Bahrain, Angola, Ecuador and Venezuela rank as the emerging markets (EM) most vulnerable to a downgrade in their sovereign credit ratings if oil prices do not recover in 2015, Fitch Ratings said in a report published on Tuesday.
With benchmark Brent crude prices close to $80 a barrel, down from $115 a barrel in mid-June, the revenues of all oil producers are under pressure. But due to differing levels of fiscal reliance on oil income, the speed of deterioration in domestic budgetary conditions varies sharply among EM producers. Read more
Going, going, gone! After months of hype, excitement, protests, and lawsuits, Brazil finally auctioned off its biggest ever oil discovery on Monday – the Libra field.
‘Auction’, however, is perhaps a misleading term. There was only one bidder – a consortium made up of Brazil’s state-run Petrobras (40%), Anglo-Dutch Shell (20%), France’s Total (20%), and China’s CNPC (10%) and CNOOC (10%). Read more
Brazil’s oil industry has not been the source of much good news recently but this week might just go down as one of its best yet.
On Monday, the country’s state-run giant Petrobras managed to raise $11bn in the biggest emerging markets bond issue ever. Then on Tuesday the country pulled in a record R$2.8bn ($1.4bn) in its first auction of licences for oil exploration blocks in five years. Read more
After five years of legal battles, rumours and empty promises it’s finally happening: Brazil is auctioning off its oil blocks.
The country’s energy minister, Edison Lobão, told reporters on Thursday that the so-called 11th round of 172 onshore and offshore blocks would be held in May, or even earlier if possible. Read more
Brazil’s government came out with the long-awaited announcement on Tuesday that it would auction another round of oil exploration rights next year.
Most importantly, there will be two auctions, energy minister Edison Lobao said. A first round of 174 blocks, many of which are expected to be in the Equatorial Margin, a potentially interesting new offshore area in the country’s north, near the mouth of the Amazon River. This will be offered under the country’s oil concession law that allows the successful bidder to operate the field. Read more