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The cargoes being delivered to CNOOC will field. It has resolved glitches with some of the
be auctioned through the Shanghai Petroleum gas-compression systems that forced it to take
and Gas Exchange (SHPGX), which Shell said a re-injection well offline earlier in the month.
would offer many downstream gas buyers the Output is back up to 80,000 bpd, according to
opportunity to decarbonise their energy use. the head of Guyana’s Environmental Protec-
No date has been disclosed for the auction, tion Agency (EPA).
and the size of the cargoes has not been spec- Brazil, meanwhile, has kicked off the sale
ified either. However, Shell said the cargoes process for a group of offshore oilfields after
would provide enough energy to power nearly postponing another tender earlier in the year.
300,000 homes for an entire year. Separately, State-owned Petrobras is offering up its 100%
the super-major has said that an average LNG stake in the group, which includes the Atum,
cargo of around 70,000 tonnes results in roughly Curima, Espada and Xareu sites. These fields
240,000 tonnes of carbon dioxide (CO2) emis- are relatively small, turning out only 4,200
sions across the value chain. bpd of oil and 76,900 cubic metres per day of
It has not yet been disclosed what additional gas on average. By contrast, the cancelled ten-
costs may be involved in producing and selling der would have given the winner a 10% stake
carbon-neutral LNG. However, it comes as the in Marlim, a field that accounts for about 10%
industry is ramping up efforts to illustrate the of Petrobras’ total output.
role natural gas can play in the energy transition.
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 Latin American oil and gas sector then please click
the global LNG sector then please click here for here for NewsBase’s LatAmOil Monitor.
NewsBase’s GLNG Monitor. OPEC+ aftermath
The aftermath of the OPEC+ meeting to agree
Hopes of recovery in Latin America oil production cuts beyond the end of June is still
Several countries in Latin America are looking playing out.
to recover momentum after suffering losses, Having reached agreement, OPEC has
either from the coronavirus pandemic or other now moved to ensure that countries match
incidents. their promises and has levied additional cuts
Argentina’s government is currently in on countries who failed to meet their quotas
negotiations with several oil companies on in May. High on this list are Iraq, Kazakhstan,
the resumption of payments under the “Plan Nigeria and Angola; the first two countries are
Gas” programme. The programme is designed said to have come up with agreed proposals;
to support the development of natural gas the remainder were due to commit by Monday.
fields in the Vaca Muerta shale formation, A full report on the outcome of these talks is
which have seen production decline as a result anticipated soon.
of the virus outbreak, and officials in Buenos One country that has moved to respond to
Aires hope that the extra financial support the effects of the oil price collapse is Saudi Ara-
will help the country avoid a supply shortage bia, whose oil giant Aramco is planning major
during the winter. It would run for four years, staff cuts and is pulling back on developing
past the end of President Alberto Fernández’s its oil and gas deposits. These moves follow a
current term. drastic fall in revenue, which has hit its balance
In Guyana, ExxonMobil has brought oil sheet, and the pullback marks a rare pause in
production levels back up at the offshore Liza Aramco’s efforts to drill wells, discover fields

Week 25 25•June•2020 www. NEWSBASE .com P15