• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 2 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 5 days Does Toyota Know Something That We Don’t?
  • 4 days World could get rid of Putin and Russia but nobody is bold enough
  • 12 hours America should go after China but it should be done in a wise way.
  • 6 days China is using Chinese Names of Cities on their Border with Russia.
  • 8 days Russian Officials Voice Concerns About Chinese-Funded Rail Line
  • 8 days OPINION: Putin’s Genocidal Myth A scholarly treatise on the thousands of years of Ukrainian history. RCW
  • 8 days CHINA Economy IMPLODING - Fastest Price Fall in 14 Years & Stock Market Crashes to 5 Year Low
  • 6 days CHINA Economy Disaster - Employee Shortages, Retirement Age, Birth Rate & Ageing Population
  • 7 days Putin and Xi Bet on the Global South
  • 7 days "(Another) Putin Critic 'Falls' Out Of Window, Dies"
  • 8 days United States LNG Exports Reach Third Place
  • 8 days Biden's $2 trillion Plan for Insfrastructure and Jobs
Carbon Nitride: A Breakthrough in Material Science

Carbon Nitride: A Breakthrough in Material Science

University of Edinburgh scientists have…

OPEC’s Newest Member Looks To Raise Oil Production

OPEC’s newest member country, Equatorial Guinea, is seeking to lift its crude production after smaller oil companies acquired stakes in offshore oil fields operated by U.S. Hess Corporation, Equatorial Guinea’s Minister of Mines, Industry and Energy, Gabriel Mbaga Obiang Lima, told Bloomberg in an interview published on Tuesday.

On Monday, Hess Corporation said that it had entered into an agreement to sell its interests in offshore Equatorial Guinea to Kosmos Energy and Trident Energy for a total consideration of US$650 million, effective January 1, 2017. Hess holds an 85-percent paying interest and is operator of the fields, while Tullow Oil holds a 15-percent paying interest, and the Republic of Equatorial Guinea holds a 5-percent carried interest.

The sale is part of Hess’s strategy to invest in higher-return assets and divest more mature, higher-cost assets, while Kosmos Energy sees the deal as capturing “a material position in proven but under-explored oil basin.”

Kosmos buying Hess’s interest in the Ceiba and Okume oil fields offshore Equatorial Guinea could boost the country’s production in the short to medium term, Obiang Lima told Bloomberg.

“For Equatorial Guinea, for Nigeria, for any producers it’s the same story -- we have been two years reducing costs, drilling very few wells,” the minister added.  

“The price that we’re having right now, we’re coming to the conclusion that we need to be realistic and learn to live with that price,” Obiang Lima told Bloomberg, commenting on the current oil prices.  

In May this year, Equatorial Guinea became a member of OPEC, and apart from being the newest member, it’s also the smallest producing nation part of the cartel. According to OPEC’s secondary sources, Equatorial Guinea’s production was 141,000 bpd in September, up from 133,000 bpd in August. Crude oil production averaged 185,000 bpd in 2015, and 164,000 bpd in 2016.

By Tsvetana Paraskova for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News