LONDON, July 28 (Reuters) – “The world of energy may have
changed forever,” according to Professor James Hamilton of the
University of California. “Hundred dollar oil is here to stay.”
Hamilton, who is one of the most respected economists
writing about oil, made his bold prediction in a paper on “The
Changing Face of World Oil Markets”, published on July 20.
LONDON, July 25 (Reuters) – The probability of a solar storm
striking Earth in the next decade with enough force to do
serious damage to electricity networks could be as high as 12
percent, according to solar scientists.
One such storm erupted from the surface of the Sun two years
ago, on July 23, 2012. If it had been directed at this planet,
it would have produced the worst geomagnetic storm in more than
four centuries and caused extensive power problems.
LONDON, July 22 (Reuters) – Shale plays are ideal for oil
and gas companies that need to limit risk in countries with a
history of political and economic instability and poor respect
for private property.
The ability to manage political risk, coupled with a world
class resource, explains why international oil firms are showing
strong interest in the shale resources of Argentina’s Neuquen
basin, despite the country’s record of political and economic
unrest, serial default, and expropriation of foreign property.
LONDON, July 21 (Reuters) – Holders of Argentina’s defaulted
debt and their supporters have warned the country risks being
frozen out from international capital markets unless it finds a
way to solve its legal problems by the July 30 deadline.
But away from the bad-tempered litigation in U.S. courts,
which has dominated the news about Argentina for months, the
country is experiencing an oil drilling boom as international
companies seek to cash on its huge shale resources.
LONDON, July 21 (Reuters) – Oil and gas taxation has become
a major source of conflict between producers and Britain’s tax
But like other indirect taxes, the amount of attention oil
and gas taxes draw is out of all proportion to the amount of
money they raise for the treasury.
LONDON, July 17 (Reuters) – Targeting major Russian energy
firms may come to be seen as the turning point at which U.S.
sanctions policy over-reached and spurred a major effort to
re-route financial transactions away from the United States.
Prohibiting core Russian energy companies such as Rosneft,
Gazprombank, Novatek and Vnesheconombank from arranging equity
or long-term debt finance from or through “U.S. persons” marks a
major escalation in the sanctions battle between the United
States and its European allies on the one hand and the Russian
Federation on the other.
LONDON, July 17 (Reuters) – Petroleum engineers are among
the best paid professionals in the United States. Only chief
executives and some specialist doctors earned more last year,
according to federal government pay data.
Petroleum engineers were paid an average of $132,000 a year,
with the top 10 percent on more than $187,000, according to the
Bureau of Labor Statistics (BLS).
LONDON, July 16 (Reuters) – As U.S. and EU policymakers have
imposed targeted sanctions on Russian individuals and firms in
response to the crisis in Ukraine, Western companies have sought
to insulate their own projects from the political imbroglio and
continue developing the country’s vast oil and gas resources.
Exxon Mobil and Shell have joint ventures
with Rosneft and Gazprom respectively to
explore and produce shale oil and gas from beneath the swampy
plains of Western Siberia and both want to be allowed to
continue operating there.
LONDON (Reuters) – By now everyone knows the shale revolution was made possible by the combination of horizontal drilling and hydraulic fracturing.
But although fracking has captured the popular imagination, and is often used as a synonym for the whole phenomenon, horizontal drilling was actually the more recent and important breakthrough.
LONDON, July 9 (Reuters) – The U.S. Department of Defense
has been using the wrong oil price in its budget, leaving the
largest single buyer of fuel in the world with liabilities
potentially hitting billions of dollars.
The Pentagon continues to rely on WTI prices even though
Brent oil is more relevant to the cost of fuels it buys on
behalf of the armed forces.