Offshore - GOM
U.S. Gulf of Mexico oil and gas production is returning to near normal levels after Hurricane Michael made landfall on the Florida Panhandle last week, data from an offshore regulator showed on Oct. 13, with oil output off 19% and natural gas production down less than 10%.
As of the morning of Oct. 12, nine platforms were still unoccupied, BSEE said in a daily update, down from 89 platforms on Oct. 10.
Producers in the Gulf of Mexico lost about 1.7 million barrels of oil through Oct. 10 as a result of shut-ins from Hurricane Michael and the figure is expected to rise.
According to the filing, Petrobras, as the Brazilian company is known, will have a 20% stake in the joint venture, and Murphy will have 80%.
Hess, Shell and Anadarko Petroleum said they were monitoring the storm and would take actions in the Gulf of Mexico as needed.
Canada's energy industry got a boost this week from an LNG project FID. Plus Encana exits the San Juan Basin, Husky makes a play for MEG Energy and reports that Exxon Mobil is exploring the sale of its Gulf of Mexico assets.
Exxon Mobil is considering selling deepwater assets in the GoM that currently produce about 50,000 barrels per day of oil, unnamed sources told Reuters.
The rule revised by the Interior Department eliminates or changes some safety standards for when an offshore well is producing oil or gas, such as requiring that independent third parties certify devices.
The decision to sell some U.S. GoM assets came as the state-controlled Chinese oil firm finalizes an internal restructuring that combines its Beijing-headquartered E&P team with Calgary-based Nexen Petroleum.
Production from deepwater projects is expected to reach 500,000 barrels of oil equivalent per day (boe/d) by 2020, contributing to its 6% to 7% output growth target per year from 2017 to 2020.