WTI $71.28 -21c, Brent $78.51 -79c, Diff -$7.23 -58c, NG $2.85 -1c
A quiet day on Friday, crude still ended up on the week, WTI by 58c and Brent by $1.39, this morning we are up by around 50c. So, Nicholas Maduro won his election in Venezuela and the US State department are saying that US sanctions are ‘under active review’ as Washington do not recognise the election results.
Elsewhere the Indian Oil Minister appealed to the KSA not to squeeze oil too high as it would damage their nascent economic recovery, the reply was to be expected, ie, we will keep markets well supplied at all times. The temporary lifting of the trade dispute between the US and China also eased market worries and the CFTC announced that professional punters had taken money off the table and cut long positions. Even the rig count was unchanged at a time when Bo Diddley said that he saw oil prices back down to a more manageable $50-65…..
The company has encountered bore hole issues at their Anapai-1 well at block 45 offshore Suriname and have decided to re-spud for the same target as Anapai-1A. That will be another 50-60 days and a bit more cost but best to make a clean break of the well and start again.
Zenith has filed its independent CPR up to 31/3/2018, 2P reserves in Azerbaijan are deemed to be 31.7m barrels of oil (32.1) while in Italy natural gas 2P reserves are 16.4 Bcf (15.36). The company also say that there is a new investor presentation scheduled for publication on their website today which will, amongst other new data, show all-in average oil production costs falling from $19 pb to $13 pb when production in Azerbaijan gets to 1,000 b/d. These numbers justify managements faith in the size of the prize in country and are building a platform to produce from it.
Getech has announced that the Sierra Leone fourth licensing round has been extended due to extra time being played in the election. The original date of 28th June has been extended to the 27th September and Getech, who are ‘exclusively supporting’ the process which has generated significant levels of interest from international oil and gas companies.
This is important for Getech as it has a revenue sharing agreement with the Government and that ‘As disclosed in the Annual Report, a single licensing of the full Sierra Leone dataset has the potential to be a disclosable event for Getech’.
Even more and finally I have to apologise that all readers of the blog are being asked to adhere to this ludicrous GDPR legislation by agreeing to sign up again. Unfortunately there is no alternative so after 25th of May I have to go onto a new mailing list, please do click on the link at the top, it takes no time and guarantees the blog after that date, many thanks.
With football matches like Saturday’s Cup Final it is a joy to say goodbye to the Premiership club’s season and you can be sure that next week’s Champions League final and the divisional playoffs will provide more entertainment, as for the World Cup i’m not so sure, from England that is….
In the French MotoGP at Le Mans, Marc Marquez spoiled the French fans party when he cruised to the flag after home hero Johann Zarco’s challenge finished in the gravel and Dovizioso crashed out. Petrucci fought hard for 2nd place keeping at bay Valentino Rossi who returned to the rostrum in 3rd. Despite earlier leading the race, Lorenzo’s lucrative but unhappy time with Ducati must surely be coming to an end after a disappointing 6th place whilst Cal Crutchlow suffered a huge highside in qualifying and had to spend the night in the Le Mans hospital but fought back in the race to an heroic 8th place.
The end of season rugby saw an almost festival like points fest with Sarries scoring 57 of the 90 points as they beat Wasps and the Exeter Chiefs despatched Newcastle 30-5.