Oil Rebounds On Surprise Crude Inventory Draw
Oil Rebounds On Surprise Crude Inventory Draw
Crude inventories fell by 400,000 barrels.Gasoline production rose last week, while inventories continue to fall.Middle distillate production fell slightly along with inventories.
2021/10/21 17:43
Permian Oil Output Close To Pre-Pandemic LevelPermian Oil Output Close To Pre-Pandemic Level
Permian Oil Output Close To Pre-Pandemic Level
Crude oil production in the Permian has climbed closer to pre-pandemic levels, according to the latest drilling productivity report of the Energy Information Administration.
2021/10/20 17:53
Both oil prices and natural gas prices are significantly higher than where they were this time last year, and earnings should reflect that
Excitement Builds As Big Oil Prepares To Release Earnings
▶After a disastrous 2020, oil majors have now well and truly recovered and analysts expect an impressive earnings season this quarter
2021/10/20 17:48
OPEC+ Under Produces Quota Despite Calls For More Oil
OPEC+ Under Produces Quota Despite Calls For More Oil
The OPEC+ group saw its overall compliance with the collective oil production cuts at 115 percent in September, a delegate told Argus on Monday, down from the 116-percent compliance in August, but still higher than the market had hoped, with some members of the alliance failing to ramp up production in line with their quotas.
2021/10/19 18:36
Beijing's crackdown on the private refining industry was one reason behind this import decline as the government tackled excessive fuel supply
China Once Again Cuts Oil Import Quotas For Indepedent Refiners
Beijing's crackdown on the private refining industry was one reason behind this import decline as the government tackled excessive fuel supply
2021/10/18 17:42
OPEC+ will continue to do what it is currently doing and, in time, there will be balance in oil markets
Saudi Arabia: Patience Is A Virtue In Oil Markets
OPEC+ will continue to do what it is currently doing and, in time, there will be balance in oil markets
2021/10/15 16:27
It is “quite possible” that the WTI Crude oil prices reach $100 per barrel in light of growing global demand for energy commodities, Russian President Vladimir Putin said on Wednesday
Putin: $100 Oil Is “Quite Possible”
It is “quite possible” that the WTI Crude oil prices reach $100 per barrel in light of growing global demand for energy commodities, Russian President Vladimir Putin said on Wednesday
2021/10/14 13:36
In this month’s report, OPEC revised downward its 2021 estimate due to lower-than-expected actual data for the first three quarters of the year
OPEC Cuts 2021 Oil Demand Forecast
In this month’s report, OPEC revised downward its 2021 estimate due to lower-than-expected actual data for the first three quarters of the year
2021/10/14 13:31
OPEC+ is producing less oil than it is supposed to, a survey by Platts has revealed, as cited by Forex Live.
Platts: OPEC+ Is Producing Less Crude Than It's Supposed To
OPEC+ is producing less oil than it is supposed to, a survey by Platts has revealed, as cited by Forex Live.
2021/10/13 12:09
Global oil demand is on course to recover to pre-pandemic levels by the end of the year
Why $80 Oil Won't Destroy Demand
Global oil demand is on course to recover to pre-pandemic levels by the end of the year
2021/10/12 18:39
High Natural Gas Prices Could Lead To 2 Million Bpd Extra Oil Demand
High Natural Gas Prices Could Lead To 2 Million Bpd Extra Oil Demand
Oil prices have vaulted to multi-year highs after OPEC and other major producers opted last week against increasing output by more than previously agreed. However, it's the natural gas trajectory that has been hogging the limelight after gas prices surged more than 300% to trade at its highest levels since 2014, outpacing oil and many other commodities.
2021/10/11 18:17
A major focus for Saudi Arabia going forward is to retain its dominance across Asian oil markets
Saudi Arabia Eyes Oil Market Dominance As Prices Bounce Back
Saudi Arabia is finally recovering from a disastrous year in 2020, with its oil revenues surpassing pre-pandemic levels
2021/10/08 18:11
Oil Rebounds On Surprise Crude Inventory Draw
Oil Rebounds On Surprise Crude Inventory Draw
Crude inventories fell by 400,000 barrels.Gasoline production rose last week, while inventories continue to fall.Middle distillate production fell slightly along with inventories.
Permian Oil Output Close To Pre-Pandemic LevelPermian Oil Output Close To Pre-Pandemic Level
Permian Oil Output Close To Pre-Pandemic Level
Crude oil production in the Permian has climbed closer to pre-pandemic levels, according to the latest drilling productivity report of the Energy Information Administration.
Both oil prices and natural gas prices are significantly higher than where they were this time last year, and earnings should reflect that
Excitement Builds As Big Oil Prepares To Release Earnings
▶After a disastrous 2020, oil majors have now well and truly recovered and analysts expect an impressive earnings season this quarter
OPEC+ Under Produces Quota Despite Calls For More Oil
OPEC+ Under Produces Quota Despite Calls For More Oil
The OPEC+ group saw its overall compliance with the collective oil production cuts at 115 percent in September, a delegate told Argus on Monday, down from the 116-percent compliance in August, but still higher than the market had hoped, with some members of the alliance failing to ramp up production in line with their quotas.
Beijing's crackdown on the private refining industry was one reason behind this import decline as the government tackled excessive fuel supply
China Once Again Cuts Oil Import Quotas For Indepedent Refiners
Beijing's crackdown on the private refining industry was one reason behind this import decline as the government tackled excessive fuel supply
OPEC+ will continue to do what it is currently doing and, in time, there will be balance in oil markets
Saudi Arabia: Patience Is A Virtue In Oil Markets
OPEC+ will continue to do what it is currently doing and, in time, there will be balance in oil markets
It is “quite possible” that the WTI Crude oil prices reach $100 per barrel in light of growing global demand for energy commodities, Russian President Vladimir Putin said on Wednesday
Putin: $100 Oil Is “Quite Possible”
It is “quite possible” that the WTI Crude oil prices reach $100 per barrel in light of growing global demand for energy commodities, Russian President Vladimir Putin said on Wednesday
In this month’s report, OPEC revised downward its 2021 estimate due to lower-than-expected actual data for the first three quarters of the year
OPEC Cuts 2021 Oil Demand Forecast
In this month’s report, OPEC revised downward its 2021 estimate due to lower-than-expected actual data for the first three quarters of the year
OPEC+ is producing less oil than it is supposed to, a survey by Platts has revealed, as cited by Forex Live.
Platts: OPEC+ Is Producing Less Crude Than It's Supposed To
OPEC+ is producing less oil than it is supposed to, a survey by Platts has revealed, as cited by Forex Live.
Global oil demand is on course to recover to pre-pandemic levels by the end of the year
Why $80 Oil Won't Destroy Demand
Global oil demand is on course to recover to pre-pandemic levels by the end of the year
High Natural Gas Prices Could Lead To 2 Million Bpd Extra Oil Demand
High Natural Gas Prices Could Lead To 2 Million Bpd Extra Oil Demand
Oil prices have vaulted to multi-year highs after OPEC and other major producers opted last week against increasing output by more than previously agreed. However, it's the natural gas trajectory that has been hogging the limelight after gas prices surged more than 300% to trade at its highest levels since 2014, outpacing oil and many other commodities.
A major focus for Saudi Arabia going forward is to retain its dominance across Asian oil markets
Saudi Arabia Eyes Oil Market Dominance As Prices Bounce Back
Saudi Arabia is finally recovering from a disastrous year in 2020, with its oil revenues surpassing pre-pandemic levels

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.