• 2 minutes Oil Price Could Fall To $30 If Global Deal Not Extended
  • 5 minutes Middle East on brink: Oil tankers attacked off Oman
  • 8 minutes CNN:America's oil boom will break more records this year. OPEC is stuck in retreat
  • 4 hours Emissions Need To Be Halved To Avoid 3C Warming
  • 15 mins Iran downs US drone. No military response . . Just Destroy their Economy Completely. Can Senator Kerry be tried for aiding enemy ?
  • 3 hours The Pope: "Climate change ... doomsday predictions can no longer be met with irony or disdain."
  • 2 hours Here We Go: New York Lawmakers Pass Aggressive Law To Fight Climate Change
  • 3 hours Summit in Pyongyang: China's Xi Says World Hopes North Korea-U.S. Talks Can Succeed
  • 7 hours Coal Boom in Asia is Real and a Long Trend
  • 5 hours Pioneer CEO Said U.S. Oil Production would be up to 15 mm bbls/day NOW if we had the pipelines. Permian pipelines STARTING Q3
  • 13 hours Solar Panels at 26 cents per watt
  • 6 hours Huge UK Gas Discovery
  • 19 hours The Magic and Wonders of US Shale Supply: Keeping energy price shock minimised: US oil supply keeping lid on prices despite global risks: IEA chief
  • 19 hours Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 19 hours US to become net oil exporter in November: EIA
  • 17 hours Ireland To Ban New Petrol And Diesel Vehicles From 2030
  • 16 hours US Shale Drilling lacks regulatory body.
  • 18 mins So it begins? Is the Guyanese gov. trying to start a witch hunt? Greed? Guyana investigating offshore oil leases controlled by Exxon, Tullow
Alt Text

OPEC Discord Grows As Saudis Hint At ‘Delayed’ Meeting

Saudi Energy Minister Khalid Al-Falih…

Alt Text

Oil Inches Higher On Falling Rig Count

Oil prices inched higher at…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Trending Discussions

Oil Majors Secretly Discuss ‘Market Changes’ With State-Owned Oil Companies

The CEOs of BP, Exxon, and Total, and the heads of four Middle Eastern state oil companies met yesterday in Abu Dhabi to discuss changes in how they do business.

The meeting, attended by the heads of Aramco, Kuwait Petroleum, UAE’s Adnoc, and Qatar Petroleum, took place behind closed doors, but the topic of conversation must have had a lot to do with the changes that state oil companies in the world’s biggest oil producing region have undergone.

According to the moderator of the meeting, IHS Markit vice chairman Daniel Yergin, the parties have realized that they now operate in a much different market environment than, say, 10 years ago, which means changes are in order as to how the supermajors and state oil companies do business together.

Traditionally, as The National notes, the relationships between international oil giants and national oil companies have not been the smoothest. The latter have, over the last decade, transformed into much more professional entities, apparently prompting a reconsideration of what the supermajors have seen as traditional.

However, both the national oil companies of the Middle East and the international majors have been hit hard by the oil price slump, and now both groups need each other’s help to weather the effects of the crisis. Related: The Toilet Paper Crisis: Angola’s Oil Firm Can’t Supply The Basics

According to Yergin, supermajors and national oil companies discussed the formers’ need for long-term investments and the latter’s need for new job creation to stimulate the local economies. No details were given about whether they agreed on specific moves, but a revisiting of their usual contracts would likely lead to changes, which are supposed to be mutually beneficial.

National oil companies have taken the upper hand in terms of value and performance over international majors, thanks to government financial support and favorable tax regimes in many cases. Supermajors, on the other hand, are growing increasingly aware of the new market realities. Last week, they even pledged a fund of $1 billion to help tackle climate change. Although the amount is tiny compared to government pledges, it does signal a change in these companies’ perspective.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment
  • Douglas Houck on November 07 2016 said:
    Rearranging chairs on the deck?

Leave a comment





Oilprice - The No. 1 Source for Oil & Energy News