Daily Archives: March 25, 2009

Ed Crooks

In Energy Source:

Deadline nears for Gazprom’s deal with Eni

Signs of life in China’s oil market…

…and the North Sea industry


Eni and Enel plan to sell assets to Gazprom for $5.5bn, including 20 per cent of Gazprom’s oil company and some gas fields formerly owned by Yukos. Russia’s state-backed banks will provide the finance (Moscow Times)

Poland attempts to by-pass the Ukrainian middle-man in its gas purchases from Russia (Kyiv Post) Read more

Carola Hoyos

Vedomosti, the Russian newspaper, reports that state banks will help Gazprom finance its purchase of 20 per cent of Gazprom Neft from Eni, the Italian oil company that aquired the asset in the state auction of Yukos two years ago. But even if this is true, there are still a few things left to sort out before the April 6 deadline: Will Gazprom pay the agreed $4.2bn, or will the sum be closer to $2.2bn, the current value of the stake? What does Eni want? Will it let Gazprom slow the payments? Stay tuned…

Carola Hoyos

China‘s engine seems to be sputtering back to life. If true, it will come as a relief to oil producers, for whom China has become the most important customer save the US.

The chart below – emailed in by Morgan Downey, author of Oil 101 – uses that data released by China’s General Administration of Customs to illustrate that country’s implied total oil demand grew by 0.5 per cent in February 2009 compared to February the previous year. It is the first year on year growth figure after three months of negative oil demand growth. Read more

Ed Crooks

The North Sea business of Oilexco, which was put into administration by its parent company at the beginning of the year, has been bought by Premier Oil, the London-listed E&P company that is active in Asia. The deal raises the chance that the Huntington field, which looks like one of the biggest finds in the North Sea this decade, will now get developed. The deal is a sign of how oil’s recovery to over $50 is encouraging a little more confidence in the industry. Read more

Energy news from elsewhere:

- State intervention vital if Britain to meet green energy targets, says BP’s Browne (GuardianRead more

Energy news from the FT:

- Suncor chief urges fiscal discipline in Canadian oil sands investment
First test to come with Suncor’s Fort Hills project Read more