OPEC and non-OPEC producers, led by Russia, have agreed to extend oil output cuts until the end of 2018. Even with this new agreement, the question becomes what’s the shelf life of the cooperation. Stratas Advisors’ director of energy markets, Jeff Quigley, is in Vienna covering the meetings and says uncertainty still looms. Meanwhile, Saudi Energy Minister Khalid al-Falih said it was premature to talk about exiting the cuts and that OPEC would look at progress at its next regular meeting in June.
In A&D news, Sandridge Energy’s plan to buy Bonanza Creek Energy has hit what seems like an impassable roadblock. Hart Energy’s Darren Barbee reports that roughly 28% of Sandridge’s shareholders, including Carl Icahn, have vowed to vote down the merger.
Finally, Arctic exploration offshore the U.S. is bound for a comeback now that BSEE has approved Eni's exploration drilling plans for the Beaufort Sea.
- SPECIAL REPORT: OPEC Set To Continue Oil Production Cuts
- Activist Investors’ ‘Noise’ Puts SandRidge-Bonanza Merger On Life Support