Oil and gas production spending will focus on Guyana, Brazil and U.S. shale oil. The company expects its 400,000 barrels of daily output in west Texas and New Mexico to rise to about 700,000 by 2025, “based on market conditions,” said Senior Vice President Neil Chapman. Two years ago, it forecast 1 million barrels per day in the Permian as early as 2024.
OPEC and other oil producers, a group known as OPEC+, are considering rolling over production cuts into April instead of raising output as oil demand recovery remains fragile due to the coronavirus, three OPEC+ sources told Reuters.
Show me the incentive and I will show you the outcome.
In the past, rising prices have enticed shale companies to ramp up production even after they promised prudence, and $60 oil would have once prompted companies to rush drilling rigs and frack fleets back to work. That is not happening now.
“They are not taking the bait,” LeBlanc said.
Private companies are likely to increase oilfield activity, but not enough to meaningfully boost U.S. output, said LeBlanc, adding that U.S. spending is likely to remain around $60 billion, flat with 2020, as companies prioritize shareholder returns.
“The severe drop in activity in the U.S. along with the high decline rates of shale and the pressure from investment community to maintain discipline instead of growth means in my view that shale will not get back to where it was in the U.S.,” said Occidental Petroleum CEO Vicki Hollub.
U.S. Democratic lawmakers in Congress on Tuesday introduced a set of bills to reform federal oil and gas leasing regulations, including by raising royalty rates and toughening cleanup requirements.
The bills would update decades-old laws governing oil and gas drilling to boost the program’s value for taxpayers. While the proposals would not deliver on President Joe Biden’s campaign promise to stop issuing new leases to fight climate change, they could be applied to existing leaseholders if passed into law.
The oil industry’s top lobbying group is preparing to endorse setting a price on carbon emissions in what would be the strongest signal yet that oil and gas producers are ready to accept government efforts to confront climate change.
The American Petroleum Institute, one of the most powerful trade associations in Washington, is poised to embrace putting a price on carbon emissions as a policy that would “lead to the most economic paths to achieve the ambitions of the Paris Agreement,” according to a draft statement reviewed by The Wall Street Journal.
“API supports economy-wide carbon pricing as the primary government climate policy instrument to reduce CO2 emissions while helping keep energy affordable, instead of mandates or prescriptive regulatory action,” the draft statement says.
API’s executive committee was slated to discuss the proposed statement this week. In a statement to the Journal, API’s senior vice president of communications, Megan Bloomgren, said the group’s efforts “are focused on supporting a new U.S. contribution to the global Paris agreement.”
We are now in full backwardation and we are seeing contracts expire without renewals.
I hate this luring of people into engaging in speculative orgies. [Robinhood] may call it investing, but that’s all bullsh!t.
“There just isn’t yet enough renewable energy to fuel all of the energy that people need. That’s in developed countries,” said Andy Jassy, head of Amazon Inc’s cloud division who will succeed Jeff Bezos as CEO this summer.
He said the company had announced its goal for net zero emissions at a time when it had not entirely figured out how to get there.
That’s why the climate and energy plans that will be presented in China’s 14th Five Year Plan this week represent the most important policies being made anywhere in determining the fate of the planet.
Today we reveal how ESG-darling Ormat, a developer and operator of geothermal power plants, has engaged in what we believe to be widespread and systematic acts of international corruption.
Iran rejected a European Union offer to hold direct nuclear talks with the U.S. in the coming days, risking renewed tension between Tehran and Western capitals.
Senior Western diplomats said Iran’s response doesn’t quash the Biden administration’s hopes of reviving diplomatic efforts to restore the 2015 nuclear deal, struck between Iran and six world powers and abandoned by the Trump administration in 2018. But they said it seemed to set a deadlock: Iran wants a guarantee it wouldn’t walk away from a meeting with the U.S. without some sanctions relief, which Washington has so far ruled out.