LONDON, Dec 4 (Reuters) - Hedge fund managers raised their bullish position in crude oil and refined products by another 63 million barrels to a record 1,155 million barrels in the week before the OPEC meeting. Portfolio managers were emboldened as it became clear OPEC and its allies were likely to extend production cuts for another nine months until the end of 2018. Fund managers have brushed aside concerns about the enormous concentration of long positions already in the market and the [Read more]
Husky Energy boosts 2018 capex, sees flat yearly production
Canadian oil and gas producer Husky Energy Inc forecast higher spending for 2018 on Monday and flat production levels from 2017. The company said it expects to spend C$2.9 billion to C$3.1 billion, compared with its 2017 forecast of C$2.2 billion to C$2.3 billion. Husky estimates 2018 production of 320,000 to 335,000 barrels of oil equivalent per day for next year. (Reporting by John Benny in Bengaluru; Editing by Bernard Orr) [Read more]
U.S. regulator raises concerns about weights on energy pipelines
A U.S. regulator's preliminary investigation into the biggest oil pipeline spill this year has raised a red flag that could trigger an extensive and costly inspection of tens of thousands of miles of underground energy lines. The 5,000-barrel leak on TransCanada Corp's Keystone pipeline on Nov. 16 in South Dakota might have stemmed from damage caused by a weight put in place when it was built in 2008, the Pipeline and Hazardous Materials Safety Administration said in a report published on [Read more]
Oil pares gains after report on Flynn in Russia probe
NEW YORK (Reuters) - Oil pared gains on Friday with a decline in U.S. stock markets after an ABC News report added to concerns about President Donald Trump’s exposure to a probe into Russian meddling in last year’s campaign. Wall Street’s main indexes all fell by more than 1 percent after the ABC report that former national security adviser Michael Flynn was prepared to tell investigators that prior to taking office, Trump directed him to make contact with Russians. Flynn, a central figure [Read more]
U.S. drillers add oil rigs for 2nd week in a row -Baker Hughes
U.S. energy companies this week added oil rigs for a second week in a row as crude prices traded near their highest levels since the summer of 2015 as major oil producing countries extended a global deal to limit supply. Drillers added two oil rigs in the week to Dec. 1, bringing the total count up to 749, the highest since September, General Electric Co's Baker Hughes energy services firm said in its closely followed report on Friday. U.S. producers applauded Thursday's decision by the [Read more]
OPEC, Russia have done their bit, now it’s the turn of U.S., China: Russell
The Organization of the Petroleum Exporting Countries and its allies are taking a multi-layered bet that global oil dynamics will work in their favour by extending their crude oil production cuts until the end of 2018. The group met market expectations by extending the combined 1.8 million barrels per day (bpd) of output cuts from their previous expiry of March next year at their meeting in Vienna on Thursday. A commitment to exit the agreement gradually so as not to shock the market also [Read more]
MEG Energy expects to produce more oil in 2018
Canadian oil sands producer MEG Energy Corp said on Friday it expects higher production in 2018, compared to its 2017 forecast. The company expects to produce 85,000 to 88,000 barrels per day (bpd) next year, compared to its 2017 forecast of 80,000 to 82,000 bpd. MEG Energy expects capital expenses of C$510 million ($396.02 million) next year, the majority of which will be used to drill new oil wells. The company said it plans to spend C$120 million next year on thermal technology at [Read more]
Oil mixed as OPEC extends cuts, Nigeria and Libya included
NEW YORK (Reuters) - Oil was mixed on Thursday after OPEC members agreed to extend curbs on output, though a final deal hinged on a decision by non-OPEC producers later in the day. Iran’s energy minister announced that Nigeria and Libya would be included in the oil output deal and an OPEC communique stated that the countries would not produce above 2017 levels in the new year. The Oman minister said that Nigeria had agreed to cap output at 1.8 million barrels per day. Under the deal, due to [Read more]
OPEC, Russia agree oil cut extension to end of 2018
VIENNA (Reuters) - OPEC and non-OPEC producers led by Russia agreed on Thursday to extend oil output cuts until the end of 2018 as they try to finish clearing a global glut of crude while signaling a possible early exit from the deal if the market overheats. Russia, which this year reduced production significantly with OPEC for the first time, has been pushing for a clear message on how to exit the cuts so the market doesn’t flip into a deficit too soon, prices don’t rally too fast and rival [Read more]
Arctic drilling hits speed bumps in U.S. tax bill
WASHINGTON (Reuters) - A quest by Republicans to open Alaska’s Arctic National Wildlife Reserve was slowed after a nonpartisan Senate official ruled late on Wednesday that the exploration was subject to environmental assessments by the Interior Department. Senator Lisa Murkowski, a Republican from Alaska and the head of the Senate energy panel, has been pushing a measure in the U.S. tax bill that would open a portion of the refuge on the coastal plain to two lease sales in 10 years for [Read more]