Sources: Exxon will sell its older Permian assets for $1 billion to Hilcorp
Four sources with knowledge of the matter said that Exxon Mobil Corp, the top U.S. oil company, has agreed to sell its conventional oil drilling assets located in the Permian basins of Texas and New Mexico for a price around $1 billion to Hilcorp Energy. This deal is part of a growing trend among U.S. oil companies to sell off older properties after a wave of record-breaking acquisitions. Hilcorp, a private operator, has been one of the most active buyers. Exxon confirmed that the assets had been sold but refused to reveal the buyer or the valuation.
Nigeria approves Exxon Seplat after two years
Nigeria has approved the sale to Seplat Energy of Exxon Mobil Corp.'s onshore assets, said the chief executive of the country's Upstream regulator on Monday. This comes more than two years since the original $1.28 billion agreement.Since it was announced in February 20, 2022, the sale has been scrutinized as it awaits regulatory approval.Bola Tinubu, the President of Nigeria, said that the ministerial approval would be granted within a few days following the clearance by the regulator.Gbenga Komolafe, CEO of the Nigerian Upstream Petroleum Regulatory Commission NUPRC…
Canada regulator suspends Imperial's application to extend Norman Wells oil permits
The Canada Energy Regulator announced on Tuesday that Imperial Oil has put its application to extend life of the remote Norman Wells oil-and-gas facility in Canada's Northwest Territories on hold until a report on environmental assessment is completed. The Norman Wells site is located on nine islands, both natural and artificial in the Mackenzie River (Canada's longest river) and near the town of Norman Wells. Imperial, owned by Exxon Mobil Corp., requested last year that its Norman Wells Operating Permit, due to expire Dec. 31, 2024, be extended by an additional 10 years.
Exxon is looking for buyers of Bakken Shale assets in North Dakota
Exxon Mobil Corp, a major U.S. oil company, plans to sell some of its assets within North Dakota's Bakken Shale Formation. The company announced this on Tuesday. Oil producers are re-evaluating their portfolios after a wave megamergers occurred in the U.S. Shale Patches. They want to determine which assets will remain central to their strategy, and which ones they should divest. In response to questions, a spokesperson for the company said: "ExxonMobil explores market interest for selected assets in North Dakota's Bakken Shale Play.
Exxon-Seplat $1.28 billion deal approval imminent, Nigeria president says
Bola Tinubu, the President of Nigeria, said that Exxon Mobil Corp.'s sale of its Nigerian assets to Seplat Energy would be approved within days once it received approval from the regulator. Analysts say that the $1.28 billion transaction has been closely monitored since it was announced in 2022. It will also signal to investors similar deals such as Shell's sale of assets to Renaissance in January. In a television broadcast marking the 64th anniversary of Nigeria's independence, Tinubu said that his government is committed to making it easier for investors to come to and leave while maintaining the country's regulatory process.
Natural gas producers ask Harris for answers on the battleground state
Drillers from Pennsylvania, an energy-rich state, called on Democratic presidential nominee Kamala Harris this week to explain her stance on natural gas. The energy industry touts it as a clean fuel but climate activists claim that the fuel is a threat to global warming. In January, President Joe Biden froze new LNG export permits to examine their environmental impact. This was a move made in the election year in order to gain support from the green voting blocs of his party. Harris is now facing Donald Trump, a Republican who has stated that he will immediately lift the freeze on permits if elected.
Exxon and Abu Dhabi's ADNOC will partner in the delayed Texas hydrogen project
The Abu Dhabi National Oil Company will purchase a 35% stake in Exxon Mobil Corp.'s low-carbon hydrogen project proposed in Texas. Both companies announced a one-year delay in the start-up until 2029. ADNOC's investments show a confidence in the multi-billion-dollar project, which Exxon had threatened to abandon if the U.S. Government restricted tax credits. The final investment decision was pushed back to 2025 from 2024. Exxon-ADNOC refused to reveal the value of the deal. Dan Ammann, Exxon's President of Low Carbon Solutions, said: "This is an important investment.
Survival of the fittest: petrochemical manufacturers battle global glut
The survival mode of petrochemical producers is on in Europe and Asia. Years of capacity building in China, the top market for petrochemicals, and high energy prices in Europe have pushed margins down two years in a row. The weakness of the sector is concerning for an oil industry that looks to petrochemicals as a way to maintain profits in future years when transportation fuel demand will fall with the energy shift. Industry executives and analysts report that major producers in Asia, Europe, and North America are cutting costs by selling assets…
Exxon Banks Record $56B Profit in '22
Exxon Mobil Corp posted a $56 billion net profit for 2022, the company said on Tuesday, taking home about $6.3 million per hour last year, and setting not only a company record but a historic high for the Western oil industry. Oil majors are expected to break their own annual records on high prices and soaring demand, pushing their combined take to near $200 billion. The scale has renewed criticism of the oil industry and sparked calls for more countries to levy windfall profit taxes on the companies.Exxon's results far exceeded the then-record $45.2 billion net profit it reported in 2008…
Exxon Q4 Earnings Poised to Exceed Pre-pandemic Level
Exxon Mobil Corp's fourth quarter profit should top Wall Street's consensus and surpass its pre-pandemic levels, lifted by better-than-expected earnings from oil and gas, analysts said.Credit Suisse, Scotiabank and JPMorgan have raised their fourth quarter earnings estimates following Exxon's flagging of sharply higher oil and gas operating profit last week. Official results are due on Feb. 1.The higher earnings outlooks lifted Exxon shares 3.8% on Monday to $63.51 on top of Friday's less than 1% gain. The stock rose 48% last year but remains below where it traded two years ago.In 2020, the largest U.S.
Investors on Board as U.S. Oil Majors Dismiss Wind and Solar Projects
Top U.S. oil firms are doubling down on drilling, deepening a divide with European rivals on the outlook for renewables, and winning support from big investors who do not expect the stateside companies to invest in wind and solar. Among a dozen U.S. fund managers contacted by Reuters from companies overseeing about $7 trillion in assets, most said they prefer oil firms to generate returns from businesses they know best and give shareholders cash to make their own renewable bets. With oil and gas prices jumping this year, the U.S.
Shell Exits Permian with $9.5B Sale to ConocoPhillips. Its U.S. Output Now Mostly Offshore
Royal Dutch Shell said on Monday it would sell its Permian Basin assets to ConocoPhillips for $9.5 billion in cash, an exit from the largest U.S. oilfield for the energy major shifting its focus to the clean energy transition.For ConocoPhillips, it is the second sizable acquisition in a year in the heart of the U.S. shale industry, as American and European producers diverge in whether to focus on hydrocarbons going forward.Like all of the world's largest oil companies, Shell is under pressure from investors to reduce…
Exxon Suspended from Climate Advocacy Group It Helped Form
Exxon Mobil Corp was suspended from advocacy group Climate Leadership Council (CLC) that looks to make policies to address climate change, the CLC said on Friday.The move comes a little over a month after an Exxon lobbyist said the company supports a carbon tax publicly because the plan to curb climate change would never gain enough political support to be adopted.
Exxon Considers Pledging Net-zero Carbon Emissions by 2050
Exxon Mobil Corp is considering a pledge to reduce its net carbon emissions to zero by 2050, the Wall Street Journal reported on Thursday, citing people familiar with the matter.The report comes more than two months after the oil major's shareholders cast out three Exxon directors for the nominees of a hedge fund that promised to boost returns and better prepare the company for a low-carbon world.Exxon has not made a final decision on the net-zero pledge, the report said. It added that the company planned to unveil…
15 Bids in To Market Guyana Governent Crude
Guyana received bids from 15 different companies aiming to market the government's share of the crude produced off the South American country's coast, according to Guyana's National Procurement and Tender Board Administration website on Wednesday.The government re-launched the search last month after a previous tender was discarded. Bids were due on Aug. 3, and companies were asked to indicate the commission they would charge per barrel of crude exported. The board did not indicate when it would select a partner.An Exxon Mobil Corp-led consortium has discovered more than 8 billion barrels of oil and gas off Guyana's coast…
New York City Sues Exxon, BP, Shell Over Climate Change
New York City on Thursday sued three major oil companies and the top industry trade group in state court, arguing that the companies are misrepresenting themselves by selling fuels as "cleaner" and advertising themselves as leaders in fighting climate change.The lawsuit comes after a federal appeals court this month rejected the city's effort to hold five major oil companies liable to help pay the costs of harm caused by global warming.The lawsuit said Exxon Mobil Corp, BP Plc, Royal Dutch Shell and industry group…
Exxon to Lay Off 300 Workers in Singapore
Exxon Mobil Corp plans to cut its workforce in Singapore, home to its largest oil refining and petrochemical complex, by about 7% amid the "unprecedented market conditions" resulting from the COVID-19 pandemic, it said on Wednesday.About 300 positions out of 4,000 current jobs will be impacted by the end of 2021, the company said in a statement.The Singapore layoffs come weeks after Exxon announced its plan to close its 72-year-old Altona refinery in Australia and convert it to an import terminal. The top U.S. oil producer…
Shareholders Create Coalition to Pressure Exxon for Change
More than 135 investors managing more than $2 trillion are forming a coalition to push Exxon Mobil Corp into making sweeping changes including refreshing its board and focusing more on energy transition, people familiar with the matter said on Friday.The group, which includes pension funds, faith-based investors as well traditional money managers, came together in the two months since two activist investors called on Exxon to cut costs, invest in more profitable drilling and clean energy, the people said.The coalition…
Exxon Committed to Singapore Refinery Expansion
Exxon Mobil Corp said on Thursday it remained committed to expanding its refining-petrochemical complex in Singapore amid an ongoing review of its projects globally.Along with other oil producers, Exxon has been slashing costs due to a collapse in oil demand and ill-timed bets on new projects. The top U.S. oil company earlier outlined more than $10 billion in budget cuts this year.Exxon made a final investment decision in 2019 on the multi-billion dollar expansion of its integrated manufacturing complex in Singapore…
Coronavirus, Consolidation Taking Toll On Energy Jobs
Oil and gas companies worldwide are taking an axe to their employment rolls, shedding workers to survive what is expected to be a prolonged stretch of weak demand.Exxon Mobil Corp said it will cut its workforce by 15%, or about 14,000 people, along with oil majors Chevron Corp and Royal Dutch Shell Plc.All told, more than 400,000 oil and gas sector jobs have been cut this year, according to Rystad Energy, with about half of those in the United States, where several big exploration companies and most large oil service companies are headquartered.Coronavirus has devastated swathes of the global economy…
