09/25 Weekly oil & gas update

Total agrees on GOM exploration with Chevron

Total has established a farm-in agreement for seven prospects (16 blocks) operated by Chevron in GOM. Total’s participation interests are between 25% and 40%. The associated prospects are located in two plays: the Wilcox in the central Gulf and Norphlet on the eastern side. This deal increases Total’s footprint in the US GOM

Venezuela publishes oil prices in Yuan instead of USD

Venezuela has decided to publish its quoted oil prices in Yuan, the Chinese currency, instead of US dollars in a move to steer away from the dollar. The move comes after the US government announced sanctions against Venezuela blocking several financial dealings, on the grounds that the Socialist Party is undermining democracy

Iran plans to reduce condensate exports to Asia in October

The National Iranian Oil Co (NIOC) has informed buyers in Asia that it could reduce condensate exports in October because of maintenance at the South Pars gas field. NIOC could reduce at least 1 MMbbl from typical exports of 15 MMbbl per month

Williams Partners begins construction on Atlantic Sunrise pipeline project

Williams Partners has started the construction of the approximately USD3-billion Atlantic Sunrise project, including 186 miles of new pipeline and two new natural gas compressor facilities. The project is designed to bring 1.7 million DTH/d (approximately 1.7 Bcf/d) of natural gas from Northeastern Pennsylvania to the Mid-Atlantic and southeastern markets

BP commences gas delivery in Mexico

BP Energía México has begun to deliver about 200,000 MMBtu/d natural gas to power, industrial users, and local distribution companies in eight states in Mexico. BP obtained pipeline transportation rights under an auction by CENAGAS, Mexico’s natural gas control center earlier this year

Turkey to import 1.5mtpa from Qatargas

Turkey’s Botas and Qatargas have signed a sales and purchase agreement for 1.5 million tonnes of LNG each year for three years. Qatargas previously supplied Botas with spot cargoes

Rosneft signs gas pipeline deal with Iraqi Kurdistan

Rosneft has committed to building a gas pipeline from Kurdistan to Turkey. Project proponents have suggested a 30bcm capacity pipeline, which could be constructed in 2019 for domestic Kurdish use and exports from 2020. Rosneft is also developing five oil and gas blocks in the region

Australia competition watchdog warns of domestic gas supply shortfall

Australia’s Competition and Consumer Commission has issued an interim report on its inquiry into the Australian gas market, which has predicted a deficit of up to 55 PJ in 2018 unless LNG producers are able to redirect sales to the domestic market

Total continues acquisitions with EREN RE and GreenFlex

In the past week Total, the French oil company, has invested in two companies specializing in renewable energy and energy efficiency. After acquiring Maersk’s oil and gas operations last month for USD7.5 billion, Total purchased a 23% share of EREN RE for USD283 million and fully acquired the energy efficiency-focused company GreenFlex

Dubai enters a PPA of USD0.073/kWh for a CSP project

Dubai Electricity and Water Authority has entered a power purchase agreement (PPA) for 700MW of concentrated solar power (CSP) for USD0.073/kWh. The project will be developed by ACWA Power and Shanghai Electric, and the plant will be located in the Mohammed bin Rashid Al Maktoum Solar Park

Average weekly oil & gas prices

Brent (USD/bbl): 56.04 (1.17)
WTI (USD/bbl): 50.20 (1.13)
Henry Hub (USD/mmbtu): 3.05 (0.03)
TTF (USD/mmbtu): 5.93 (-0.13)

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