Petroleum Economist
Sergipe-Alagoas basin gains momentum
The northeastern Brazilian offshore province is poised to make progress this year
Offshore wind losses blow Saipem off course
Engineering and construction company in talks with banks and major shareholders over financing package after loss equal to more than a third of equity
Letter from Canada: Exporters eye pipeline options
Reverse flows on the Capline pipeline and expansion of the Trans Mountain system will dramatically boost capacity
February 2022
The February 2022 issue of Petroleum Economist is out now!
Italy launches 3.35GW renewables tender
The country has opened an auction for new wind, hydro and solar capacity
Focused shale deals buck M&A slowdown
Fewer North American corporate transactions may be done this year. But rationalisation of shale portfolios on an asset-specific basis should continue
BP signs sustainable biofuel feedstock deal
Ten-year deal with agribusiness Nuseed gives oil major supply of carinata oil to process or trade into growing market
Uganda’s Lake Albert project reaches FID
The development remains on track to start oil production in 2025
Licensing round February update
The industry's most comprehensive list of current and recent rounds for onshore and offshore licences
TotalEnergies works with Veolia on biogas expansion
Oil major and waste management company to co-invest in portfolio of international biomethane production projects
Galp adds to European refining optimism
Portuguese refiner reports stronger Q4 economics
Letter from China: Australia’s LNG dominance under threat
Beijing may be planning to break its reliance on its Antipodean supplier
Deltic retains exploration enthusiasm
The UK independent has successfully brought in partners and is gearing up to drill
NNPC seeks funds, eyes upstream expansion
The Nigerian state oil firm is seeking to raise billions as it attempts to become a commercial entity and as IOCs look to divest assets in the country
Brookfield bets on hydropower
Baseload technology’s benefits are growing rapidly as power systems add intermittent renewables, investor says
Chinese LNG dynamics shift
Opening up of market is driving rapid growth in regasification capacity and a change in procurement habits
Nigeria and Angola struggle to reverse quota failures
The inability of Opec+ to meet its increased production target is due in part to significant shortfalls from the two African suppliers
Edmonton cement project signals Canada’s leading CCUS role
Heidelbergcement and Enbridge collaborate on project at Edmonton plant with potential link into Wabamun Carbon Hub
Baghdad steps up energy self-sufficiency drive
Soaring oil revenues and heavy Chinese investment have driven a series of recent refining and gas deals
UK opens ‘call for ideas’ on low-carbon fuel strategy
The country’s transport department aims to assess economic and environmental impact of increasing supply and demand
Santos advances Barossa project
Australian independent set to finalise sale of stake to Japan’s Jera in H1 2022
Gazprom Neft targets Russia’s second place spot
The oil producer is threatening to displace Lukoil as next in line after Rosneft
Petrom refining hit by utility costs hike
Romanian refiner posts improved economics, but ancillary costs drag
BP bets on bioenergy in accelerated transition plan
European major to boost biofuel and biogas production as spending on transition business rises to 40pc of capex by 2025
Letter from South America: Brazil leads the way
Brazil stands out from the rest of the continent in terms of growth potential
Equinor remains on track in Brazil
Norwegian firm reports healthy progress on its Brazilian portfolio
Sustainable aviation fuels face headwinds
Limited financing and competition for feedstocks among challenges for fuel, which can be dropped in without need for retrofits, aviation sector executives say
Mispricing the Russia risk factor
The oil market may be too complacent that the worst could never happen
OMV coy on possible upstream/downstream split
The Austrian firm is not ruling anything out ahead of a March strategy update
UK to hold annual renewables auction
New schedule will start from next year as the UK seeks to bolster low-carbon power generation
Equinor steps up emission reduction goals
Norwegian energy group targets faster cuts in group-wide scope one and two emissions
Green shipping premium raises cost questions
Pace of transition to clean fuels will depend on stakeholders’ readiness to pay green premium, conference speakers say
Jadestone still not over the line in New Zealand
The independent continues to face regulatory hurdles to its acquisition of the Maari project
UK researchers break nuclear fusion record
Joint European Torus project achieves new high in sustained energy from the process
Market takes heart from UK government’s North Sea commitment
Renewed backing for project sanctions boosts UKCS mood
Surging US EV sales defy tax credit uncertainty
Investment in grid infrastructure must keep pace with growing EV fleet, conference delegates say
France plans for new nuclear reactors
President Emmanuel Macron calls for renaissance of the French nuclear industry as part of transition to net zero
Brazil’s offshore remains buoyant
The sector is attracting attention from both domestic and international firms
Limited offerings hamper US commercial EV market
Small number of commercial EV models offered by auto sector has weighed on adoption, conference speakers say
Falcon pursues Australian shale gas opportunities
The AIM- and TSX-listed independent sees huge opportunities in Australia’s Northern Territory
Energy price volatility reshapes PPA market – Pexapark
Volatility challenges long-term PPA models, while corporate market grows with rise of mega-buyers such as Amazon
Canada’s oil sands fight for their future
A combination of material reductions in environmental footprint and better communication aims to safeguard the beleaguered industry for the long term
UK and Scottish governments agree green freeport plan
Bidding to open in spring for development of two hubs with 2045 net-zero targets
LNG to slide, but crude prices to stay high – BHP
The Anglo-Australian miner sees continuing strength in oil markets
Britishvolt secures investment from Glencore
Mining and trading group is cornerstone investor in UK battery maker’s latest funding round
Warning signs for Colombia’s upstream
The clock is ticking to prevent years of crude production decline ending the country’s ability to meet its own energy needs
Egyptian independents plan busy year
The country is improving its attractiveness, but decline rates make activity a must
Dubai doubles down on sustainability drive
New emissions targets and switch away from coal highlight fresh sustainability push
Oil firms should separate fossil and low-carbon businesses – Browne
World undergoing disorderly energy transition that could be delayed by spiking fossil fuel prices, says former BP CEO John Browne
Aker BP and Lundin defend their marriage
The Norway-focused producers are sticking to their guns in the face of critical analysis
Gas market lifts US LNG FID prospects
The US became the world’s largest exporter of LNG last December, and recent global gas market trends bode well for the surging sector
Advance seeks to rebound after Timor Sea miss
The firm plans to secure another deal before the end of 2022 following poor results at the Buffalo field, interim CEO Larry Bottomley says
Letter from Edinburgh: Scotland’s oil balancing act
The recent blow to plans for developing the Cambo oilfield illustrates the country’s changing and increasingly uneasy relationship with oil
UK needs eightfold rise in power storage capacity – Aurora
Developers call for incentives to kickstart investment in storage and balance intermittent renewables
Arctic waters continue to open to shipping
Delivery of LNG module via Northern Sea Route shows potential for year-round LNG deliveries, Novatek says
California shelves solar metering proposals
Public Utilities Commission delays vote on controversial proposals to reduce incentives for rooftop solar in the state
Chinese refiners to feel the squeeze
China’s crude refining throughput is set to decline quarter-on-quarter in Q1 2022, amid mounting pressure from multiple fronts
Ghana’s downstream goals remain distant
The country is seeking investors to fund the rehabilitation of its only oil refinery, while confusion continues about plans for a new plant
RWE and Tata to explore Indian offshore wind
Companies agree to work together to identify potential projects in untapped market as government works on regulation for first auctions
Cnooc set to lead China’s oil output growth
The state-controlled firm is expected to contribute most of the country’s new oil production this year
Qatar goes from strength to strength
Doha is reaping financial and diplomatic rewards from a tight and tense gas market, while doubling down on investment
China sees sharp rise in green bonds
Issuance more than doubled in 2021 but remains well below level needed to finance the country’s transition
Shell sees looming LNG supply gap
The gap between supply and demand will be larger and happen sooner than previously thought, the major says
Letter from Canada: Emission caps threaten output
Canada’s lack of progress in meeting ambitious emission reduction goals is a particular threat to the country’s upstream oil and gas sector
TotalEnergies announces ‘significant’ Suriname discovery
The news again highlights Suriname’s potential as a frontier basin
Governments massively underreporting methane emissions – IEA
Agency says that, at current gas prices, nearly all methane emissions from oil and gas operations could be avoided at no net cost
Decarbonising shipping: Where are we now?
Regulators have yet to force the sector to decarbonise, but larger shipping lines and operators are planning for a low-carbon future
Decarbonising shipping: Where are we now? (1)
Regulators have yet to force the sector to decarbonise, but larger shipping lines and operators are planning for a low-carbon future
Alberta renewables market seeing strong growth
Government support and an active carbon market help drive wind and solar investment in Canada’s most deregulated power sector
Alberta renewables market seeing strong growth (1)
Government support and an active carbon market help drive wind and solar investment in Canada’s most deregulated power sector
Uniper to spend €500mn on green businesses in 2022
Germany energy company anticipates key role in hydrogen economy and is ready to invest in new gas-fired power plants, CEO Klaus-Dieter Maubach says
Libya’s oil industry faces renewed turbulence
After a year of relative calm, chaos has returned to Libya with the cancellation of planned elections and the emergence of two rival prime ministers
Tide turns for middle distillates
Strong prices for middle distillates might persist due to a range of supply and demand factors
LNG’s prospects and future in the spotlight
High spot gas prices and European concerns over security of supply might spark renewed interest in long-term LNG contracts, International Energy Week participants suggest
EDPR plans $7.4bn Singapore clean energy hub
Spain-headquartered renewables group to use Sunseap acquisition as springboard for Asia-Pacific expansion
China sets out energy storage development plan
Government calls for commercialisation of diverse technologies and deployment at scale by middle of decade as renewables proliferate
Letter from China: Beijing strengthens gas ties with Moscow
China is considering importing more pipeline gas from Siberia, but competition from LNG may cap the scale of these volumes
LNG pledge to Europe raises doubts
Japan’s ill-defined promise of support may be more symbolic than practical
Chevron ups investment in UK carbon capture developer
US oil major makes second investment in London-based modular carbon capture developer Carbon Clean
TotalEnergies hopes for better downstream year
The French major aims to make up ground after its recovery lagged peers in 2020
Opec’s swing producers to stick to deal
Opec’s top producers are unlikely to deviate from an agreement that has brought market stability and buoyed prices
Russian invasion of Ukraine fuels crisis in energy sector
Sanctions and spiking electricity and gas prices present new challenges for Europe’s utilities
Miro stake left on Shell’s European refining to-do list
The major has sold two assets and will futureproof two others, meaning only its share in the German JV remains for divestment
UK’s flexibility funding gap presents investment opportunities
Substantial private sector finance needed to back a rapid scale-up of low-carbon flexibility technologies as UK decarbonises its energy system
UK’s flexibility funding gap presents investment opportunities (1)
Substantial private sector finance needed to back a rapid scale-up of low-carbon flexibility technologies as UK decarbonises its energy system
Germany plans two LNG terminals as Russia crisis deepens
Government acts to shore up energy supplies with new gas sources but insists policy dovetails with net-zero transition
Germany plans two LNG terminals as Russia crisis deepens (1)
Government acts to shore up energy supplies with new gas sources but insists policy dovetails with net-zero transition