Santos has posted its highest quarterly production in seven years in the third quarter and Oil Search says its third quarter production has soared 81 percent on the last quarter and is four times higher than Q3 2013. The bulk of the gains coming from the PNG LNG project where Oil Search holds a 29 per cent share and Santos 13.5 per cent.
FAR Limited has revealed a significant oil discovery off the coast of Senegal in West Africa. While Woodside Petroleum has finalised a farm-in agreement with Noble Energy and Glencore in a project off the coast of Cameroon.
The global oil price has slowed its slide south this week with demand finally starting to re-ignite and signs Saudi Arabia will slow supply. The explosion of production in the US is the main driver of such strong supply with the country close to being self sufficient; while also having restrictions on oil exports.
The geopolitical implications of the shifting control of the energy resource are complex, but it's clear that major changes are afoot. Lower prices have been a boon to the US economy while also decoupling its reliance on foreign sources. On the other hand Russia is taking a hit from lower prices as its government relies on oil for a large part of its revenue; which may begin to put limits on its military activities.
FAR Limited (ASX:FAR)
has revealed a significant oil discovery in the FAN-1 exploration well offshore Senegal in West Africa. The Melbourne based oil and gas explorer says the key pre-drill well objectives have been met with preliminary well results indicating significant resource volume.
FAR says it has strengthened its cash position through a $46.7 million capital raising. The Melbourne-based oil and gas explorer says the placement was oversubscribed to institutional and sophisticated investors.
Woodside Petroleum Limited(ASX:WPL)
has finalised a farm-in agreement with Noble Energy and Glencore in a project off the coast of Cameroon.
Santos Limited (ASX:STO)
has posted its highest quarterly production in seven years in the third quarter of the 2014 calendar year. The oil and gas producer increased its output to 14 million barrels of oil equivalent (mmboe) in the three months to the end of September.
Oil Search Limited (ASX:OSH)
says third quarter production has soared 81 per cent on the last quarter and is four times higher than Q3 2013. The jump is due to the PNG LNG project coming fully on line. The quarter has produced highest revenue in the company’s history, $US538 million, three times higher than the previous three month. Oil Search has also undergone a strategic review for the major corporate transformation necessary thank to the PNG LNG project. The focus is on a dividend payout ratio of up to 50 per cent of net profit significantly lifting the return to shareholders.
Santos Limited (ASX:STO)
will pay $7.5 million to New Standard Energy (ASX:NSE)
for an 35% operating interest in a Cooper Basin jointventure between New Standard and Drillsearch Energy (ASX:DLS)
. New Standard will maintain a 17.5 per cent working interest while the Drillsearch stake remains at 47.5 per cent.