Upstream news

Exxon Mobil Corporation has announced estimated second-quarter 2022 earnings of US$17.9 billion, or US$4.21 per share assuming dilution. Second-quarter results included a favourable identified item of nearly US$300 million associated with the sale of the Barnett Shale Upstream assets.

The Company is now preparing to move up the wellbore for drilling of the horizontal section in the Alkaid Anomaly (primary objective), before casing, stimulating and ultimately flow testing the well.

Under the terms of the three-year contract renewal, Petrofac will continue in its capacity as Duty Holder of the Kittiwake platform in the Central North Sea. It has held the role with EnQuest since 2014, and the asset’s previous owners since 2003.

Ofelia is positioned in one of Neptune’s core areas and close to existing infrastructure. The well, 35/6-3 S, is being drilled by the Deepsea Yantai, a semi-submersible rig, owned by CIMC and operated by Odfjell Drilling.

In the second quarter Equinor completed 9 exploration wells offshore and 3 wells were ongoing at quarter end. Equinor made 3 commercial discoveries in the quarter, all close to infrastructure on the NCS.

The Guyana investment strategy continues to yield positive results; additional exploration wells planned later this year, while production from two vessels currently operating offshore has exceeded their initial combined target of 340 000 bpd.

ZMI Holdings has announced that ADNOC Logistics & Services), the shipping and maritime logistics arm of ADNOC Group, has entered into definitive agreement to acquire ZMI. The transaction is subject to customary regulatory approvals and is expected to close in 4Q22.

The project is expected to come online in the mid-2020s, and at peak production rates, could represent over 6% of projected UK North Sea gas production in the middle of this decade, with operational emissions of less than 1% of the whole UK basin.

The repayment leaves the Company debt free, with significant cash on hand, further cash due from the imminent lifting from the FPSO, and ongoing cash generative production from the Lancaster field.

This marks an important milestone in the development of Fenja, which is scheduled to come on stream in the first quarter of 2023 and will produce approximately 28 000 boepd at plateau.