Latest News are articles brought to you online only and have not been published in an issue of JPT.
ExxonMobil’s Guyana Offshore Discovery Count Rises to 13
Yellowtail-1 is the fifth discovery in the Turbot area, where ExxonMobil plans another Stabroek Block development hub.
ConocoPhillips to Exit UK E&P Business in $2.7-Billion Sale
With the purchase, the growing, privately-held Chrysaor Holdings will expand its UK North Sea production to 185,000 BOE/D.
Majors, IOCs Win Blocks in Argentine Offshore Bid Round
Thirteen companies placed bids on 18 blocks in the Austral, North Argentina, and Malvinas West basins as part of Argentina’s first open bid round for offshore acreage in more than 20 years.
Ghawar vs. Permian Basin: Is There Even a Comparison?
While some try to put the two enormous oil producers toe-to-toe, the best thing to do might be to understand why they are different.
Energean Makes Gas Find Off Israel, Estimates More Than 1 Tcf in Place
The discovery will be tied back to the 775-MMcf/D Energean Power FPSO, advancing Israel’s aim of becoming a regional gas supply hub.
Chevron’s $50-Billion Purchase of Anadarko Will Create ‘Ultra-Major’
Chevron’s $50-billion purchase of Anadarko will make it the second-place ultra-major, behind ExxonMobil.
Israel’s Delek Group to Buy Stake from Shell in US Gulf Field for Almost $1 Billion
The move is part of Delek’s strategy to expand its operations beyond the Eastern Mediterranean region. Shell, meanwhile, is in the midst of a $10-billion divestment program.
What Happened to the Private, Family-Owned Oil Company?
When the oil and gas industry goes one way, family-owned Hunt Oil goes the other. And that’s why the company has been around for three generations.
Majors Drive Increase in Global Oil and Gas Discovered Resources
Conventional oil and gas discovered resources in 2019 are on pace to rise 30% from last year and reach their highest level since the beginning of the industry downturn. Here, a recap of the first quarter's 15 biggest oil and gas discoveries, which altogether are propelling the increase.
Shale Producers Look for Fracturing Power, See a Tighter Market
In the fast-moving US shale sector, no market trend seems to last long. The pressure pumping market exemplifies the maxim.
Three Big Numbers Shaping the Global Crude Picture
Take a quick look at some of the data points shaping upstream headlines and the movement of oil supplies around the world.
Repsol, ExxonMobil Latest to Add Colombian E&P Blocks
Colombia now counts Repsol, ExxonMobil, Shell, and Noble Energy as companies committed to exploration in its portion of the Caribbean Sea.
Malaysia’s Petronas is Looking Near and Far for Gas and Oil
The state-owned firm is looking within its home country, around Southeast Asia, and to the Americas—including shale—in an effort to maintain its forecast average yearly production of 1.7 million BOE/D over the next 5 years.
Noble Energy, Shell to Explore Colombian Caribbean Sea
Noble’s farm-in to blocks recently awarded to Shell marks the Houston-based independent’s entry into Colombia, where the government hopes to boost offshore exploration.
What Does the New Silk Road Mean For Oil and Gas?
Executives from two of Asia’s largest national oil companies declared China’s Belt and Road Initiative project a driving force behind their shifting priorities to diversify the world’s energy mix.
UK Releases 130 Terabytes of Oil and Gas Data
Data from the UK Oil and Gas Authority’s new data repository cover 12,500 offshore wellbores, 5,000 seismic surveys, and 3,000 pipelines.
PTTEP to Buy Murphy Oil’s Malaysian Business for $2.1 Billion
Thailand’s PTTEP is doubling down on Malaysian oil and gas in an effort to broaden its reach in its native Southeast Asia.
Shell Dominates US Gulf Lease Sale
The major’s dominant showing in US Gulf of Mexico Lease Sale 252 propelled another rise in bids and dollars for the biannual regionwide auction.
Global Oilfield Services Market Won’t Recover Until 2025
The financial effects of the downturn are set to last at least a decade—which puts the industry almost at the halfway point. This is according to a new report that says the FPSO market is the most “unscathed” of all the service segments.
Shale Pioneer: Hard Ceiling On Production Growth Coming
The complicated parent-child relationship in US shale fields is emerging as a turning point in the US shale revolution. One of the first executives to exploit tight oil says the issue will reverse the sector’s cumulative growth rate by 2025.
Is the Cloud Mature Enough for High-Performance Computing?
Data volumes are growing at an exponential rate. How can high-performance computing solutions help operators manage these volumes? Will faster, stronger processors and cloud computing solutions be the answer?
Shale CEO on Parent-Child Challenge, Well Declines: We Know
Encana CEO Doug Suttles assures that shale executives are acutely aware of the parent-child well challenge, and he doesn’t think it’s “a big threat” to the sector.
Imaging Fracturing’s Unexpected Changes
Pictures shot in fractured wells show how a high-pressure slurry of water and sand carves up the perforations.
OTC 2019 Announces Spotlight on New Technology Award Recipients
The Spotlight on New Technology Awards—a program for OTC exhibitors—showcase the latest and most advanced hardware and software technologies that are leading the industry into the future.
Change in Energy Sector is So Extreme Oil Companies May Need to Share Data
Oil companies generate an enormous amount of data but are reluctant to share it. But more sharing of information may be required in the future to keep up with a rapidly changing energy landscape.
ExxonMobil, Chevron Target Nearly 2 Million BOE/D in Permian Production
The US majors plan to produce around 1 million BOE/D each from the basin, which has become a primary focus of their upstream operations.
ExxonMobil Makes Huge Gas Discovery Offshore Cyprus
The discovery is world’s third-largest natural gas discovery in the past 2 years.
Shale Executives Address Investor Concerns Over Production, Frac Hits, Up-Spacing
The technical challenges imposed by tight well spacing and fracture interactions have become a focal point of recent earnings calls between investors and the leaders of several shale producers. The picture of the future is becoming clearer, and there are fewer oil wells in it.
New Tech Accelerator Teams With Big Operators To Solve the Pilot Problem
Funding for startups in the upstream industry does not always guarantee that oil and gas companies will want to test the new technology. A new venture and accelerator model hopes to change this through guaranteed pilots.
Keeping Up with the Older Generation Proves Costly and Futile in the Permian
Another reminder that it costs more to coax the same amount of oil from new wells as for older wells nearby, with a closer look at the big plays and how the wells are completed.
Noble Energy Touts Output Gains, Potential From “Row Development” Concept
Noble’s first row of wells in its massive Mustang project is helping increase the operator’s DJ Basin output, and similar results are soon expected in the Delaware Basin.
Israel Hopes to Build on Success of First Bid Round
The second round will offer 19 offshore blocks clustered in five zones to continue natural gas development in the eastern Mediterranean’s Levant Basin.
Permian Basin Production Will Grow as Long as Well Productivity Allows It
Production growth in the Permian Basin requires drill rigs running at a high pace. That is challenging companies to push well productivity.
Devon Pulls Up Its Roots, Goes All In on US Oil
Devon Energy will be getting simpler and smaller by selling two no-growth assets—gas acreage in the Barnett Shale in Texas and oil sand operations in Canada. Its future is staked on growing oil production in the Permian’s Delaware Basin and three other unconventional oil plays.
Equinor, Transocean Ink Deal for Five Automated Rigs
The contract is helping to solidify Europe’s offshore sector as the focal point for the rise of automated drilling technology.
EIA Adds New Plays to Shale Gas, Tight Oil Reports
The agency updated its methodology and production volume estimates to factor increasing production from new, emerging plays as well as older plays that have rebounded thanks to drilling advancements.
In 2040, Will There Be Jobs for Petroleum Engineers?
BP’s latest annual energy outlook considers many scenarios for the future, and they all require engineers to find a lot more oil to meet high demand.
Chesapeake Teams With Analytics Firm To Improve Asset Performance
The Oklahoma City independent has a new-look portfolio and new operational and financial priorities. And now it has enlisted an energy research firm to leverage advanced analytics and machine learning to help get the most out of its assets.
The Eagle Ford Still Looks Good to Operators
The Eagle Ford Shale has reclaimed its standing as one of the most attractive US onshore liquids basins, and for good reason. Does this mean more operators will seek to buy in to the play, and could further consolidation take hold following last year’s big deals?
UK Shale Flow Test Positive, But No Regulatory Relief in Sight
UK’s first horizontal shale well has yielded positive results after an initial flow test. But further testing—and fracturing of a second well—will have to come amid a continuation of UK’s stringent regulations on induced seismicity.
To Solve Frac Hits, Unconventional Engineering Must Revolve Around Them
The struggle to overcome the challenge of frac hits has led to a critical dialogue about which pathway the shale sector should take. One idea is to simply put the problem at the center of every major decision.
Imaging Shows What is at Fault in Fracturing Job
Electromagnetic images can show where water flows during a hydraulic fracture. A test in the Anadarko Basin showed a fault there was a bigger hazard than expected.
What Happened to all the E&P Deal-Making?
One of last year’s big stories in the industry was consolidation among several of the larger upstream operators. But deal activity has fallen off in recent months. Will things remain this quiet during the somewhat uncertain year ahead?
US Shale To Drill And Complete 20,000 Wells This Year
A new report expects US producers to drill their highest number of wells since 2014, and that completion activity may exceed drilling for the first time since 2016.
Brazil’s Lula Field a Step Closer to Producing 1 Million B/D of Oil
Petrobras and Shell have brought online the Lula field’s seventh FPSO as the firms continue to ramp up production from the pre-salt Santos Basin.
CNOOC’s “Major Find” In North Sea Is Biggest In 11 Years
The state-run offshore company has found a gas and condensate field that holds an estimated 250 million BOE.
CNOOC’s Strategic Plan Sets “Bullish Tone” for Chinese NOCs
The national oil company’s aim to lift oil and gas production and reserves over the next few years will rely on growth from big international projects, including those in Nigeria, Guyana, and the US.
SPE Forum Spotlights the Women in Energy
A host of women and men gathered at the inaugural SPE-GCS Women in Energy Congress to discuss the gender-gap challenges facing oil and gas today. How does greater diversity and inclusion help the industry progress, and what can companies do to encourage more diverse and inclusive environments?
C&J Energy, Seismos Combine Technologies To Evaluate Fractures As They Are Made
Using drilling data and a downhole acoustic signal, developers aim to assess unconventional fracture networks in real time and give engineers ability to customize each stage.
Survey Points to Bullish Outlook for 2019, With Some Caveats
Industry confidence is on the rise, and so is capital spending, according to DNV’s 2019 annual outlook.
Sustainability Means Survivability for the Oil and Gas Industry, World Abroad
Sami Alnuaim, 2019 SPE president, welcomed the addition of two new oil and gas sustainability initiatives at the University of Houston and highlighted a number of ways the industry is already acting as a good global steward.
So Many PE Schools, So Many Strangers
Many leaders of petroleum engineering schools from around the world have never met but SPE’s technical director for academia would like to change that.
An Eye on the Prize: Shell Invests in Computer Vision Developer
The backing of one of the world’s largest oil and gas companies aims to put this emerging digital technology on the path to widespread adoption.
Reservoir: Assume Nothing is Totally Conventional
Unconventional development has made it clear to Erdal Ozkan that conventional theory overlooks a lot of potentially productive rock. He talks about looking for ways to do better as part of JPT’s tech director report.
US On Track To Be Net-Exporter Of Crude and Petroleum Products
A new report predicts that US output will rise to a new record high of 12.1 million B/D in 2020.
Norway Awards Most Licenses Ever in New Round
In need of an exploration boost, Norway doled out a record 83 production licenses in mature areas of the Norwegian Continental Shelf to 33 firms.
Eni To Team With BP, Others in Growing Middle East Exploration Campaign
By racking up exploration agreements in the United Arab Emirates, Oman, and Bahrain, Eni took a big step forward in its pledge to tap into the Middle East’s vast swaths of highly prospective oil and gas acreage.
Completions: Squeezing Out More Recovery
Completion engineers feel pressure to maximize production per acre and minimize the downsides of fracturing in tight spaces. Terry Palisch, talks about promoting knowledge sharing as part of JPT’s tech director report.
China Flexes Shale Muscles as CNPC Ups Gas Output 40%
The country continues to step up its delivery of shale gas, but has a long ways to go to meet the government's target.
BP’s Seismic Innovations Used To Find Cheap Barrels Offshore
BP announced four discoveries in the Gulf of Mexico near existing platforms. It use advanced seismic imaging to identify resources in deepwater locations that can be developed cost effectively using platforms nearby.
Saudi Arabia Pushes for $80 Oil But US Producers See Lower Prices
Saudi Arabia is trying to push oil prices back up but US producers remain wary and uncertain.
Drilling: What Can We Do To Thrive?
Falling oil prices are the acid test of drilling efficiency. SPE Technical Director Jeff Moss of ExxonMobil talks about ways to build in lasting savings as part of this special report.
Equinor Opens Digital Support Centers in Bid to Create $2 Billion in Value
Two new centers in Bergen, Norway will lean on emerging digital technology to oversee much of the Norwegian operator’s offshore operations.
Wintershall, Seadrill To Use Automated Drilling on Newest Rig
The latest example of the offshore sector's march toward automated wellbore construction will take shape later this year in the North Sea.
ProPetro Completes Acquisition of Pioneer’s Pressure Pumping Assets
ProPetro closed its deal to purchase Pioneer’s pressure pumping fleet, boosting its services in the Permian Basin.
Total Begins Production From Nigeria’s Giant Egina Field
The French major is racking up barrels of deepwater production as part of its large-scale West African push.
Oil Prices Take a 2014-Size Hit
Oil prices have fallen since early October in lockstep with the plunge in 2014. But this time oil companies appear better able to deal with a tough situation.
Shale’s Big Sand Switch Is Delivering Dollars, but Not Eroding All Concerns
Producers in Texas have claimed an economic victory with their transition to local sands that they once avoided using in horizontal wells due to their low-quality.
CNOOC, Several International Firms Sign Agreements for Areas Offshore China
Chevron, ConocoPhillips, Equinor, Shell, and Total are among nine firms looking to explore the Pearl River Mouth Basin.
How Does Vaca Muerta Stack Up vs. US Shale? Data Tell the Tale
Vaca Muerta production is on the upswing. Will increasing activity propel the Argentine play to the ranks of US shale? Data suggest it is both already there and has a ways to go.
Big Year for Shale M&A May End with Shell and Endeavor
2018 has seen a wave of shale deals that are consolidating the landscape. While this one could be among the biggest, it is not yet final.
Global Oil and Gas Exploration, Project Sanctions Expected to Rise in 2019
Financially healthier than in years past, operators are prepared to stave off the negative impacts of volatile oil markets in 2019 and advance their exploration and development programs.
Straight Out of OPEC, Qatar Flexes Global Ambitions
The small Gulf-nation is expanding its upstream portfolio to include some of the hottest exploration areas.
Led by Frac, The Oilfield Services Space Could Get Interesting in 2019
Slumping oil prices may throw a wrench into a positive outlook for the global oilfield services and equipment industry. Even if prices rebound, complications in the US fracturing market—and elsewhere—are expected to persist.
Take the JPT Reader Survey
Please take a few minutes to complete the 2018 JPT Reader Survey.
USGS’s Largest-Ever Assessment of Continuous Oil Potential: Permian’s Wolfcamp-Bone Spring
Production and proved reserves in the Permian Basin’s Wolfcamp Shale and Bone Spring Formation are reaching new heights, and a new assessment from the US Geological Survey indicates the industry is just scratching the subsurface when it comes to what may be technically recoverable.
Natural Gas is Up, Except Where It’s Down
Natural gas prices have risen in the US but not in west Texas. The contrast is a sign of the growing pains that come with explosive growth changing this increasingly competitive market.
Mexico’s Giant Zama Discovery Gets New Interest Owner
DEA Deutsche Erdoel is buying Sierra Oil & Gas, giving the German operator stakes in six new blocks off Mexico—including the Zama discovery, where appraisal drilling is now under way.
BHGE Hopes New Approach Makes Subsea Projects More Viable
The firm hopes to remedy the cost-, labor-, and time-intensive process of executing offshore projects through deployment of “Subsea Connect,” which it says can cut project development costs by 30%.
ExxonMobil Makes 10th Discovery Off Guyana, Lifts Resource Estimate by Another Billion Barrels
The Pluma-1 discovery could turn the southeast portion of Stabroek Block off Guyana "into a major new development area," the company says.
Fighting Water With Water: How Engineers Are Turning the Tides on Frac Hits
If the shale sector’s most complex problem can be solved, it will require companies to use their wells as a team. Newly detailed field work shows that a good defense is the key to success.
US Oil, Gas Reserves Hit All-Time Highs
Proved oil and gas reserves in the US have spiked to levels not seen before, the EIA reports, and one of the main drivers is the Permian’s Wolfcamp-Bone Spring Shale.
How Close Is Too Close? Well Spacing Decisions Come With Risks
The ideal well spacing is in the eye of the beholder. The decision depends on so many factors that machine learning is now trying to determine the best combination of ingredients.
BP, Chevron Bring Two More Offshore Projects on Stream
Majors BP and Chevron have overcome development challenges and delays to launch their respective Clair Ridge and Big Foot projects.
Three Trends Shaping Global Production: US Well Spacing, Argentine Shale, and Middle East Conventionals
For the next several years, supplies of crude will depend on several macro factors. Some are easier to forecast than others.
SPE Agreements Will Promote Social Responsibility, Sustainability
SPE signed agreements with two leading industry associations to promote knowledge sharing and best practice in social responsibility.
Refined Business, Software Platforms Drive Helmerich & Payne’s Drilling Evolution
Helmerich & Payne’s first 100 years have required constant reinvention. Now the company hopes its new drilling software platform built on the acquisitions of two startups will propel it through the next century.
Fewer Grads + More Jobs: A Winning Formula for Job Hunters
As demand for petroleum engineers begins to rise, supply is dropping fast. It may be a good market for job seekers but things could get tougher for those doing the hiring.
IEA Warns of Global Oil Supply Deficit, Leaning Too Heavily on US Output
US crude oil production is expanding at an unprecedented rate, but much faster growth will be needed in the next few years to meet the world’s demand if global investment in conventional supply doesn’t pick up, an IEA report indicates.
GE Speeds Up Plan To Sell Stake in Baker Hughes
The deal would raise nearly $4 billion for GE, which plans to reduce its stake in the oilfield services company from 62.5% to at least 50.1% after the transactions. It had previously announced in June its intention to sell its stake over a 2- to 3-year period.
ADNOC Announces Integrated Gas Strategy, Oil Production Boost
The Abu Dhabi government approved a $132.3-billion capital expenditure increase that will fund, among other things, a plan that could enable the country to sustain LNG production through 2040.
Total, ADNOC To Explore for Unconventional Gas in Abu Dhabi
The French major will become operator of the Ruwais Diyab concession, and ADNOC says additional companies are lining up to partner on the emirate’s other unconventional areas.
New Oil Sands Development Gets Green Light
Imperial Oil has made a final investment decision on its 75,000-B/D Aspen oil sands project, the first new oil sands development to be approved in 5 years.
Setback Rule Defeated in Colorado, But Industry There Remains Threatened
Colorado voters soundly defeated a measure 6 November that would have restricted the vast majority of new development in the country’s fifth largest oil-producing state. The outcome was a big relief for the oil and gas industry, but its existential fight in the state hasn’t ended.
Frac Hits To Take Center Stage at SPE Hydraulic Fracturing Conference
The upcoming event will provide the shale sector with a venue to share new learnings and approaches meant to overcome one of its greatest subsurface challenges.
Gas Begins Flowing From UK Shale Well
Small quantities of gas and water are flowing to the surface from the UK’s first horizontal shale well—just days after operator Cuadrilla paused injection work for a second time amid earthquakes.
Israel Launches New Bid Round
Israel is launching a new offshore bid round for gas-bearing blocks in the Eastern Mediterranean.
US Shale Consolidation Heats Up as Firms Mull Long-Term Survival
With big shale mergers dominating the headlines, some of the industry’s most influential financial players gathered to discuss what’s driving the shift in operational and fiscal priorities.
Can Machine Learning Mitigate Frac Hits?
BHGE is developing an analytics and machine-learning approach that offers descriptive and predictive insights on frac hits, with the aim of eventually offering a real-time monitoring capability to be deployed during frac jobs.
BP’s Lower 48 Unit Becomes BPX Energy
The rebrand follows the completion of BP’s $10.5-billion purchase of BHP’s assets in the Permian, Eagle Ford, and Haynesville.
Don't miss out on the latest technology delivered to your email weekly. Sign up for the JPT newsletter. If you are not logged in, you will receive a confirmation email that you will need to click on to confirm you want to receive the newsletter.
10 April 2019
16 April 2019
17 April 2019