Sinopec Plans to Build Canadian Oil Refinery
China's Sinopec Corp has joined a group planning to build an oil refinery in Alberta, an enterprise that would strengthen demand for the Canadian province's heavily discounted crude.State-owned Sinopec, formally known as China Petroleum & Chemical Corp, along with an Alberta indigenous group, China State Construction Engineering Corp and Alberta management company Teedrum, plan to build a refinery to process 167,000 barrels per day of crude into gasoline and other products…
FirstEnergy Settles Coal Transport Dispute
U.S. power company FirstEnergy Corp agreed to pay $109 million to settle a legal dispute with two railroads concerning a long-term coal transportation contract, the Ohio based company said in a federal filing on Wednesday. FirstEnergy said its FirstEnergy Generation unit would pay CSX Corp's CSX Transportation and Berkshire Hathaway Inc's BNSF Railway in three annual installments beginning May 1, which would be guaranteed by FirstEnergy.
ConocoPhillips: Oil Sands Reserves Revised Down
ConocoPhillips has revised down over a billion barrels of oil sands reserves because of low global crude prices, a company filing showed on Tuesday, the latest sign that some of Canada's vast hydrocarbon potential may be left untapped. The U.S. oil major said developed and undeveloped reserves of bitumen - the heavy viscous oil found in northern Alberta's remote oil sands - totalled 1.2 billion barrels at the end of 2016, down from 2.4 billion barrels at the end of 2015.
FirstEnergy to Shed Pennsylvania Gas Plants
FirstEnergy Corp said on Thursday it would sell four gas-generating plants in Pennsylvania and portion of a Virginia hydroelectric power station to a unit of LS Power Equity Partners III LP for about $925 million. The power stations, owned by FirstEnergy's units, have a total capacity of 1,572 megawatts (MW). Akron, Ohio-based FirstEnergy's move comes as it shifts its focus to more regulated markets by selling or deactivating assets in highly competitive and less regulated markets.
EnQuest CEO Pledges Own Cash to Clinch Restructuring
Restructuring deal gives EnQuest $410 mln liquidity boost; links cash bond interest payments to oil at $65 a barrel. The chief executive of EnQuest has pledged to buy up to $50 million worth of new shares in the North Sea oil producer, a move that clinched a broader restructuring deal for the company struggling with mounting debt. EnQuest, which had $1.7 billion in debt at the end of June, said the deal announced on Thursday would bring in $410 million of extra cash mainly to be used at its Kraken oil field…
Latest Evacuations Threaten Oil Sands Restart
The sudden surge north of the massive wildfire burning in Canada's oil sands region has dealt a new setback to producers, triggering a second round of evacuations and threatening work camps north of Fort McMurray. With the the city of Fort McMurray off limits and fewer places to house workers needed to restart operations, production may be shut down for longer than companies and market analysts had anticipated. A…
FirstEnergy Rates SacOil Share Price Undervalued
In its March 7, 2016 review of oil and gas company, SacOil, listed on AIM and the JSE, FirstEnergy says the company is progressing steadily on three separate fronts. The report says: “We reiterate our outperform recommendation and £0.05 ($0.072) target price given that the company is progressing steadily on three separate fronts. Our £0.04 ($0.057) core NAV, which is based on net cash, G&A and the currently producing Lagia field in Egypt, is 3x the current share price.
Canadian Energy Companies Sell "Jewels" to Keep Oil Sands Afloat
Faced with record low prices for heavy crude, Canadian energy companies are sacrificing other parts of their business to keep higher-cost oil sands production going and safeguard the billions already invested in these multi-decade projects. Companies including Husky Energy Inc, MEG Energy Corp and Pengrowth Energy Corp are selling assets or slowing light and conventional oil exploration and production, even as they forge ahead with oil sands projects that are in many cases bleeding money on every barrel.
Canadian Energy Sacrifice "jewels" to keep Oil Sands
Faced with record low prices for heavy crude, Canadian energy companies are sacrificing other parts of their business to keep higher-cost oil sands production going and safeguard the billions already invested in these multi-decade projects. Companies including Husky Energy Inc, MEG Energy Corp and Pengrowth Energy Corp are selling assets or slowing light and conventional oil exploration and production, even as they forge ahead with oil sands projects that are in many cases bleeding money on every barrel.
Low Crude Prices Leave Many Canada Oil Sands Producers in the Red
U.S. crude's slide to $35 a barrel this week has left many Canadian oil sands producers selling their oil at a loss, with some analysts predicting even more pain in 2016. Alberta's oil sands hold the world's third-largest crude reserves but also have some of the highest breakeven costs globally because of energy-intensive production methods. Canadian heavy crude trades at a discount to U.S. crude because of quality and the cost of transportation from landlocked Alberta to U.S. markets.
Oil Down on Chinese Demand, Russian Output
China factory activity falls for 8th consecutive month. Oil prices fell on Monday as weak Chinese economic data fuelled concerns about demand slowing in one of the world's largest oil-consuming nations while record-high production in Russia exacerbated the global supply glut. Brent crude futures, the global benchmark, traded down 85 cents at $48.71 a barrel at 1220 GMT, down 1.6 percent. U.S. futures were trading at $45.84 a barrel, down 75 cents or 1.6 percent on Friday's close.
Alberta Energy Minister Inexperience Concerns Industry
Canada's oil and gas industry is concerned about the inexperience of Alberta's new energy minister, but is ready to give her the benefit of the doubt for now as she takes on the closely watched role, analysts and executives said on Monday. Marg McCauig-Boyd, a one-time teacher with a master's degree in administration and leadership from San Diego State University, was on Sunday appointed as energy minister by new Premier Rachel Notley.
Genel, Partners Find Oil off Morocco
Genel Energy and two partner firms said on Monday they had discovered oil off Morocco, giving a boost to the region whose oil and gas drilling results have so far been mixed. Genel's minority partners in the Sidi Moussa-1 well, Serica Energy and San Leon, announced they had drilled nearly 3,000 metres below the sea and encountered oil. "We are at a very early stage and the presence of hydrocarbons in this frontier block will require further evaluation…
US Rail Jams Force Rush to Roads and Rivers
U.S. coal-burning power utilities are being forced to turn to barges and more expensive trucks to move coal, desperate to shore up stockpiles left dangerously low by the widespread bottlenecks on rail networks. The shift in how coal is being delivered to some power plants from mining regions such as Illinois Basin and comes amid persistent railroad delays that began during last year's severe North American winter.
