Big oil’s electric dreams could create new energy cartels

Oil companies want to become power utilities to meet rising demand from electricity in transport and from growing populations. The strategy makes sense, but would also bring risks for regulators and consumers if it were to create a new breed of gigantic energy-controlling monopolies. On one hand, watchdogs in developed markets such as the UK should welcome the introduction of relatively new players like Shell and BP to challenge the

Oil majors wrestle with reserves as industry health measure

As oil majors and investors grapple with the upheaval of the energy transition, some traditional metrics for producers’ long-term growth potential are up for debate. Climate change, the renewable energy boom and electrification are throwing demand scenarios for oil and gas wide open and casting a shadow over future returns in the sector. Where a company’s production-to-reserve ratio, or reserves life, was once a proxy for business sustainability, many now

Eastern Mediterranean – the E&P Climate is Getting Hotter in Q4 2018

  Following a quiet summer, E&P activity in the Eastern Mediterranean is gathering steam towards the end of 2018. Several significant exploration wells are planned in the near future, and acreage offerings are being prepared across the region.   Cyprus To date, six exploration wells have been drilled offshore Cyprus, three of which have been successful. Noble Energy drilled one well in 2011 and one in 2013, discovering and confirming

Sale of Maersk Oil & Gas to Total approved by Danish government

On 2 March 2018, the Danish Energy Agency issued its approval of A.P. Moller-Maersk A/S’s sale of Maersk Oil & Gas A/S to Total. The Danish Energy Agency’s approval of the transfer contains conditions, including that A.P. Moller-Maersk, as seller, assumes a secondary liability for the decommissioning of existing Danish offshore facilities corresponding to Maersk Oil’s 31.2% interest in the Danish Underground Consortium, should Total be unable to cover such