Leviathan Partners eye large expansion of natgas fields for Israel and export
One of the partners said that the Israeli Leviathan project, which involves the offshore natural gas field, has submitted to the government a multi-billion-dollar plan for the expansion and boosting of production. NewMed Energy's plan, which it submitted to the Energy Minister’s Petroleum Commissioner, calls for drilling three additional production systems as well as expanding the processing facilities at the platform. This will increase the total gas production capability to 21 billion cubic meters (bcm), a cost of $2.4 billion. Leviathan is a huge deep-sea gas field that came online in 2019.
Guyana will soon sign a oil deal with TotalEnergies led group
Energy Minister Vickram Bharrat said that Guyana is expecting to sign a production-sharing agreement soon with a French consortium led by TotalEnergies, which will allow the country to explore an off-shore area. Guyana, the fastest-growing oil producing country in the world, is on track to produce 940,000 barrels of crude oil per day this coming year. This is nearly 1% more than last year's output. All of Guyana's crude oil is produced by a consortium led the U.S. company Exxon Mobil. TotalEnergies, a consortium led by Exxon Mobil, won the block at an auction held in 2023. The government has been trying to diversify this sector.
TE Connectivity to Acquire Richards Manufacturing
TE Connectivity entered into a definitive agreement to acquire Richards Manufacturing Co. from funds managed by Oaktree Capital Management, L.P. and members of the Bier family, long-standing owners and leaders of the business. The transaction will strengthen TE's position in serving electrical utilities in North America by combining complementary product portfolios and adding the expertise of the Richards team, enabling TE to benefit from strong growth trends in underground electrical networks.Richards is widely recognized as a best-in-class provider of utility grid products and, over the last several years, has experienced double-digit revenue growth.
Siemens Energy orders $135 billion in record order volume
Siemens Energy announced a record order book of 131 billion euros ($135.5 billion), boosted by a strong demand for energy equipment. This includes everything from wind and gas turbines, to power converters and electrolysers. According to the company, it also reported a net profit of 252 millions euros for the first three months of its financial year. This was higher than the 130 million euro expected by analysts in a LSEG survey. Siemens Energy has seen its order book grow by over a third in the last few years. This is due to global efforts to reduce carbon emissions and a spike in demand for electricity to power data centres.
ChampionX executive: New U.S. tariffs on metals will increase oilfield equipment prices.
A company official told reporters on Tuesday that ChampionX anticipates the new U.S. tariffs on imports of steel and aluminum will increase equipment costs for oilfield services firms. U.S. president Donald Trump increased tariffs on imports of steel and aluminum on Monday, to a flat rate of 25% "without any exceptions or exclusions". He hopes this will help struggling industries in the United States. However, it also risks igniting a multifront trade war. Steve Davoren's Regional Business Development Director, ChampionX, said on the sidelines the India Energy Week Conference that "80% of our revenues are North America.
KNDS to buy German defence equipment manufacturer Alstom
The companies announced on Wednesday that Alstom, a French train manufacturer, has agreed to sell the Gorlitz plant located in Germany to KNDS (a German defence equipment maker). In a joint press release, KNDS said that it will begin using the plant in this year to manufacture assemblies for the Leopard 2 Battle Tank, the Puma Infantry Fighting Vehicle and variants of Boxer Wheeled Armoured Vehicle. Depending on the progress of the project, the production of double-decker trams and trains by Alstom in Gorlitz may continue, or it could be moved, according to the company.
Marubeni targets a net profit of over $4 billion in FY 2027/28
Marubeni, a Japanese trading company, said it aims to achieve a net profit in excess of 620 billion yen (about $4 billion) during fiscal 2027/2028. It also aims for a return on total shareholders of 40%. The company reported a 14.5% increase in its April-December net income to 425.2 billion Japanese yen. It also revised its forecast for the full year to March, from an earlier guidance of 480 million yen. Masumi Kakainoki, Chief Executive Officer of the company, said at a press conference that they would continue to increase their earnings in the U.S. through capturing domestic demand.
China's tariff retaliation is aimed at its modest US energy imports
China is the largest energy importer in the world, but its purchases of US crude oil, LNG and coal are relatively modest. This reduces the impact of Beijing’s Tuesday move to impose retaliatory duties on the imports of U.S. natural gas, LNG, and crude oil. China's Finance Ministry announced that, on February 10, it will impose tariffs of up to 15% on the imports of U.S. crude oil, LNG, and coal, and 10% on some autos and farm equipment. Data from the U.S. Energy Information Administration revealed that Chinese imports of U.S. Crude Oil fell 52% in the first eleven months of 2024 compared to the same period a previous year.
Baker Hughes reports that US drillers have added oil and gas rigs to their fleet for the first time in 8 weeks.
Baker Hughes, a leading energy services company, said that the U.S. added oil and gas rigs this week for the first eight-week period. The number of oil and gas drilling rigs, a good indicator of future production, increased by six in the week ending January 31. Baker Hughes reported that despite this week's increase in rigs the total count is still 37 rigs or 6% lower than this time last year. Baker Hughes reported that oil rigs increased by seven this week to 479, while gas rigs decreased by one to 98. This weekly increase in oil rigs is the largest since February 2023.
Infinity Natural, backed by Pearl Energy, valued at $1.3 Billion as shares soar in NYSE debut
Infinity Natural Resources, a company owned by private equity, was valued at $1.3 billion after its shares rose 10.8% on their New York Stock Exchange debut on Friday. Morgantown, West Virginia based company opened its stock at $22.16, over the $20 per share offer price. Infinity, supported by Pearl Energy Investments, NGP and other buyout firms, sold 13,25 million shares between $18 and $21 in order to raise $265 millions. The listing coincides with a Trump administration that is more pro-fossil fuels, and a constant stream of energy IPOs. Last week, President Donald Trump declared an energy emergency in the United States to increase oil and gas production.
Baker Hughes exceeds its quarterly profit expectations on natgas demand
Baker Hughes, a U.S. oilfield equipment company, beat Wall Street's fourth-quarter profit estimates on Thursday as strong demand for natural gas products and services offset the weak sales of its drill gear in North America. Oilfield services companies are struggling with lower demand, as extraction technology becomes more efficient and increased supplies discourage more drilling from energy companies. Baker Hughes reported that revenue for its oilfield service segment in North America fell by 5%, while international markets saw a 1% drop.
Baker Hughes signs supply agreement with Venture Global
Baker Hughes, a provider of oilfield services in the United States, announced on Thursday that it had signed an agreement with Venture Global for technology and equipment to support its projects involving liquefied gas (LNG). Venture Global has signed a framework agreement for services to support phases 1 and 2 in Louisiana's Plaquemines LNG Project. The demand for LNG has increased as Big Tech invests billions in AI technology. Venture Global, based in Arlington, Virginia, is the United States' second largest liquefied gas exporter. It has increased production at its second LNG facility, Plaquemines, rapidly.
Venture Global LNG has almost completed repairs at Calcasieu Pass Power Plant -FERC
A federal inspection report released on Wednesday said that Venture Global LNG may be able to complete power generator repairs before the end of the month. This could pave the way for the completion of the nearly three-year long commissioning process of the Calcasieu Pass LNG Plant. Venture Global has become the most valuable U.S. gas company after its initial public offering, which took place on Thursday. It blamed equipment failures and unreliability in its power generators for its inability deliver cargoes to long-term clients from Calcasieu Pass.
NextEra advances toward Iowa nuclear plant restart
NextEra Energy CEO John Ketchum said on Friday that the company has been in contact with regional grid operators about a potential restart of the Duane Arnold Nuclear Power Plant located in Iowa. Nuclear power in the United States has been on the decline for decades, but now is a sought-after electricity source by Big Tech's AI Data Centers. Nuclear power's ability, in the past year, to provide vast amounts of energy around-the clock that is almost carbon-free, has helped boost shares of nuclear plant companies. Three plants are currently attempting to restart a fully-shut U.S. reactor. Duane Arnold is one of them.
Lyondell to begin closure of Houston Refinery this weekend
LyondellBasell Industries will begin the permanent closure of its 263,776 barrel-per-day Houston refinery this coming weekend, said people familiar with plant operations.Layoffs of up to 400 employees at the refinery are scheduled to begin two months after the shutdown begins, the sources said.A Lyondell spokesperson did not immediately reply to a request for comment.Lyondell plans to convert existing hydrotreaters at the refinery site along the Houston Ship Channel for use with equipment to be added after 2027 to produce plastic pellets from recycled plastic items.Lyondell said in November shuttering the refinery would begin in January and finish in February.
Stocks of global industrial and tech companies rally after Trump's AI investment drive
On Wednesday, global industrial and technology shares including Oracle and Schneider Electric rose after U.S. president Donald Trump announced a massive investment push in artificial intelligence. Trump announced on Tuesday that the private sector would invest up to $500 billion in AI infrastructure. This announcement sparked interest in stocks which help to build the architecture of the technology. Oracle, one company involved in this effort, rose more than 9,5% in early U.S. market trading. AI-related firms in the U.S., including chip giant Nvidia, Broadcom, and Arm, gained between 2% to 6.5%. Microsoft, a partner in the initiative as well, rose by 2%.
Enverus says that US energy mergers could slow down in 2025 due to smaller deal sizes.
According to an Enverus report released on Tuesday, the pace of U.S. public-to-public upstream mergers in 2025 could slow from its recent average of five mergers per year and deal sizes may also decrease. Consolidation in the U.S. Energy Sector, which resulted in deals worth $250 billion by 2023, continued into 2024, and will likely continue into this year as companies seek to increase their oil and natural gas reserves. As a result of the wave of mergers, fewer companies were available and fewer pockets were empty. Some announced combinations, however, have been delayed by either antitrust regulations or contract arbitration challenges.
After holiday weekend, US demand for natgas is expected to reach record levels
The U.S. demand for natural gas is expected to hit a record next week, as the extreme cold that has gripped the U.S. this winter will put pressure on power grids again the day following the Martin Luther King Jr. Day weekend. This week, gas futures reached two-year highs ahead of the freezing weather. Meanwhile, spot prices in several major hubs around the country have risen to their highest level since January 2024's Martin Luther King holiday weekend. The week before last, gas demand reached its current record high. Next-day prices also soared.
SLB increases dividend and buybacks shares after beating quarterly profit targets
SLB increased its quarterly dividend on Friday and boosted its share repurchases after the oilfield services provider reported a better-than expected fourth quarter profit, helped by higher demand of its drilling technology and equipment. The company increased its quarterly dividend to 3.6% and announced that it had begun an accelerated share purchase program of $2.3 billion worth of stock. SLB's Chief Executive Officer Olivier Le Peuch said that while upstream investment will be subdued for the near term because of global oversupply we expect the oil supply imbalance to gradually diminish.
TVO Contracts 4C Global Consultancy to Support UK Clients
Trendsetter Vulcan Offshore (TVO), a developer of innovative solutions for the offshore industry, has engaged Finlay Johnston, through 4C Global Consultancy, to lead business development efforts for TVO in the UK.“We recently appointed a country manager in Australia and are continuing to add to our global team,” says TVO President Jim Maher. “There is a long-term need for expert subsea support services in the UK, and by engaging a local representative, we are strengthening our commitment to the region, providing an avenue for North Sea operators to access our proven solutions…
