Page 11 - NorthAmOil Week 06 2022

NorthAmOil ENERGY TRANSITION NorthAmOil

Bakken Energy, Mitsubishi Power partner

with indigenous group on hydrogen

NORTH DAKOTA BAKKEN Energy and Mitsubishi Power Amer- expect that the hub will be one of the largest clean
icas have said that they are partnering with the hydrogen production facilities in the US, with a
Mandan, Hidatsa, and Arikara (MHA) Nation, gross production capacity of 348,000 tonnes
an indigenous group, on a clean hydrogen per year (tpy) of hydrogen, and that the cost of
project. production will be the lowest in the country. The
The parties signed a memorandum of under- project’s capital costs are estimated to be around
standing (MoU), which lays the groundwork $2bn.
for the MHA Nation to become the natural gas The partners expect their transition to clean
supplier for the Great Plains Hydrogen Hub in hydrogen production to cut carbon emissions
North Dakota. by an estimated 6mn tpy. On its website, Bakken
The hub entails the redevelopment of Basin Energy says it believes that blue hydrogen offers
Electric Power Co-operative’s Great Plains syn- the best way to accelerate the adoption of hydro-
fuels plant, which was built in 1984, to produce gen, given its cost advantages.
hydrogen. Initially, the project aims to produce The project is being developed in a region that
blue hydrogen, which is derived from natural gas has struggled with the flaring of excess associated
and decarbonised using carbon capture and stor- natural gas for a number of years. It is one of sev-
age (CCS) technology. Bakken Energy said that eral projects that have been launched since North
the produced hydrogen would be 96% decarbon- Dakota Governor Doug Burgum embarked on a
ised, making it comparable to green hydrogen push to make his state carbon-neutral by 2030.
that is produced using renewable energy. According to the Williston Herald, more than
The redeveloped facility is anticipated to $25bn in capital projects has since come to the
serve the Upper Midwest region and is expected state in response to Burgum’s call to pursue car-
to be operational from early 2027. The partners bon neutrality.™

TotalEnergies exits North Platte project in Gulf

NEWS IN BRIEF

UPSTREAM per year, variable dividends, and incremental opportunities should prices and conditions
share repurchases. warrant. Oasis returned over $210mn of
Oasis Petroleum provides 4Q21 for $85.4mn, completing the prior capital to shareholders in 2021 and the new
Oasis repurchased 680,235 shares during
program builds on that strong foundation
return of capital plan, $100mn repurchase programme. With the with an approximate 33% year-over-year
lower share count, the board of directors
increase.”
announces preliminary 2021 of Oasis has increased the quarterly base proportionately each quarter through 2022.
Oasis expects to return capital
dividend 17% to $0.585 per share for 4Q21
results, and issues 2022 for shareholders of record as of February After the end of each quarter, including after
4Q21, Oasis expects to announce a variable
21, 2022, payable on March 4, 2022. The
outlook aggregate base dividend is expected to remain dividend based on $70mn minus cash utilised
at $11.3mn per quarter in 2022, and any
to pay the base dividend and to repurchase
Oasis Petroleum today provided its return additional share repurchases will be accretive shares during the prior quarter.
of capital plan, announced preliminary 2021 to dividends per share. The Oasis board of directors has
results, and issued its 2022 outlook. Oasis’ “Capital discipline and shareholder returns authorized a new $150mn share repurchase
return of capital plan remains true to the are central tenants of our strategy,” said Danny programme, which replaces the $100mn
company’s strategic goals, which include Brown, Oasis’ chief executive officer. “Given historical programme that was fully utilised in
exercising capital discipline and delivering our high-quality assets with low breakeven 2021. The new share repurchase programme
both return on, and of, capital to shareholders. pricing, and very strong financial position, will be in place until the end of 2022 and is
Oasis is committed to returning $280mn of this fixed-dollar program demonstrates our expected to be upsized if fully utilised.
capital to shareholders over the next year commitment to shareholder returns while OASIS PETROLEUM, February 09, 2022
($70mn per quarter) through an increase to retaining flexibility to participate in industry
the aggregate base dividend from $40-45mn consolidation or fund organic growth

Week 06 10•February•2022 www. NEWSBASE .com P11