ultimately lead to a slowdown in India’s energy demand growth.
India’s Oil And Gas Demand Could Disappoint In 2023
In recent years India has been a key driver of global energy demand growth, helping to push both oil and gas prices higher.
As central banks around the world hike interest rates, global economic growth is slowing, which will ultimately lead to a slowdown in India’s energy demand growth.
While India may see a slowdown in oil and gas demand next year, its growing transportation sector will drive plenty of demand growth in the future.

Oil And Gas Companies Set For Record Free Cash Flow This Summer

2021/06/25 15:28
Oil And Gas Companies Set For Record Free Cash Flow This Summer

With oil trading above $70 per barrel while investment activity remains low, the world’s publicly traded exploration and production (E&P) companies are set to generate record-breaking free cash flows (FCF) in 2021, a Rystad Energy report projects. Their combined FCF is expected to surge to $348 billion this year, with the previous high being $311 billion back in 2008.

Rystad Energy estimates that total gross revenue for all public upstream companies is expected to increase by almost $500 billion in 2021, or 55% compared to last year (excluding hedging effects). At the same time, the investment level of these companies is only expected to grow by around 2% in 2021, resulting in significantly higher profits.

A key reason for the all-time-high FCF is the turnaround in the US tight oil industry. Historically, this industry has struggled to generate positive returns, but this could change in 2021. We estimate that all public tight oil companies will to make close to $60 billion in FCF this year, before hedging effects.

The conventional onshore supply segment is in line to earn the highest level of FCF this year at close to $160 billion – but is still behind the record touched in 2011. Both deepwater and offshore shelf are recovering this year, each ending up with close to $60 billion in FCF. However, tight oil is expected to surpass both these offshore segments in 2021.

“Oil demand has gradually increased after the initial shock of the Covid-19 pandemic, and OPEC+ continues to hold back volumes from the market. The consequent high price movement has been further supported by a slow ramp-up in US tight oil activity. In conjunction with the persisting low investment environment, E&Ps are enjoying super-profits,” says Espen Erlingsen, head of upstream research at Rystad Energy.

The FCF comeback means more surplus cash for E&P companies and historically there has been a strong link between FCF and activity levels. Merger and acquisition (M&A) activity has recovered in 2021, with transaction values increasing by around 30% compared to 2020. New projects are also making a comeback: The amount of greenfield investment that has been sanctioned as of June has already matched the full year 2020 total, and we expect the full 2021 level to be double that of last year.