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Anadarko’s Assets
“Rigzone” reports that Anadarko’s Chairman and CEO, Al Walker, has told investors that as the crude oil price collapse lingers, he expects shale assets in the Bakken and Eagle Ford shales to be put up for sale. While the industry has been expecting such property sales for quite some time, they have yet to become… Read More
Yergin’s Prediction
According to a recent article in “World Oil”, Pulitzer Prize winning author, Daniel Yergin, thinks oil prices are near a bottom. Yergin, whose book The Prize is considered by many as the definitive history of the oil industry, thinks that falling energy investment will result in lower production. Concurrently, he sees consumption as growing, thereby… Read More
Majors React to New Normal
A recent article in “World Oil” cites a study of international major oil company results in the third quarter of 2015. The study, conducted by consultants, Wood Mackenzie, identified four themes with implications for 2016. These included weak financial performance, strong production, deep cost cutting, and stringent capital allocation, as companies adjust to the assumption… Read More
Sacrosanct Dividends
“Rigzone” reports that despite the crude oil price collapse and dramatic cutbacks in spending, the major international oil companies are either maintaining, or increasing, their dividends paid to shareholders. The majors are willing to fire workers, cancel drilling, postpone production and sell assets in order to raise enough cash to pay dividends. ExxonMobil Corp., the… Read More
$2 Natural Gas?
“World Oil” reports that an oversupply of natural gas, in conjunction with unseasonably warm weather, is driving natural gas prices toward $2 per Million British Thermal units. Prices have not been this low since April of 2012. Tim Evans, energy analyst at Citi Futures Perspective, observed that at these prices investment, drilling and production will… Read More
