Page 4 - NorthAmOil Week 23

NorthAmOil NEWSBASE’S ROUNDUP GLOBAL (NRG) NorthAmOil

NRG: Shoots of recovery

begin to show

After the OPEC+ group agreed to extend oil production cuts
for another month, the coming weeks appear more stable, but

producers across the world are proceeding with caution

NRG WELCOME to the fifth edition of NewsBase’s weekend. Officials in Abuja have pledged to do
Roundup Global (NRG), in which our team of so and have agreed in principle that producers
international editors provide you with a snapshot exceeding their limits ought to compensate the
of some of the key issues affecting their regional group’s other members. The West African coun-
beats. Get the NRG Oil & Gas Editor’s Picks to try reportedly extracted 1.61mn barrels per day
your inbox every week for free. Just sign up here. of oil in May, above the target figure of 1.41mn
Following on from the mayhem of April and bpd.
May reported in previous editions, the mid- Libya, by contrast, will not be affected by the
term future may be a little clearer after the cru- decision to extend cuts throughout July. Instead,
cial OPEC+ meeting which agreed to extend oil it is working to bring production back up at
production cuts through to the end of July. El-Feel, even as it makes another declaration of
The ripples of quota limitations, reduced force majeure at the Sharara field following an
prices and the changing face of the coronavirus attack by armed troops. Together, these two sites
can be seen in all of our monitors. The world as have the potential to raise Libyan output by as
it was before February/March still seems a long much as 390,000 bpd. This would represent a
way off but political issues still raise their head nearly five-fold increase on the estimated May
and will no doubt feature more in the months figure.
ahead. In Kenya, Tullow Oil’s early oil production
scheme (EOPS) appears to have ground to a
Production issues in Africa halt. The company’s upstream operations in the
Production issues have been in the spotlight in Lokichar Basin were already running behind
several African countries within the last week. schedule, owing to the coronavirus pandemic
Nigeria, for example, has come under pres- and other factors. They will likely have to slow
sure to comply with the new production quo- down further as a result of the expiration of
tas approved by the OPEC+ group over the Tullow’s two-year trucking contract, which

P4 www. NEWSBASE .com Week 23 11•June•2020