Oil price, Eco (Atlantic) Oil & Gas And finally…

WTI $53.99 +$1.40, Brent $63.29 +$1.62, Diff -$9.30 +22c, NG $2.34 +1c

Oil price

Markets and commodities turned at the end of last week, the irony was that a bad set of jobs data led to speculation about a Fed rate cut, ironic as President Trump had suggested that rate rises were inappropriate recently… Crude also jumped after it was revealed that the Mexico tariff war had been averted whilst at the SPIEF in St Petersburg the Saudis and the Russians got together to agree to existing cuts would be continued. Indeed whether the Opec+ meeting comes before or after the G20 it looks like it is merely a formality.

Brent fell $1.20 on the week whilst WTI actually nailed a 49c rise, the rig count on Friday saw overall rig numbers fall by 9 to 975 but oil came down by 11 to 789.

Eco (Atlantic) Oil & Gas 

Eco this morning announced the mobilisation of the Stena Forth drillship en route to the Orinduik block offshore Guyana. It is expected to reach the block on the 24th of June and to spud the Jethro Lobe prospect around the 26th. After that well the company plan to drill the Joe prospect a few kilometres away.

With $35m of cash following the raise in April the company is fully funded for up to a further six potential exploration or development wells. Both these upcoming wells will test the Upper and Lower tertiary aged turbidites and Jethro will also drill down to the Cretaceous section. With Exxon having discovered over 5.5bn boe on the adjacent Stabroek block with 13 discovery wells expectations are high that it will have de-risked the play but  Eco warn that they still carry risks of the quality of the seal and the presence of a trap. With around 4bn barrels of prospective resources any success would knock the £141m market cap into next week.

And finally…

In Canada the GP was won by Lewis Hamilton who actually crossed the line second but Vettel took a five second penalty for dangerous driving which put him second overall, might have been third but for team orders…..

The CWC has seen England beat Bangladesh, New Zealand beat Afghanistan and I was at The Oval yesterday to see India beat the Aussies. The weather is hardly ‘flaming June’ which has already affected the Windies v South Africa this morning.

And England beat Scotland 2-1 in yesterday’s WWC in Nice…

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2 comments on “Oil price, Eco (Atlantic) Oil & Gas And finally…
  1. Don McKenzie says:

    Malcy,is any progress being made in regard to the UK gas situation ( fracking ) and in particular Cuadrilla. As an Australian shareholder in A.J. Lucas a major shareholder in the operation we seem to be starved in regard to any developments. You have commented on this operation previously and would appreciate your thoughts or update. I enjoy your daily blogs and the information you deliver. No doubt the World Cup will be
    attracting your interest.Can England or Australia beat India ?

    • Malcy says:

      Hi Don
      Many thanks for your message, i do take an interest in UK gas, whether it be Cuadrilla, IGas or even the Reabold/Union Jack well from this morning. I chaired a panel recently with Francis on it and we had a long chat about his progress. In my view the bottom line is that operationally they are doing exceedingly well and with some proper help from Government it could be a lot better. They really are working with their hands tied behind their back and UK energy policy is an absolute scandal, maybe today’s well at West Newton might persuade Ministers that we can actually provide gas for our own people which doesnt come from Russia, Oman, the USA or Norway, they might if we had a cold winter! So yes, i do follow AJ Lucas, albeit at a distance and will bear you in mind.
      As for the cricket I have been a couple of times including at the Oval when Australia were not good enough for India, i fear none of us will be able to beat them unless they have a bad day.
      Kind regards

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