The world waits as the Opec+ meeting has gone into another day after the UAE disputed its quota just as a deal was to be announced. I'm sure a deal will be done but if not ironically the oil price will rise as the organisation falls back to the previous numbers which won't cover the expected increase in demand. Rockhopper has announced that Ombrina Mare arbitration tribunal has said that it should be in a position to complete its work in July.
Oil fell off the highs yesterday when the Russian Ambassador to the UN suggested that the Iran nuclear deal is nearly done, Bloomberg said that could mean 4m b/d onto the market. DEC has completed its deal, the first of many I think, and Rockhopper gives results but plenty more to come this summer. Tower reports from Cameroon where also activity has been delayed but may see action before long. War has broken out between Hurricane and Crystal Amber who are asking for significant board changes.
Oil took a bath yesterday as a combination of problems faced it, a stronger dollar, increasing inflation worries and of course the Colonial Pipeline problem. It turns out that a ransom was paid outage followed by outrage you might say.. IOG has announced a collaboration agreement with GeoNetZero CDT in carbon capture and storage. And Rockhopper appear in the news as it seems the Tribunal is close to announcing results.
Opec+ foxed the market although it had reminded participants not to short oil...Rockhopper gets an extension in the Falklands, Sea Lion must be a no-brainer right now for them and new owners Harbour and Navitas. Touchstone has had a great reserves report, thoroughly deserved after the year it has had with the drill bit but yet to be in the share price. And SDX has an extension at West Gharib.
After all the Hullabaloo oil was even last week, today however it has tipped upwards again. I look at Chariot who have signed a collaboration Agreement with Subsea Integration Alliance for Anchois. Angus Energy are positive after news that their loan has seen substantial subscription. President update on 2020 and give guidance for 2021 whilst Echo publish their bond restructuring details.
Oil had a good week, despite the US holidays it was up over $3 a barrel. Today all eyes are on the start of the two day Opec+ meeting with signs of an extension of the 2m b/d cut likely but equally pretty much in the price. BPC have signed the new Goudron EPSC in Trinidad an area where they hope to develop further production in-country. Rockhopper state that Navitas are still keen on the Sea Lion farm-in but there are some inevitable delays due to the Premier/Chrysaor situation. Eco Atlantic has done great work in Namibia where it has increased its already substantial portfolio and Angus has signed an MOU with Aleph Energy for a £12m funding for the Saltfleetby gas field.
Oil continues to drift but news is mixed, the virus vaccine is back into trials and economic data from China is better. Tropical Storm Sally is headed towards shore and the GoM is shutting in but this one may hit refineries more with flooding. DGO has confirmed its super dividend for UK shareholders and President report more operational success in Argentina. Rockhopper remains an interesting geared option on Sea Lion and its arbitration case. Finally, Genel has announced publication of its first comprehensive sustainable report and looks to be well placed and very investible.
The oil price is up again as backwardation rears its pretty head...Aminex takes a huge step towards Farm-out in Tanzania with the Tax Clearance Certificate headed to the Ministry. Rockhopper have made significant cuts in the corporate overheads of c.30% on 2019 led by executive directors pay cuts. And in Argentina the Government has fixed the price that refiners pay producers for crude oil at $45 which with decent demand from the ending of the virus lock-down should be beneficial.
Oil is rallying today as we head into May, it is however only very early days with regard to this process. RockRose has an AGM statement and costs continue to fall, the company remains in a strong position. Ascent has signed up more potential acreage in Cuba where opportunities look very interesting and has raised £212,500 as part of the programme. Far continues to manage Sangomar where without its debt finance it is aiming to farm-down all or part of its acreage. Aminex also comments that with its substantial free carry it can make considerable progress in Tanzania and in Pan-Africa. Finally Rockhopper announce that the HOT with Navitas re the Falklands is still in play.
Oil prices vacillated ahead of the Opec+ meeting tomorrow but the EIA STEO yesterday showed yet again lower demand numbers and the US going back to being a net importer this year. Rockhopper showed a good set of figures with further strong cost cutting and the Navitas deal validating Sea Lion. DGO have made an acquisition just as expected in these markets, accretive returns will 'validate' the dividend. SDX have a discovery in Egypt and Wentworth has comforted the market with regard to its 2019 results.