Filed under:Energy News

US independent Anadarko Petroleum has concluded a long-running dispute with Algiers over the 2006 implementation of a windfall tax.

Statoil is considering the acquisition of new UK North Sea assets as it seeks to replicate successful discoveries made in 2011 in the Norwegian North Sea. Though this is an encouraging development, the UK's long-term reserves and production outlook remains mixed. In particular, there are worrying signs that independents are reducing exploration and appraisal expenditure as their balance sheets are stretched by new taxes, stricter decommissioning regulations and the higher cost of capital.

BMI View: ExxonMobil's CEO has highlighted the inherent difficulties in developing shale formations in China, Poland and the US - making the distinction between the hype and the difficult operational realities. Indeed, despite large untapped potential, the geological, technological and commercial challenges are far from being fully answered and significant R&D and investment will still be needed to ensure commercial viability of resources around the world. Nevertheless, this cautious approach should not dampen optimism with regard to this considerable resource

Given the cost of commercialising Mozambique's offshore gas bonanza, Anadarko Petroleum and Eni are likely to develop a joint LNG export facility. They are also likely to farm-out significant stakes in their blocks in order to fund the project. Interest in a possible farm-out looks to be building as people with knowledge of the matter indicate that at least eight players are in preliminary talks with Eni over the sale of a 20% stake in offshore Area-4.

Filed under:Energy News

Filed under:Energy News

Filed under:Energy News

Filed under:Energy News

Filed under:Energy News