Companies are rushing to build new shipping terminals or expand existing ones to prevent the emergence of a bottleneck in the US crude export market, but experts believe the lack of long-term demand means only some of the proposed projects will come to fruition. Many projects are focused on developing infrastructure to fully load very large crude carriers, with Tallgrass Energy among the companies leading the effort.
Blackstone Group has reportedly agreed to purchase Texas-based drill bit manufacturer Ulterra Drilling Technologies in a deal valued at about $700 million. The transaction is the latest in a string of deals in recent weeks involving oilfield service firms, such as Carlyle Group's purchase of EnerMech and Nine Energy Services' $493 million acquisition of Magnum Oil Tools.
Schlumberger's third-quarter earnings jumped 18% to $644 million from the same period in 2017, but chairman and CEO Paal Kibsgaard warned that a decline in hydraulic fracturing activity in West Texas will likely hurt the company's fourth-quarter results. "Several of our key customers have decided they're going to lay down all their frack fleets from about the middle of November up until the middle of January, which, again, is a fairly significant challenge," Kibsgaard said.
A Permian West Texas Intermediate crude oil futures contract from Intercontinental Exchange begins trading today. The launch is for the December trade month on contracts deliverable in Houston, rather than a storage hub in Cushing, Okla.
The natural gas production boom led to almost $60 billion in savings for Texas consumers between 2006 and 2016, reports the Consumer Energy Alliance. Moreover, the Texas oil and natural gas industry added roughly $3 billion to state coffers in fiscal 2017.
Australis Oil & Gas has spudded the first of at least six wells it plans to drill in the Tuscaloosa Marine Shale across southwest Mississippi and southeast Louisiana, marking the first time in three years a new well has been drilled in the region. Australis has 350 potential well locations in the core region of the shale play and plans to invest $43 million on drilling in the hope of achieving oil production equal to its older wells but at a lower cost.
The number of US oil and natural gas rigs climbed by four to 1,067 last week as Texas and California gained eight and two rigs, respectively, according to Baker Hughes. Oklahoma, Alaska, New Mexico and Pennsylvania all registered losses.
BP says its Thunder Horse Northwest Expansion in the Gulf of Mexico is starting four months early and coming in at 15% under budget. The expansion is expected to increase platform production by 30,000 barrels of oil equivalent per day, bringing daily production to over 200,000 barrels.
Register to learn about Advanced Flare Monitoring If you are experiencing challenges with pilot monitoring due to failing thermocouples, join this webinar next week to learn how you can achieve continuous monitoring and detection of pilot flame and flared gases.
The wide price differential between Canadian crude and US oil coupled with Midland oil's discount to West Texas Intermediate likely helped boost third-quarter profits for US refiners, particularly those in the mid-continent region. In the fourth quarter, US refiners will benefit from strong demand for diesel and heating oil.
API Spec Q1 9th Edition Fundamentals and Practitioner
This course frames the management system requirements in a managerial and business prospective and provides a working understanding of the 9th Edition requirements. Participants will be given insight into the drivers behind Q1's importance and its value in the Oil & Natural Gas Industry. Using practical examples and hands-on application, the course is designed to progressively give you introductory to advanced knowledge of Q1 requirements and interpretations. Presented by: Inserpetrol Inc., November 6-9; ISKRA, November 7-9; Global Management Solutions Ltd., November 26-29, December 17-20; Bureau of Quality Surveillance, Inc., November 27-30; Eurotech Assessment and Certification Services Pvt. Ltd, November 26-29, December 17-20; AxiomLogics Inc., December 3-6; Mireaux Management Solutions, December 3-6; Qualified Specialists, International, December 10-13. To learn more and to register, visit the API-U Calendar.
Qualified Crane Operator
The operator course is intended to familiarize the participant with lifting loads with slings, rigging hardware and safety concerns, and is intended to give the individual the knowledge and skills required to competently act as a Qualified Crane Operator and effectively conduct safe lifting operation. Presented by: Thunder Oilfield Services (Thailand) Ltd., November 12-15, December 10-13; Australasian Training Company (Singapore), November 19-24; Maersk Training, Inc. (Houston, TX), December 19-20. To learn more and to register, visit the API-U Calendar.