Page 4 - NorthAmOil Week 45

NorthAmOil NEWSBASE’S ROUNDUP GLOBAL (NRG) NorthAmOil

NRG: COVID-19 vaccine lifts hopes

Oil surged at the start of this week, after promising vaccine results and

increased certainty about the US election outcome

GLOBAL WELCOME to the latest edition of NewsBase’s November 6 to a closing price of $42.4 on Novem-
Roundup Global (NRG), in which our team of ber 9, although the benchmark lost some of this
international editors provide you with a snap- gain on November 10. West Texas Intermediate
shot of some of the key issues affecting their (WTI) likewise surged to $41.2 per barrel, from
regional beats. Get the NRG Oil & Gas Editor’s $37.1.
Picks to your inbox every week for free. Just sign In the eyes of traders, a widely available vaccine
up here. should ensure no future lockdowns, shoring up
Joe Biden has been declared President-Elect fuel demand. But it will not arrive overnight and
after clinching enough states to win the necessary in the meantime, the world remains in the grip of a
270 electoral votes. But as widely expected, Don- COVID-19 second wave, with the risk of additional
ald Trump has disputed the result and his team has travel restrictions being imposed.
launched legal action in several swing states.
Biden’s administration will seek to put the US on Shell’s South African move
a path to reaching net-zero emissions by 2050, and Interest in South Africa’s offshore zone remains
take the country back into the Paris Agreement. strong. Royal Dutch Shell has entered into a farm-
The US oil industry will face greater restrictions on out agreement with UK-based Impact Oil & Gas
development and energy infrastructure projects that will allow it to take a 50% stake in the Transkei
will likely have to go through a tougher permitting & Algoa block. The Algoa section of the licence area
process. is adjacent to the eastern edge of Block 11B/12B,
Oil surged this week, partly owing to added cer- where Total (France) has discovered sizeable
tainty about the election outcome. But the greater reserves of gas condensate at the Brulpadda and
factor was Pfizer and BioNTech reporting very Luiperd fields.
promising results from their experimental corona- Total, for its part, is reportedly looking to trim
virus (COVID-19) vaccine. The vaccine has been its portfolio in Angola. Industry sources have
found to be over 90% effective based on initial trial told Reuters that the French major is looking into
results, the partners said on November 9. Based unloading its 20% stake in the Block 14, which is
on current projections, the pair expect to produce operated by Chevron. According to the sources,
up to 50mn vaccine doses in 2020 and up to 1.3bn Total could earn $300mn through the sale of this
doses in 2021. asset and make progress towards its goal of achiev-
Brent futures surged from $39.5 per barrel on ing carbon neutrality by 2050.

P4 www. NEWSBASE .com Week 45 12•November•2020