Mexico

Just one month after Russia’s state-owned OAO Rosneft claimed a stake in 20 deepwater Gulf of Mexico (GOM) exploration blocks held by ExxonMobil Corp., the partners said they plan to spend as much as $15 billion to build a liquefied natural gas (LNG) export facility on Russia’s Pacific Coast that would ship fuel to Asia-Pacific markets. A final investment decision is set for June, and if it’s approved, the plant could begin exporting LNG by 2018, according to Rosneft, which is the world’s largest listed oil producer (see Daily GPI, March 22). Rosneft and ExxonMobil in 2011 struck a cooperation agreement to swap access in Russia’s Arctic offshore and other areas; Rosneft gained access to U.S. and Canadian plays in the onshore and GOM (see Daily GPI, Aug. 31, 2011). Rosneft acquired a 30% interest in the 20 deepwater GOM blocks last month (see Daily GPI, March 13). The partners expanded the strategic agreement in February, which gave Rosneft the option to take a stake in the Point Thomson, AK, gas project (see Daily GPI, Feb. 14). At that time, they signed a memorandum of understanding to study the economic viability of a LNG development in the Russian Far East.

America’s “shale revolution,” combined with increased Gulf of Mexico oil production, the potential for major deposits in the Arctic, and growth in tight and heavy oil, including oilsands, makes North America’s energy picture much brighter than it was not that long ago, Royal Dutch Shell plc CEO Peter Voser said recently at the Chief Executives Club of Boston.

America’s “shale revolution,” combined with increased Gulf of Mexico oil production, the potential for major deposits in the Arctic, and growth in tight and heavy oil, including oilsands, makes North America’s energy picture much brighter than it was not that long ago, Royal Dutch Shell plc CEO Peter Voser said recently at the Chief Executives Club of Boston.

Cash natural gas prices on average rose close to 4 cents Monday. Gulf of Mexico prices were strong as were prices in California, but East and Northeast quotes were mixed. Futures prices lumbered lower as options on April futures expired ahead of Tuesday’s April futures termination. At the close, April had fallen 6.2 cents to $3.865 and May had skidded 6.4 cents to $3.888. May crude oil added $1.10 to $94.81/bbl.

Energy XXI Ltd. has a deal with Apache Corp. to explore some salt dome structures on the Outer Continental Shelf in the Gulf of Mexico (GOM).

Even though it was suspended from obtaining new federal contracts, BP plc will be allowed to bid in the Gulf of Mexico (GOM) Central Lease Sale 227 on Wednesday (March 20), the Department of Interior said.

Tony Hayward, who resigned as BP plc Group CEO following the turbulence that followed the the Macondo well blowout in the Gulf of Mexico’s deepwater, has taken over as chairman of CompactGTL, which has pioneered a modular gas-to-liquids (GTL) system for flared natural gas.

Tony Hayward, who resigned as BP plc Group CEO following the turbulence that followed the the Macondo well blowout in the Gulf of Mexico’s deepwater, has taken over as chairman of UK-based CompactGTL, which has pioneered a modular gas-to-liquids (GTL) system for flared natural gas. Hayward has been running Genel Energy plc, an Anglo-Turkish explorer. He also participated in Vallares plc, an energy fund vehicle backed by a group of investors. Royal Dutch Shell plc is the dominant leader in giant global GTL technology; CompactGTL is on the other end of the spectrum. The smaller plants are designed to harness flared gas from oilfields.

A subsidiary of Russian state-owned OAO Rosneft has acquired a 30% interest in 20 deepwater Gulf of Mexico (GOM) exploration blocks held by ExxonMobil Corp.