WTI $45.64 -8c, Brent $47.86 -20c, Diff -$2.22 -12c, NG$ 3.03 +1c

Oil price

The oil price did rally yesterday for a while as the market rather enjoyed the Chinese import data which showed that May was the second highest month ever and that demand was picking up. Later in the day though, the market drifted on nothing much apart from gossip about Nigerian production and the Opec agreement being a bit flaky and we ended down again on the day.

Providence Resources

It has been quite a week for PVR as they hauled in a super-major to potentially partner them offshore Ireland at Druid and Drombeg as well as Avalon. They and Sosina have signed an agreement with Total who now have an exclusive option that gives them the right, but not the obligation to participate in the above prospects. Total has now the chance to take a 35% interest and Operatorship in FEL 2/4 which includes Druid and Drombeg for the payment of $27m (80% to PVR) which is incredibly good news.

They have also announced that Total has farmed-into a 50% WI in LO 16/27 and that Cairn has taken an option to farm-into a 20% WI of the licence, if they decide to drill an exploration well then Total will pay for 60% of the costs and Cairn 24%, capped at $42m. These deals are incredibly important, even transformative for PVR who get a super-major on the case, delivery of Druid and Drombeg and maybe Avalon too, not to mention the cash injection to the drilling programmes.

And finally…

Another very busy weekend of sport around the globe, sports fans will have to be on their mettle to ensure that they miss nothing.

In the cricket, today is the Kiwis vs the Bangas whilst tomorrow is the big clash between England and Australia where the Aussies could go out of the tournament.

The other big clash tomorrow is in the football World Cup qualis where Scotland take on England whilst Northern Ireland are in Azerbaijan.

The British Lions are taking on the Crusaders with an early start tomorrow and this is another hard match with 8 more full All Black caps in the side.

In Paris Muzza is in the semi-finals of the French Open against Stan the man which will also be hard going…

Great Britain are unsurprisingly out of the America’s Cup, beaten by New Zealand who even managed to capsize in one race…

And it’s the Canadian GP with its famous wall of champions that has historically taken a few scalps…