Global LNG Demand Faces Seasonal Contraction

(WoodMac, 2.Jun.2020) — The global liquefied natural gas (LNG) industry is about to face its first seasonal demand contraction since 2012, with demand in summer 2020 expected to fall 2.7% or 3 million tonnes (Mt) year-on-year, says Wood Mackenzie. Lockdown measures and negative economic outlook stemming from the coronavirus pandemic […]

Bangladesh To Double Fossil Imports In A Decade

(WoodMac, 14.May.2020) — Bangladesh is expected to double its fossil fuel imports to 32 million tonnes of oil equivalent (Mtoe) between 2020 and 2030, says Wood Mackenzie. While growing working age population, urbanisation and rising income levels continue to spur domestic demand, it is electrification needs in the power, export-driven […]

Arrow Energy Sanctions Surawat Gas Project

(Energy Analytics Institute, Jared Yamin, 16.Apr.2020) — Wood Mackenzie senior analyst Daniel Toleman comments on Arrow Energy’s announcement on the sanction of the Surawat Gas Project. “Shell taking FID on the first phase of Arrow Energy’s Surat Gas Project (SGP) in Queensland was a surprise, as project sanctions will be […]

WoodMac On OPEC+ Production Plan

(WoodMac, 9.Apr.2020) — As OPEC+ agreed at cut of 10 million b/d, WoodMac’s Ann-Louise Hittle said: “A 10 million b/d cut would be very supportive of price over the second quarter. “Even a 5 million b/d reduction would see oil prices in the low $30s. It would ease pressure on […]

US$210bn Of New Spend In Firing Line

(WoodMac, 2.Apr.2020) — The oil price crash has hit the upstream sector hard. Deep cuts are being made across the board, but it will have a dramatic impact on the industry’s project pipeline. Global natural resources consultancy Wood Mackenzie believes almost all pre-FID projects will be deferred. Of the 50+ […]

China’s Oil Reserves To Reach 1.15bn Barrels In 2020

(WoodMac, 23.Mar.2020) — Wood Mackenzie’s latest analysis reveals that China’s crude stock (including strategic and commercial petroleum reserves) could reach 1.15 billion barrels in 2020, equivalent to 83 days of oil demand. Wood Mackenzie senior consultant Lei Sun said: “Major crude oil importers such as China have been known to […]

Oil Price Rout May Trigger Major Shake-up: Woodmac

(WoodMac, 9.Mar.2020) — As global markets reel in the wake of the oil price crash, Wood Mackenzie’s Tom Ellacott said: “The price collapse could be the trigger for a new phase of deep industry restructuring – one that rivals the changes seen in the late-1990s. Ellacott, senior vice president, corporate […]

Coronavirus’ Greatest Upstream Impact: On Prices

(WoodMac, 27.Feb.2020) — The upstream oil and gas sector’s biggest commercial fear from the Coronavirus (COVID-19) epidemic is its impact on demand and prices. Only a small proportion of global supply comes from the worst-affected regions. Manufacturing shutdowns and shipping bottlenecks are causing project delays. Vessels and other large components […]

Brazil’s PSC Round 6 Disappoints

(WoodMac, 7.Nov.2019) — Speaking after this morning’s PSC round, Juliana Miguez, from Wood Mackenzie’s Latin America upstream team, said: “Petrobras has returned to the headlines. One day after it dominated the Transfer of Rights Surplus round, the NOC placed the only bid of today’s auction. “Despite 17 companies registering – […]

Guyana Must Learn To Use Its Riches

(Upstream, Gareth Chetwynd, 26.Sep.2019) — As development on Guyana’s Stabroek block continues apace, it is worth considering that the Liza development took form in an era when low oil prices demanded that offshore projects attain new levels of efficiency. ExxonMobil adopted a strategy of achieving the most aggressive ramp-up ever […]

BP Sells Alaska Business To Hilcorp In $5.6bn Deal

(WoodMac, 27.Aug.2019) — Speaking after BP announced the sale of its Alaska business to Hilcorp in a US$5.6 billion deal, Wood Mackenzie analyst Rowena Gunn said: “The Majors are making progress with their divestment campaigns. This will mean long-held assets and territories will be let go. BP made such a […]

Data Consortiums Signal The Future Of Oil And Gas

(WoodMac, 7.Aug.2019) — The energy industry has a data problem: Every major exploration and production company collects petabytes of data, but their analysis is limited to their own petabytes. Companies need access to industry-wide data to gain accurate insight into the sector, and to make better business decisions. Wood Mackenzie […]

Brazil Market Reform Unlocks Investments

(WoodMac, 6.Aug.2019) — Brazil’s natural gas market reforms have taken a major step forward, with plans in place which are set to open up opportunities across the gas value chain, and boost investment in the country’s pre-salt. Last month, the National Council for Energy Policy (CNPE) unveiled its roadmap for […]

Comstock Resources Takes Haynesville Lead With $2.2 Billion Covey Park deal

(WoodMac, 10.Jun.2019) — Comstock Resources today tightened its grip on the Haynesville basin with a US$2.2 billion cash-and-stock deal to buy privately-held Covey Park. Greig Aitken, director, corporate analysis, at global natural resources consultancy Wood Mackenzie, said: “The deal creates a Haynesville leader with the pro-forma company having access to […]

Saudi Aramco And Sempra Energy Ink Largest LNG Deal For 6 Years

(WoodMac, 22.May.2019) — Sempra Energy and Saudi Aramco today announced their respective subsidiaries, Sempra LNG and Aramco Services Company, have signed a heads of agreement (HOA), which anticipates the negotiation and finalisation of a definitive 20-year sale-and-purchase agreement covering 5 million metric tons each year from the Port Arthur LNG […]

WoodMac: Chevron Exits Bidding War For Anadarko

(WoodMac, 9.May.2019) — Chevron Corporation today announced that it would not offer a counter proposal to Occidental Petroleum’s rival bid to acquire Anadarko Petroleum. Earlier this week, Anadarko said it had received an offer from Occidental that was superior to a previously-arranged deal with Chevron. Chevron said it would allow […]

What Does IMO 2020 Mean For Downstream, Upstream, LNG and Bulks Sector

(Woodmac, 7.May.2019) — Implementation of IMO 2020 regulation is just eight months away and its implications will be felt beyond refining and shipping. Wood Mackenzie’s Asia Pacific experts weigh in on what this means for the different sectors. Expect wider light-heavy and sweet-sour crude price differentials Research director Sushant Gupta […]

WoodMac: Santos Makes Significant Gas Discovery At Corvus-2 Appraisal Well

(WoodMac, 16.Apr.2019) — Following Santos’ announcement on the confirmation of a significant gas resource at Corvus-2 appraisal well, Wood Mackenzie senior analyst Daniel Toleman commented on the results: Based on limited information, our initial estimate is a 2.5 tcf gas and 25 mmbbl condensate resource. This will be the largest […]

Permian Water Disposal Volumes To Double By 2022: Wood Mac

(Wood Mac, 12.Apr.2019) — Water disposal volumes in the Permian Basin are expected to double within the next two to three years, new analysis from Wood Mackenzie shows. As drilling activity in the basin continues to expand, hydraulic fracturing has resulted in the growing challenge of how to source water, […]

Guyana: The World’s Next Offshore Oil Hotspot

(Oilprice.com, Tsvetana Paraskova, 23.Oct.2018) — With population of fewer than 750,000 people, Guyana—a neighbor of Venezuela—has always depended on commodities. Sugar, gold, shrimp, timber, bauxite, and rice account for nearly 60 percent of this South American country’s gross domestic product (GDP). Now, Guyana is set to add another valuable commodity […]

How Will Guyana Deal With Its Oil Windfall?

(CNNMoney, Talib Visram, 4.Sep.2018) — The South American country with the smallest GDP is about to burst with oil. ExxonMobil found oil off Guyana’s coast in 2015, and believes the reserves are big. Conservative estimates project to about 4 billion barrels. Some experts think there’s more to be found in […]

Eni Hat-trick at Mackenzie’s Annual Awards

(Wood Mackenzie, 12.Jul.2018) – Italian major Eni won its third consecutive Most-Admired Explorer title, an accolade awarded in conjunction with Wood Mackenzie’s industry-leading annual Exploration Survey. Eni’s chief exploration officer, Luca Bertelli, accepted the award – which Eni has won for three years in a row – at the inaugural […]