Brazil Could Provide A Quarter Of The World’s Offshore Oil In 4 Years
Brazil Could Provide A Quarter Of The World’s Offshore Oil In 4 Years
As Brazil’s oil industry looks set to soar over the next decade, with the potential to provide almost a quarter of the world’s offshore oil by 2025, Big Oil is betting big on the oil-rich state.
2021/08/24 19:25
China government will allocate 100 billion yuan to support photovoltaic and wind power projects in 2021
China government will allocate 100 billion yuan to support photovoltaic and wind power projects in 2021
"Fourteen five" 500 billion special funds! This year, 100 billion yuan will be allocated to support photovoltaic and wind power projects.
2021/08/23 14:21
Russia Has Big Plans For Arctic Oil
Russia Has Big Plans For Arctic Oil
Russia seems intent on selling the world’s very last barrel of oil. As other energy superpowers and petro-states around the world scramble to diversify their economies and establish a foothold in the burgeoning green energy transition, Russia has stalwartly refused to ease its reliance on its fossil fuels industry and is vying for the distinction of being the last man standing in an industry whose days are inevitably numbered.
2021/08/23 14:06
China Continues To Tap Crude Reserves Despite Plunge In Refining Activity
China Continues To Tap Crude Reserves Despite Plunge In Refining Activity
The world’s largest oil importer, China, is estimated to have drawn some crude from its oil reserves in July, although its refining throughput fell to the lowest level in over a year, Reuters columnist Clyde Russell has estimated based on official Chinese data.
2021/08/18 11:51
Canada Could Boost Oil Pipeline Capacity As Soon As September
Canada Could Boost Oil Pipeline Capacity As Soon As September
Canada’s oil sands producers may find welcome relief to years of pipeline capacity constraints when the first new pipeline in years could enter into service as early as next month.
2021/08/18 11:34
Why The U.S. Is So Vulnerable To Rising Oil Prices
Why The U.S. Is So Vulnerable To Rising Oil Prices
Oil markets started off the week under pressure as continued speculative “long” liquidation amid delta variant demand concerns weighed on prices. However, in an ironic twist, the oil market got a boost from an unlikely source on Wednesday as the Biden administration announced it was pleading with OPEC+ members to increase oil production to stem inflationary pressures from rising domestic gasoline prices.
2021/08/17 09:25
What Happens If We Stop Pumping Oil Tomorrow?
What Happens If We Stop Pumping Oil Tomorrow?
What Happens If We Stop Pumping Oil Tomorrow?If there was no oil, iPhones, technology, computers, plastics, all manufactured products, food and medicines would not be able to be produced,
2021/08/17 09:07
Brazil Soon To Become King Of Offshore Oil
Brazil Soon To Become King Of Offshore Oil
Brazil is on its way toward becoming the biggest supplier of offshore oil globally, contributing some 1.3 million bpd in 2025, World Oil reports, citing a new report by GlobalData.
2021/08/16 14:34
The Oil & Gas Inflation Trap That No One Wants To Talk About
2021/08/13 14:46
Uganda’s Oil Boom Is Only Just Beginning
Uganda’s Oil Boom Is Only Just Beginning
Uganda is set to be a key focus of African Energy Week (AEW) in Cape Town this November, as its flourishing oil industry looks set to boom in the coming years. Uganda’s government has been working hard to encourage more foreign investment recently as the country aims to develop its oil and gas industry significantly over the next decade.
2021/08/13 14:39
OPEC Sees Oil Demand At 100 Million Bpd Next Year Despite COVID Surge
OPEC Sees Oil Demand At 100 Million Bpd Next Year Despite COVID Surge
Global oil demand is expected to average 96.6 million barrels per day (bpd) this year and exceed 100 million bpd in the second half of 2022, OPEC said on Thursday, keeping its estimates from a month ago unchanged despite the COVID resurgence in major economies, including China and the United States.
2021/08/13 14:36
The Dawn Of A New Era In Deepwater Drilling
The Dawn Of A New Era In Deepwater Drilling
A new era in deepwater drilling is about to begin. With the sanctioning of the Anchor project super-major operator, Chevron, NYSE: CVX) signaled that it was ready to risk billions tapping the ultra-high pressure, Lower Wilcox Tertiary play, some 35,000 feet below the mudline.
2021/08/12 14:22
Brazil Could Provide A Quarter Of The World’s Offshore Oil In 4 Years
Brazil Could Provide A Quarter Of The World’s Offshore Oil In 4 Years
As Brazil’s oil industry looks set to soar over the next decade, with the potential to provide almost a quarter of the world’s offshore oil by 2025, Big Oil is betting big on the oil-rich state.
China government will allocate 100 billion yuan to support photovoltaic and wind power projects in 2021
China government will allocate 100 billion yuan to support photovoltaic and wind power projects in 2021
"Fourteen five" 500 billion special funds! This year, 100 billion yuan will be allocated to support photovoltaic and wind power projects.
Russia Has Big Plans For Arctic Oil
Russia Has Big Plans For Arctic Oil
Russia seems intent on selling the world’s very last barrel of oil. As other energy superpowers and petro-states around the world scramble to diversify their economies and establish a foothold in the burgeoning green energy transition, Russia has stalwartly refused to ease its reliance on its fossil fuels industry and is vying for the distinction of being the last man standing in an industry whose days are inevitably numbered.
China Continues To Tap Crude Reserves Despite Plunge In Refining Activity
China Continues To Tap Crude Reserves Despite Plunge In Refining Activity
The world’s largest oil importer, China, is estimated to have drawn some crude from its oil reserves in July, although its refining throughput fell to the lowest level in over a year, Reuters columnist Clyde Russell has estimated based on official Chinese data.
Canada Could Boost Oil Pipeline Capacity As Soon As September
Canada Could Boost Oil Pipeline Capacity As Soon As September
Canada’s oil sands producers may find welcome relief to years of pipeline capacity constraints when the first new pipeline in years could enter into service as early as next month.
Why The U.S. Is So Vulnerable To Rising Oil Prices
Why The U.S. Is So Vulnerable To Rising Oil Prices
Oil markets started off the week under pressure as continued speculative “long” liquidation amid delta variant demand concerns weighed on prices. However, in an ironic twist, the oil market got a boost from an unlikely source on Wednesday as the Biden administration announced it was pleading with OPEC+ members to increase oil production to stem inflationary pressures from rising domestic gasoline prices.
What Happens If We Stop Pumping Oil Tomorrow?
What Happens If We Stop Pumping Oil Tomorrow?
What Happens If We Stop Pumping Oil Tomorrow?If there was no oil, iPhones, technology, computers, plastics, all manufactured products, food and medicines would not be able to be produced,
Brazil Soon To Become King Of Offshore Oil
Brazil Soon To Become King Of Offshore Oil
Brazil is on its way toward becoming the biggest supplier of offshore oil globally, contributing some 1.3 million bpd in 2025, World Oil reports, citing a new report by GlobalData.
The Oil & Gas Inflation Trap That No One Wants To Talk About
Uganda’s Oil Boom Is Only Just Beginning
Uganda’s Oil Boom Is Only Just Beginning
Uganda is set to be a key focus of African Energy Week (AEW) in Cape Town this November, as its flourishing oil industry looks set to boom in the coming years. Uganda’s government has been working hard to encourage more foreign investment recently as the country aims to develop its oil and gas industry significantly over the next decade.
OPEC Sees Oil Demand At 100 Million Bpd Next Year Despite COVID Surge
OPEC Sees Oil Demand At 100 Million Bpd Next Year Despite COVID Surge
Global oil demand is expected to average 96.6 million barrels per day (bpd) this year and exceed 100 million bpd in the second half of 2022, OPEC said on Thursday, keeping its estimates from a month ago unchanged despite the COVID resurgence in major economies, including China and the United States.
The Dawn Of A New Era In Deepwater Drilling
The Dawn Of A New Era In Deepwater Drilling
A new era in deepwater drilling is about to begin. With the sanctioning of the Anchor project super-major operator, Chevron, NYSE: CVX) signaled that it was ready to risk billions tapping the ultra-high pressure, Lower Wilcox Tertiary play, some 35,000 feet below the mudline.

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.