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Platform at Iran’s South
Pars gas field.

of dollars from private companies before the end Job cuts hit North America’s oil industry
of 2020. According to Francisco José Lloreda, the Further job cuts have been reported in recent
president of the Colombian Petroleum Associa- days to be looming for oil and gas producers with
tion (ACP), private investors are willing to make operations in North America.
about $715mn available for the development of This comes as producers on the continent
oil and gas projects. This funding could play a continue to struggle to bounce back from the
crucial role in the revival of the hydrocarbon sec- severe industry downturn that began in March
tor and help jump-start the country’s economy, and was compounded by the spread of coro-
Lloreda said last week. navirus (COVID-19). Demand is picking up
and crude prices have stabilised recently, but
If you’d like to read more about the key events shaping they remain unfavourably low, and market
the Latin American oil and gas sector then please click conditions are still relatively challenging for
here for NewsBase’s LatAmOil Monitor. producers.
Over the past week, it emerged that Norway’s
Drilling, discoveries and deals in the Mid- Equinor is set to cut jobs “significantly” in the US
dle East and Canada – as well as in the UK. An Equinor
Iran announced this week that local firm Pet- spokesman told Reuters that employee numbers
ropars would soon begin drilling at South Pars in these countries would be cut by around 20%,
Phase 11, the project that was awarded to French while contractor numbers would be reduced by
super-major Total and China’s CNPC under around 50%.
an integrated petroleum contract (IPC). The Equinor will also not drill any new
partners withdrew from the project in August unconventional wells in the US this year,
2018 and October 2019 respectively, leaving according to the spokesman. The company
Petropars to go it alone. With Iran determined has acreage in the Marcellus and Bakken
to press ahead with projects to raise oil and formations. It is one of numerous producers
gas production capacity, drilling is now set to scaling back its shale operations in response
begin by the end of the autumn at SP11, with to the downturn.
gas expected to reach onshore facilities in the Separately, leading independent US shale
next 12 months. players Pioneer Natural Resources and Parsley
On the other side of the Gulf, Saudi Ara- Energy were reported to be planning to cut staff
mco has reported the discovery of two new oil numbers in the coming days.
and gas fields in the north-east of the country. On top of the ongoing challenges related to
Though they are comparatively miniscule by the industry downturn, energy sector players
Saudi standards, the finds offer a ‘good news’ in the US Gulf of Mexico and on the Gulf Coast
story for Aramco during what has so far been an have had to contend with disruption – and in
incredibly challenging year. The company will some cases damage – caused by Hurricane Laura
now carry out further appraisal work to establish last week.
reserve levels and development plans. Over the last few days, operations were being
Following the announcement of a handful restored across oil platforms in the Gulf, refin-
of deals between US firms and the Iraq govern- eries and LNG export terminals, among other
ment last week, Middle East Oil & Gas (MEOG) facilities. On August 31, it was reported that a
has been provided with details about Baghdad’s US Strategic Petroleum Reserve (SPR) site in
plans for the Thi Qar project under discussion Louisiana, West Hackberry, had sustained “con-
with Chevron. siderable damage” as a result of the storm.
If you’d like to read more about the key events shaping If you’d like to read more about the key events shaping the
the Middle East’s oil and gas sector then please click North American oil and gas sector then please click here
here for NewsBase’s MEOG Monitor. for NewsBase’s NorthAmOil Monitor. ™

P8 www. NEWSBASE .com Week 35 04•September•2020