B07 Oil and Gas Extraction

Santos seeks bigger chunk of LNG pie

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Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 15 & 20 : 18-May-15

Australian-listed Santos may acquire a stake in Papua New Guinea’s P’nyang gas field, which would be used to expand the PNG LNG venture in which the group is already a partner. A final investment decision on the proposed expansion will be made in 2017. Meanwhile, Santos and its partners in a Malaysian oil project have had encouraging results from a drilling program. Santo’s Caldita-Barossa venture is also in the running to supply gas to the Darwin LNG plant if a proposed expansion of the facility proceeds.

CORPORATES
SANTOS LIMITED – ASX STO, OIL SEARCH LIMITED – ASX OSH, EXXONMOBIL CORPORATION, JX NIPPON OIL AND ENERGY CORPORATION, CONOCOPHILLIPS, SK GROUP, WOODSIDE PETROLEUM LIMITED – ASX WPL, ROYAL DUTCH SHELL PLC, CHEVRON CORPORATION, AUSTRALIAN PETROLEUM PRODUCTION AND EXPLORATION ASSOCIATION LIMITED, HESS CORPORATION, AWE LIMITED – ASX AWE

Oil and gas on U-shape recovery, says AMEC

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Original article by Jenny Wiggins
The Australian Financial Review – Page: 23 : 10-Apr-15

AMEC Foster Wheeler CFO Ian McHoul expects difficult conditions in the oil and gas sector for another 1-2 years. He suggests that the eventual upturn in the sector is more likely to be U-shaped rather than V-shaped. The UK-based engineering group’s growing clean energy business is helping to offset falling demand for oil and gas industry services. The group is interested in Australian acquisitions

CORPORATES
AMEC FOSTER WHEELER PLC, WORLEYPARSONS LIMITED – ASX WOR, KBR INCORPORATED, FLUOR CORPORATION, AECOM, JACOBS ENGINEERING GROUP INCORPORATED, UBS HOLDINGS PTY LTD

Oil price will not make a splash before December quarter, says NAB

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Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 26 : 8-Apr-15

West Texas Intermediate crude oil rallied on 6 April 2015, to $US52.14 per barrel, and Brent crude oil traded at $US58.12. Meanwhile, National Australia Bank has forecast that the price of Brent oil will average $US54 during the June quarter and $US58 in the September quarter. However, the banking major is more upbeat about the longer-term price, forecasting that it will average $US63 per barrel in the December quarter

CORPORATES
NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, WOODSIDE PETROLEUM LIMITED – ASX WPL, UNITED STATES. DEPT OF ENERGY. ENERGY INFORMATION ADMINISTRATION

Lively second half tipped for oil, gas M&A

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Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 40 : 2-Apr-15

Wood Mackenzie has forecast an upturn in mergers and acquisitions activity in the oil and gas sector in the second half of 2015, due to the downturn in the crude oil price. The price of Brent crude oil was trading at around $US55 per barrel on 1 April, compared with $US115 in mid-2014. Wood Mackenzie also expects growth in demand for LNG in Asia to slow in response to the falling price of oil

CORPORATES
WOOD MACKENZIE, WOODSIDE PETROLEUM LIMITED – ASX WPL

Local investors get behind BHP demerger

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Original article by Amanda Saunders
The Australian Financial Review – Page: 21 : 19-Mar-15

BHP Billiton will incur total costs of $US738m ($A966m) in demerging non-core assets into the South32 entity. Tim Schroeders of Pengana Capital says the costs are higher than anticipated, while Argo Investments’ Jason Beddow says investors are likely to seek information from BHP on the likely productivity gains arising from the demerger. Both fund managers say that as yet there are no compelling reasons to vote against the deal on 6 May 2015

CORPORATES
BHP BILLITON LIMITED – ASX BHP, SOUTH32 LIMITED, PENGANA CAPITAL LIMITED, ARGO INVESTMENTS LIMITED – ASX ARG, ABERDEEN ASSET MANAGEMENT LIMITED, BERNSTEIN AND ASSOCIATES, GLENCORE PLC, X2 RESOURCES PARTNERS LP, WARBURG PINCUS AND COMPANY

‘Big duck’ South32 not just waiting

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Original article by Amanda Saunders
The Australian Financial Review – Page: 1 & 16 : 18-Mar-15

BHP Billiton has revealed that its South32 spin-off will have net debt of $US675m ($A882m). South32 will have a dividend payout ratio of 40 per cent, rather than adopting the progressive dividend policy of BHP. South32 CEO Graham Kerr has downplayed suggestions that the group will attract interest from potential suitors due to its low level of debt. BHP shareholders will vote on the proposed demerger on 6 May 2015

CORPORATES
BHP BILLITON LIMITED – ASX BHP, SOUTH32 LIMITED, ABERDEEN ASSET MANAGEMENT LIMITED, RIO TINTO LIMITED – ASX RIO, GLENCORE PLC, X2 RESOURCES PARTNERS LP, UBS HOLDINGS PTY LTD

Woodside shuts Pluto as rig comes adrift

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Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 17 : 17-Mar-15

Woodside Petroleum has stopped production at its Pluto LNG field in Western Australia. On 16 March 2015, a cyclone caused a drilling rig to be torn from its moorings. As the rig drifted 5.5 km towards the Pluto field, a shutdown was ordered to protect the plant from damage. It could take up to 30 days to repair the rig

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, CHEVRON CORPORATION, AUSTRALIA. NATIONAL OFFSHORE PETROLEUM SAFETY AND ENVIRONMENTAL MANAGEMENT AUTHORITY

Chevron plans first Gorgon LNG shipment

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Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 25 : 12-Mar-15

Chevron’s Jay Johnson has indicated that production at the Gorgon LNG project in Western Australia will commence in the September 2015 quarter. Exports are slated to begin by the end of 2015. Johnson adds that the sharp downturn in the crude oil price will not unduly affect the profitability of the $US54bn ($A70.5bn) Gorgon project, noting that it will operate for at least four decades

CORPORATES
CHEVRON CORPORATION, EXXONMOBIL CORPORATION, ROYAL DUTCH SHELL PLC, WESTERN AUSTRALIA. ENVIRONMENTAL PROTECTION AUTHORITY

BHP wants carbon rules clarity

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Original article by Amanda Saunders
The Australian Financial Review – Page: 15 : 6-Mar-15

BHP Billiton intends to spend more on low-emission technologies, but the group wants more clarity on climate change policy. Fiona Wild, BHP’s head of climate change, says the challenge is to make carbon capture and storage technologies financially viable. Such initiatives are important, but fossil fuels will retain their central place in energy generation

CORPORATES
BHP BILLITON LIMITED – ASX BHP

IFM ready to snap up oil assets

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Original article by Amanda Saunders
The Australian Financial Review – Page: 28 : 5-Mar-15

IFM Investors CEO Brett Himbury has indicated that the group is looking to invest in Australian oil and gas pipeline assets. Potential acquisitions could include the Gladstone LNG pipeline in Queensland and the Australia Pacific LNG pipeline, which may both be put on the market. IFM recently missed out on the sale of BG’s gas pipeline in Queensland, which will be acquired by APA Group

CORPORATES
IFM INVESTORS PTY LTD, SANTOS LIMITED – ASX STO, ORIGIN ENERGY LIMITED – ASX ORG, GLADSTONE LNG PTY LTD, AUSTRALIA PACIFIC LNG LIMITED, BG GROUP PLC, APA GROUP – ASX APA, DUET GROUP – ASX DUE, FREEPORT LNG DEVELOPMENT LP, QIC LIMITED, AMP CAPITAL INVESTORS LIMITED, CHINA INVESTMENT CORPORATION