• 4 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 7 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 11 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 15 minutes Wonders of Shale- Gas,bringing investments and jobs to the US
  • 19 hours IMO 2020 could create fierce competition for scarce water resources
  • 14 hours Evil Awakens: Fascist Symbols And Rhetoric On Rise In Italian EU Vote
  • 4 hours Apartheid Is Still There: Post-apartheid South Africa Is World’s Most Unequal Country
  • 1 day IMO2020 To scrub or not to scrub
  • 4 hours IRAN makes threats, rattles sabre . . . . U.S. makes threats, rattles sabre . . . . IRAQ steps up and plays the mediator. THIS ALLOWS BOTH SIDES TO "SAVE FACE". Then serious negotiations start.
  • 4 hours Total nonsense in climate debate
  • 9 hours Theresa May to Step Down
  • 19 mins Will Canada drop Liberals, vote in Conservatives?
  • 1 day Devastating Sanctions: Iran and Venezuela hurting
  • 36 mins Canada's Uncivil Oil War : 78% of Voters Cite *Energy* as the Top Issue
  • 43 mins Trump needs to educate US companies and citizens on Chinese Communist Party and People's Liberation Army. This is real ECONOMIC WARFARE. To understand Chinese warfare read General Sun Tzu's "Art of War" . . . written 500 B.C.
  • 1 day Level-Headed Analysis of the Future of U.S. Shale Oil Industry
  • 1 day Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
Alt Text

How To Play A Recovery In Oil Prices?

A realistic correction in the…

Alt Text

What The Market Is Overlooking In The Occidental Deal

Occidental Petroleum has caught a…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Trending Discussions

This Unloved Oil Province Just Hit A Record

I'm a contrarian by nature. Whenever observers are apathetic or downright hostile toward a play, I always get interested.

Especially when the fundamental data from the space is positive. Which appears to be the case in one major oil play, judging from news this week.

That's offshore Brazil. A sector that's lately gone from golden to goat with worldwide petroleum investors.

A few years ago, the Brazilian presalt play was the hottest thing going. With E&Ps and stock buyers alike lining for a chance at billion-barrel oil discoveries here.

But high costs, steep government fiscal terms, and a softening of the Brazilian economy have weighed on the play lately. With recent bid rounds attracting underwhelming interest from global oil players.

That in itself is interesting. But a key piece of data this week makes the picture downright intriguing.

That comes from Brazilian state oil producer Petrobras. Who reported that the company has just hit a production record for its presalt fields.

As of April 15, Petrobras' presalt production jumped to 428,000 barrels per day. Driven by 50,000 b/d of output from the new P-58 platform in the Campos basin. A development that came online in mid-March.

This is a timely event for Petrobras--and for Brazil's oil sector. Coming after the company had been struggling of late to ratchet up its presalt production. Which had been hampered by high costs and complex engineering for the deep wells in the play.

The new high watermark in output should thus give some comfort to the wider oil sector, and to investors. The presalt play apparently is manageable--it just took some time to get it on track.

This may help to jumpstart a "second wave" of interest in new presalt drilling and development. Especially if Petrobras can keep the production growth going.

If you like out-of-favour opportunities on the rise, this is a good place to look.

Here's to finally getting it done,

Dave Forest




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment

Leave a comment




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