Page 7 - FSUOGM Week 31

FSUOGM NEWSBASE’S ROUNDUP GLOBAL (NRG) FSUOGM

NRG: Emerging bright spots

Even as major companies continue to report quarterly losses, world crude oil
prices have remained steady and some LNG markets are still heading for growth

COMMENTARY WELCOME to the latest edition of NewsBase’s upstream development projects.
Roundup Global (NRG), in which our team of In Senegal, Australia’s Woodside Energy has said
international editors provide you with a snap- it may block the sale of a 40% stake in Sangomar,
shot of some of the key issues affecting their an oil-bearing offshore block, to Russia’s Lukoil.
regional beats. Get the NRG Oil & Gas Editor’s UK-based Cairn Energy has accepted Lukoil’s offer
Picks to your inbox every week for free. Just sign of $400mn for the stake, but Woodside, as the oper-
up here. ator of the RSSD consortium set up to develop the
World crude oil prices appear to have gained block, has the right to pre-empt the deal.
some traction over the last week, with WTI futures In Kenya, officials in Turkana county have com-
remaining above $40.00 per barrel and Brent crude plained that the government has not made enough
trading in the vicinity of $43.00 per barrel. information available on the activities of Tullow
Nevertheless, a number of major companies Oil (UK/Ireland). Governor Josphat Nanok said
have come out with bad news. Companies in India, last week that Nairobi had not disclosed all rele-
Canada and the US have all reported quarterly vant details on Tullow’s drilling work in the South
losses, largely owing to the disruptive effect of the Lokichar basin.
coronavirus (COVID-19) pandemic. The company arranged earlier this year to sell all
On a more upbeat note, several new deals have of its assets in East Africa, including stakes in sev-
been signed in Europe, and Austria’s OMV is look- eral Kenyan fields, to France’s Total.
ing to increase its stake in a petrochemical complex Meanwhile in South Africa, Renergen is mak-
in the Mideast. Additionally, some LNG markets ing progress on its Victoria gas project. The com-
appear to be heading for growth this year. pany reported last week that it had wrapped up
design work on the gas liquefaction plant it hopes to
Africa: Another look at exit plans build in Free state some 22 days ahead of schedule.
In two African countries, questions are being The facility’s first stage is due to begin producing
raised about foreign investors’ efforts to exit LNG next year.

Week 31 05•August•2020 www. NEWSBASE .com P7