Oil Bulls Cut Bets to Lowest Since 2016. Hedge funds aren’t buying into OPEC’s oil-production cuts just yet. They slashed net wagers on a rally of West Texas Intermediate crude to the lowest in more than two years, while short-selling of Brent oil climbed for a record 11th week. Both benchmarks ended the week lower as the cartel’s efforts were overshadowed by concern about booming shale production and waning global demand. It’s mostly up to Saudi Arabia now to try to win investors over.
Upstream Firms Positioned to Thrive. Upstream companies are positioned to thrive in 2019, according to Wood Mackenzie (WoodMac), which said in a release published Monday that the sector enters the new year “prepared to capitalize and build”.
“Oil and gas companies can cope with whatever's thrown at them in 2019. Portfolios are set to weather low prices," Tom Ellacott, WoodMac senior vice president, said in the release.
Weatherford Sells Data Logging Business to Pay Debt. Weatherford International is selling its surface data logging business to Excellence Logging for $50 million in cash, the company announced Dec. 17. Proceeds from the transaction, which is expected to close in the first half of 2019, will be used by Weatherford to pay down its debt. Under the agreement, Weatherford will sell all of its surface data logging equipment, technology and associated contracts. Additionally, all of Weatherford’s related employees will transfer to Excellence Logging.
Digital Transformation Disrupts Oil and Gas. As the oil and gas industry evolves, so does its need for technology. And perhaps the industry’s digital transformation has never been more pronounced than in recent years, following one of the worst downturns to date.
Departments within oil and gas companies, from engineers to HR, have had to work together to ensure the success of digital technologies within their organizations.
Qatar Petroleum Boosts Offshore Mexico Profile. Qatar Petroleum (QP) and Eni S.p.A. signed a deal Sunday that will enable QP to acquire a stake in three Eni-operated oil fields in Area 1 in Mexico’s Bay of Campeche, the companies reported.
Kuwait considers new refinery in south. State-run Kuwait Petroleum Corp. (KPC) subsidiary Kuwait National Petroleum Co. (KNPC) is considering construction of a new refinery in the south of the country.
