• 3 minutes Nucelar Deal Is Dead? Iran Distances Itself Further From ND, Alarming Russia And France
  • 5 minutes Don Jr. Tweets name Ukraine Whistleblower, Eric Ciaramella. Worked for CIA during Obama Administration, Hold over to Trump National Security Counsel under Gen McCallister, more . . . .
  • 9 minutes Shale pioneer Chesepeak will file bankruptcy soon. FINALLY ! The consolidation begins
  • 12 minutes China's Blueprint For Global Power
  • 5 hours Pioneer's Sheffield in Doghouse. Oil upset his bragging about Shale hurt prices. Now on campaign to lower expectations, prop up price.
  • 3 hours Tesla Launches Faster Third Generation Supercharger
  • 16 mins EU has already lost the Trump vs. EU Trade War
  • 4 hours Passerby doused with flammable liquid and set on fire by peaceful protesters
  • 3 hours Who writes this stuff? "Crude Prices Swing Between Gains, Losses"
  • 3 hours ''Err ... but Trump ...?'' #yawn
  • 2 hours China's Renewables Boom Hits the Wall
  • 5 hours Crazy Stories From Round The World
  • 23 hours Climate Change Consensus Shifts in Wind, But Gas Is Still the Right Move
  • 1 day Joe Biden, his son Hunter Biden, Ukraine Oil & Gas exploration company Burisma, and 2020 U.S. election shenanigans
  • 1 day Does .001 of Atmosphere Control Earth's Climate?!
  • 4 hours Haaretz article series _ Saudi Arabia: A Kingdom in Turmoil | Part 1 - Oil Empire
Alt Text

Four Ways Oil Has Made Our Lives Better

Fossil fuels are being scrutinized…

Alt Text

Why One Analyst Thinks Tesla's Stock Could Soar To $400

While many analysts remain skeptical…

Alt Text

The Bullish Surprise In OPEC's Latest Report

In OPEC’s final report before…

Editorial Dept

Editorial Dept

More Info

Premium Content

A Crisis Is Brewing For Offshore Oil

1. Offshore drill companies hammered

- The stock prices of offshore drillers have declined sharply this year, falling faster and farther than the price of oil.

- “Yet the offshore rig market as a whole hardly seems to notice, propelled by the increased sanctioning of greenfield projects coupled with a substantial amount of brownfield work aimed at maintaining legacy production,” Rystad Energy said in a report.

- Drillship utilization has fallen sharply since the oil bust in 2014, but rebounded by 14 percentage points in a nine-month period through July.

- However, looking forward, “there is a lack of long-term work embedded in the current contract portfolio,” Rystad said. The “healthy utilization growth seen in the first half of the year is poised to fall off a cliff within this environment of short duration contracts, where term contracts do not appear prevalent in the near future.”

2. Soybean prices rally on lower supply

- Floods earlier this year in the U.S. Midwest slashed expected corn yields, but the later planting schedule for soybeans was thought to minimize impact for that market. Weak Chinese demand due to the trade war also kept the market soft and prices down.

- A swine flu outbreak in China also cut into demand after a widespread culling.

- “However, optimism has returned to the soybean market, with prices firmly above USD 9/bushel since end-September and CFTC…



Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play