Wall Street Journal, December 18,
These are the most popular stories from the Wall Street Journal. These?stories have not been verified and we cannot vouch for their accuracy. Elliott Investment Management, an activist investor group, has built up a stake in Lululemon Athletica of more than $1 billion. It is now bringing a possible CEO candidate to the struggling athletic apparel retailer that it hopes to turn around. BP announced that Chief Executive Murray Auchincloss resigned after less than 2 years as the helm of the oil giant and appointed a outsider Meg O'Neill who is resigning her position leading Woodside Energy to be his successor.
Australian shares continue to fall on the back of the mining slump, Woodside falls on CEO's surprise departure
The Australian share market was set to record a fourth consecutive day of losses, led by the miners. Meanwhile, energy stocks fell as Woodside Energy dropped after it announced its departure. As of 2322 GMT, the S&P/ASX 200 was down 0.2% at 8,567.70. The benchmark closed Wednesday 0.2% lower. Woodside Energy's stock fell as much as 2,6%, its lowest level for nearly two months, after the Australian firm announced that Chief Executive Officer Meg O'Neill will be joining BP as executive director. The sub-index for energy fell as much as 1.5% and reached its lowest level since October 22.
BP appoints Woodside's Meg O'Neill to be CEO following Auchincloss' abrupt departure
BP, a major oil and gas company, announced that it has appointed Meg O'Neill as its 'CEO', effective April 1, after abruptly removing 'Murray' Auchincloss. O'Neill is the first CEO to be appointed by BP from outside of the company, and the first female to lead any of the top five oil companies in the world. Her unexpected appointment shows that the British oil giant is looking to improve its business, after years of lagging behind its competitors such as Exxon?Mobil?and Shell?. The company began a major shift in strategy earlier this year. It cut billions of dollars from planned renewable energy projects and shifted its focus to traditional oil & gas.
The UK has exempted Egypt's Zohr Gas Field from Russian sanctions
Britain added Egypt's Zohr Gas Field, where Russian oil major Rosneft has a 30% stake - and London-based BP a 10% one – to a list of projects that are exempted from its Russia sanctions. In October, Britain and the United States sanctioned Russia's two largest oil companies, Rosneft, and Lukoil for their involvement in funding Moscow's invasion in Ukraine. The amended?general license, issued on Wednesday, allows for payments and business activities?linked to Zohr up until October 2027. BP owns a stake in Zohr along with?majority shareholder Eni, Rosneft, and other partners. The license did not give a reason for the exclusion.
The UK has exempted Egypt's Zohr Gas Field from Russian sanctions
The UK added Egypt's Zohr Gas Field, where?Russian oil giant Rosneft has a 30% stake? and London-based BP has a 10%?holding?, to a list that exempts Russia sanctions. In October, Britain and the United States sanctioned Rosneft, one of Russia's largest oil producers, for their role in financing Moscow's invasion in Ukraine. The amended general licence, dated?on Wednesday?, allows now payments and business activities linked to Zohr?until?October 2027. BP, Rosneft, Eni and other partners hold a?stake? in Zohr alongside majority stakeholder Eni. The license did not give a reason for the exclusion. The British government didn't immediately respond to an inquiry for comment.
Petrobras enters Brazil's solar energy sector with deal for Lightsource bp subsidiary Lightsource Bp 49.99%
The state-owned oil company of Brazil, Petrobras, has signed a deal with Lightsource bp to purchase 49.99%?of its subsidiaries in the country. The partnership will be structured in a 'joint venture' and aligned with the Brazilian company's 2026-2030 plan for diversifying its portfolio. The agreement did not disclose any financial details. Lightsource bp is a British 'oil company' that has a pipeline of between 1 - 1.5 gigawatts at advanced stages of development. It also has other projects in Brazil which are less mature. The companies said that the completion of the transaction was still "subject to regulatory clearances".
Action Energy will begin trading on the Boursa Kuwait Premier Market on Wednesday
The exchange announced that the shares of oilfield services provider Action Energy Company would begin trading on Boursa Kuwait Premier Market on Wednesday under a ticker symbol ALF?TAQA. Kuwaiti company AEC was founded in 2015. It provides services such as drilling, exploration, production, gas injection, and maintenance for oil and gas installations, wells, refineries, and petrochemical facilities. AEC increased its issued and paid up capital from 20 million dinars to 56,65 million dinars (about 184,80 million?millions) through a number of measures, including the issuance of bonus shares, the conversion of preference shares into ordinary shares, and a private initial offer.
Shell mergers chief Greg Gut quit after CEO blocked BP bid, FT reports
The Financial Times reported on 'Tuesday that Shell's head of mergers Greg Gut had left the oil giant after CEO Wael Sawan and top executives rejected an internal proposal to??buy rival BP? this year. Gut and the M&A Team pushed for a BP deal early this year. Andrew Mackenzie, chair of the board, was said to have been interested. However, Sinead and Sawan, finance chief, felt that a large deal could derail the strategy. Shell denied media reports that it bid for BP in June. It said it was bound to UK rules and, as a result, such a statement prohibited it from bidding for BP during the next six-month period.
Baker Hughes reports that US drillers have cut back on oil and gas rigs a second time in the last three weeks.
Baker Hughes, a leading energy services company, said that U.S. firms cut back on the number of natural gas and oil rigs for a second consecutive week in its closely watched report published Friday. The oil and natural gas rig count fell to 548, the lowest level since November 26, a good indicator of future production. Baker Hughes reported that oil rigs increased by one this week to 414, the highest since November 21. Gas rigs dropped by two to 127. Oil and gas rig counts?declined about 5% by 2024, and 20% by 2023. This is because lower U.S. oil prices…
Bousso: ROI-Permian will retain US oil crown after peaking even though it has reached its peak
The Permian Basin is set to reach its peak oil production in December. This will be a turning point for the U.S. Shale Boom that has reshaped the global energy markets over the last 15 years. But drilling innovations will ensure that the output of America's most prolific patch of oil will remain stable for many years. In its latest Short-Term Energy Outlook, the U.S. Energy Information Administration reported that the Permian Basin, which spans West Texas, and Southeast New Mexico, will produce a record 6.76 million barrels of oil per day in December. This is only slightly more than November's production. The U.S.
Bousso: ROI-Permian will retain US oil crown after peaking even though it has reached its peak
The Permian Basin is set to reach its peak oil production in December. This will be a turning point for the U.S. Shale Boom that has reshaped the global energy markets over the last 15 years. But drilling innovations mean that output in America's largest oil patch will remain stable for many years. In its latest Short-Term Energy Outlook, the U.S. Energy Information Administration reported that the Permian Basin, which spans West Texas and southeastern New Mexico will produce an unprecedented 6.76 million barrels of oil per day in December. This is only a little higher than November's total. The U.S.
BP and Chevron top the list of bidders in Trump's first Gulf of Mexico Oil and Gas auction
BP, Chevron, and Shell were the top bidders at the first U.S. Government sale of oil and natural gas drilling rights for the Gulf of Mexico since 2023. The auction ended with a total of $279.4 millions in "high" bids. It was the first out of 30 required by President Donald Trump's tax cuts and spending bill that he signed in July. His administration's plans on offshore leasing represent a major departure from those of his predecessor President Joe Biden. Biden had planned a historically low number of oil and?gas?auctions in an effort to shift away from fossil fuels while addressing climate change.
Venture Global responds to Shell's fraudulent claims in LNG arbitration
Venture Global responded late Tuesday night to Shell's legal challenge over the oil major losing an arbitration case involving liquefied gas cargoes. They rejected Shell's allegations of fraud and accused Shell of violating arbitration confidentiality. The legal documents filed in New York Supreme Court are the latest in a long saga about Venture Global's alleged failure to deliver LNG in accordance with long-term contracts, while selling LNG on the spot market at a time when prices were soaring after Russia's invasion in Ukraine. Shell, BP and Edison are among the companies that have filed arbitration cases against Venture Global. These claims will begin in 2023.
Venture Global responds to Shell's fraudulent claims in LNG arbitration
Venture Global responded late Tuesday night to Shell's legal challenge over its loss in an arbitration case involving liquefied gas cargoes. The company rejected allegations of fraud, and accused Shell of breaching arbitration confidentiality. The legal documents filed in New York Supreme Court are the latest in a long-running saga about Venture Global's inability to deliver LNG in accordance with long-term contracts, while selling LNG on the spot market when prices rose after Russia's invasion in Ukraine. Shell, BP, Edison and other companies filed arbitration claims in 2023 against Venture Global. Shell lost in August while BP won in October.
Shell In Advanced Discussions to Buy LLOG Exploration for Over $3B
Shell is in advanced discussions to buy LLOG Exploration offshore in a deal valued at more than $3 billion. This would increase the oil major's portfolio of upstream oil and gas producers by acquiring one of the biggest privately owned oil and natural gas producers in the U.S. Gulf. Sources said that the parties were in advanced talks, and that an agreement was close. One source added that the deal could be signed by the end the year.Sources?advised that there is no guarantee that a deal would be reached between Shell and Covington, Louisiana based producer and spoke under?conditions of anonymity for private deliberations.Shell declined to make a comment.
Australia's Waitsia Project begins sending gas to LNG export
Beach Energy, an Australian company, announced on Monday that the Waitsia onshore project located north of Perth has begun sending natural gas to Woodside Energy's liquidified natural gas export facility. Mitsui, a Japanese company, operates the Waitsia Project and shares it with Beach. Mitsui and Beach have signed a contract with the North West Shelf partners Woodside, BP Shell and Japan LNG for the supply of the facility in 2020. Japan LNG, a partnership between Mitsui & Mitsubishi, holds a sixth of the facility. Murray Watt, Australia's Environment Minister, signed a contract to extend the life of the LNG export facility until 2070 a few months ago.
Baker Hughes reports that US drillers have added rigs to their fleet for the fourth time in just five weeks.
Baker Hughes, a leading energy services company, said that U.S. companies added drilling rigs this week for the fourth time within five weeks. The number of oil and gas drilling rigs, a good indicator of future production, increased by five in the week ending December 5. This is its highest level since late November. Baker Hughes reported that oil rigs increased by six this week to 413, the highest level since late November. Gas rigs, on the other hand, fell by one, to 129, which is their lowest level since late November. Oil and gas rig counts are expected to decline by 5% and 20% respectively in 2024, as the lower U.S.
Petrobras, Brazil's state-owned oil company, says that it could begin Sudoeste de Tartaruga Verde in just two years.
Sylvia Anjos said that Brazil's Petrobras may begin producing oil at the Sudoeste de Tartaruga verde block within two years. In November, the firm discovered the block in Brazil's Campos Basin. Anjos described the discovery as "marvelous" on the sidelines an event in Rio de Janeiro. Anjos explained that the tight timeline for production would be possible due to Petrobras's plan not to commission a floating vessel to develop the well but instead to connect it with an offshore unit nearby through a subsea cable. Petrobras has reduced its investments in the business plan for 2026-2030, partly due to lower Brent oil prices.
Florida lawmakers ask Trump to reject drilling on the western coast of Florida
Florida's entire U.S. Congress delegation urged President Donald Trump on Thursday to exclude their state from a plan of his administration to expand drilling for oil and gas to new coastal areas. They said it would threaten Florida's tourism and military industries. The letter from Florida Senators Rick Scott, Ashley Moody, and the 28 House members of Florida was a rare example of bipartisan opposition to the Republican President's policies. The majority of Florida's congressional members are Republicans. The letter stated that more than 50,000 jobs are linked to military facilities in the Florida Panhandle.
Oil Firms in Norway to Drill 18% Less Exploration Wells by 2026, Survey Finds
A survey on Thursday showed that oil firms in Norway are planning to drill 18% less exploration wells next, as they focus on existing fields. This could undermine the government's aim of maintaining production from Europe's biggest petroleum producer.Offshore Norway's survey of its members shows that drilling and investment will decline next year.The survey revealed that oil companies on the Norwegian continental Shelf, such as Equinor Aker BP Vaar Energi, intend to drill 37 exploration wells by 2026. This is down from the 45 drillings done so far this year.Offshore Norway stated that this is because some companies are prioritizing production drilling in the coming year.