• 2 hours PDVSA Booted From Caribbean Terminal Over Unpaid Bills
  • 4 hours Russia Warns Ukraine Against Recovering Oil Off The Coast Of Crimea
  • 6 hours Syrian Rebels Relinquish Control Of Major Gas Field
  • 7 hours Schlumberger Warns Of Moderating Investment In North America
  • 8 hours Oil Prices Set For Weekly Loss As Profit Taking Trumps Mideast Tensions
  • 9 hours Energy Regulators Look To Guard Grid From Cyberattacks
  • 11 hours Mexico Says OPEC Has Not Approached It For Deal Extension
  • 12 hours New Video Game Targets Oil Infrastructure
  • 14 hours Shell Restarts Bonny Light Exports
  • 15 hours Russia’s Rosneft To Take Majority In Kurdish Oil Pipeline
  • 21 hours Iraq Struggles To Replace Damaged Kirkuk Equipment As Output Falls
  • 1 day British Utility Companies Brace For Major Reforms
  • 1 day Montenegro A ‘Sweet Spot’ Of Untapped Oil, Gas In The Adriatic
  • 1 day Rosneft CEO: Rising U.S. Shale A Downside Risk To Oil Prices
  • 1 day Brazil Could Invite More Bids For Unsold Pre-Salt Oil Blocks
  • 1 day OPEC/Non-OPEC Seek Consensus On Deal Before Nov Summit
  • 1 day London Stock Exchange Boss Defends Push To Win Aramco IPO
  • 2 days Rosneft Signs $400M Deal With Kurdistan
  • 2 days Kinder Morgan Warns About Trans Mountain Delays
  • 2 days India, China, U.S., Complain Of Venezuelan Crude Oil Quality Issues
  • 2 days Kurdish Kirkuk-Ceyhan Crude Oil Flows Plunge To 225,000 Bpd
  • 2 days Russia, Saudis Team Up To Boost Fracking Tech
  • 3 days Conflicting News Spurs Doubt On Aramco IPO
  • 3 days Exxon Starts Production At New Refinery In Texas
  • 3 days Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 3 days Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 3 days Oil Gains Spur Growth In Canada’s Oil Cities
  • 3 days China To Take 5% Of Rosneft’s Output In New Deal
  • 3 days UAE Oil Giant Seeks Partnership For Possible IPO
  • 3 days Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 3 days VW Fails To Secure Critical Commodity For EVs
  • 4 days Enbridge Pipeline Expansion Finally Approved
  • 4 days Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 4 days OPEC Oil Deal Compliance Falls To 86%
  • 4 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 4 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 4 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 4 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 5 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 5 days Aramco Says No Plans To Shelve IPO
Big Oil Refuses To Give Up On The Barents Sea

Big Oil Refuses To Give Up On The Barents Sea

Despite failures in the Barents…

Trump’s Iran Decision Haunts Big Oil

Trump’s Iran Decision Haunts Big Oil

Donald Trump’s Iran decision has…

James Burgess

James Burgess

James Burgess studied Business Management at the University of Nottingham. He has worked in property development, chartered surveying, marketing, law, and accounts. He has also…

More Info

Technip-FMC Merger Deal Creates $13B Oil & Gas Services Giant

Tulsa Drilling

Oil and gas services companies French Technip and American FMC Technologies have reached a merger agreement to create a joint company, TechnipFMC, worth $13 billion and expected to generate sales of around $20 billion.

The pending merger will reportedly allow the two to save US$400 million annually beginning in 2019.

The new venture will employ more than 49,000 people in over 45 countries.

Expected to close in early 2017, the deal still requires the approval of both companies’ shareholders and regulators.

Related: Nigerian Oil Output Falls 800,000 Barrels As Militants Step Up Attacks

Both are major players in the oil and gas services sector, with strong portfolios in onshore and offshore drilling, as well as subsea construction.

It’s not their first foray together: Last year, they jointly created Forsys Subsea. The JV is focused on design and construction advancements for subsea oil and gas fields.

For the first quarter of this year, FMC Technologies reported a 67-percent drop in profit, while Technip recorded a 32-percent gain for the same period.

Related: Can EVs Save Electric Utilities?

But the big story here is the competitive behemoth this merger will create. The merger would render TechnipFMC a potential rival to the American giants, Schlumberger, Halliburton and Baker Hughes. They are bullishly joining forces at at cancelled contracts, and the deferment or cancellation of US$270 billion in oil and gas projects since 2014.

On 1 May, Halliburton and Baker Hughes announced the termination of their merger agreement, as the companies were unable to get past federal antitrust regulators. The planned US$35-billion merger faced opposition from regulators on both sides of the Atlantic who argued that the deal would stifle sector competition.

Other top oilfield services provider Schlumberger announced in March that it had obtained approval from the Chinese antitrust authorities for its US$14.8 billion acquisition of Cameron International, a provider of oilfield technology and equipment.

By James Burgess of Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

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