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On Stream – Latest News Gordon Wasilewski
Oil companies suspected of price fixing in Europe
Another natural gas deposit discovered in Israel
From time to time oil and gas companies fall under suspicion of conspiring to set the prices for gasoline. This time European Commission raided some of the major O&G companies in the old continent, including Shell, BP and Statoil. Main accusation against listed firms is reporting false trade prices. Creating even small distortions of prices on the world market worth billions of dollars can cause huge disruption. Apart from O&G companies there was also price reporting agency that was raided – Platts. EC wants to look closer on its methodology of handling data from various disclosed transactions and transforming it into public announcements. Shell and BP are said to be cooperating with EC on the subject. There is no official information of whether there are any other companies included in the investigation.
Independent exploration and production firm Noble Energy announced on Wednesday that they made a new deep-water natural gas discovery off Israel. The company founded by Lloyd Noble is the operator of the license where the Karish well is located, about 20 miles northeast of the Tamar field in the Mediterranean Sea. Noble said the well encountered 184 feet of net natural gas pay. Discovered gross resources, combined with resources in an adjacent block, are estimated to range between 1.6 trillion and 2 trillion cubic feet of natural gas, the company said. The find marks the seventh consecutive field discovery for Noble Energy and its partners in the Levant Basin of the eastern Mediterranean Sea.
The United States to start fuelling the World
Lundin Petroleum look for profit from Johan Sverdrup field
Federal government authorities agreed on global export of American natural gas. This essential decision gets historic importance in energy market diversification. Freeport LNG, Texas may be the first facility eligible to become full played liquefying and shipping terminal in the United States as if Energy Department reviews its application. Terminal was built four years ago and now modified for total $10 billion. Freeport LNG’s management has already concluded preliminary agreements with Japanese Chubu Electric Power and Osaka Gas and also with BP. Initial overseas exports could start this Summer. Authorities set limit of 1.4 billion cubic feet daily shipping over the next 20 years. More than 10 companies by this time requested permission to export US-produced natural gas. Decision threatens European gas monopolist and might change everyday life of EU citizens.
Lukas Lundin, investment manager for his billionaire Swedish family, said the oil stock bearing their name should double in value in next 10 years after its biggest North Sea discovery. Lundin Petroleum, which is Sweden’s largest oil company has become the most expensive European explorer since it began trading in 2001. With value of $6.8 billion it may rise up to $16 billion now. Lundin family owns about 30 percent of Stockholm-based Lundin Petroleum. The company jumped in trading after discovering the Avaldsnes prospect in 2010 and Aldous in 2011, which were later renamed Johan Sverdrup. It holds about 3.6 billion barrels of oil under the seabed and it’s Norway’s largest field in almost four decades. Optimistic plans can be stopped by pressure of Norway’s government, which plans to change oil and gas taxation this year.