Water the largest challenge to field development in Permian Basin

From sourcing to disposal, water is slowly becoming the largest challenge to field development in the Permian Basin, Wood Mackenzie says. In fact, failure to mitigate these issues could increase costs, with possible consequences as severe as well shut-ins.

The number of completed Permian wells is rising, and water disposal volumes are expected to double by 2022, WoodMac says. This generates increasingly large volumes of water. Even with 100% water reuse for completions, the current salt water...


Keppel receives approval to convert Gimi FLNG project

Keppel Offshore & Marine (Keppel O&M)’s wholly-owned subsidiary, Keppel Shipyard Ltd (Keppel Shipyard), has received the Final Notice to Proceed (FNTP) from Gimi MS Corporation, a subsidiary of Golar LNG Limited, to begin full conversion works for the Gimi Floating Liquefaction Vessel (FLNG) project.

The total contract is worth US$947million and builds on the issuance of the Limited Notice to Proceed (LNTP) on 17 December 2018.



Keppel Shipyard’s scope of...


South Carolina takes action against offshore drilling

On Wednesday, South Carolina’s Senate advanced a measure that would require the state to block new infrastructure to transport or process offshore oil and gas. This comes as state lawmakers fear the Interior Department will open the Atlantic coast to offshore drilling.

Republican State Senator Chip Campsen introduced a provision to the state budget that prohibits the state from approving any activity that would facilitate drilling offshore.

This would effectively kill plans to drill off South...


Oil majors bid on Argentina offshore acreage

Argentina’s first national offshore licensing round took place on 16 April 2019, in Buenos Aires. Of the 38 blocks offered in an open bid round, 18 were licensed. The round attracted bids from 13 companies, with the winning bids reaching a total of US$718.28 million. All majors participated in the bidding, except from Chevron.

The acreage is located in the Austral Marine, Western Malvinas and Argentina basins.

Commenting on the licensing round, Horacio Cuenca, Research Director at Wood...


Novatek begins exports of LNG from small-scale plant

Novatek, Russia’s largest private gas producer, has reportedly started to export liquefied natural gas (LNG) from its newly built small-scale LNG plant in Russia’s Baltic Sea port of Vysotsk.

Novatek partnered with Gazprombank for the construction of the Vysotsk plant, that has a capacity of 660,000 tonnes of frozen gas per year.

On the contrary, the plant is not officially launched yet.



However, Reuters reported that Novatek shipped seven cargoes, with an...


US announces $39 million for oil and natural gas R&D Projects

The US Department of Energy (DOE) announced up to $39 million in federal funding for cost-shared research and development projects in order to improve oil and natural gas technologies. Selected projects will fall under two DOE Office of Fossil Energy funding opportunity announcements (FOAs). The National Energy Technology Laboratory (NETL) will manage the projects under both FOAs.

The US is the world’s leader in both oil and natural gas production. According to EIA, US natural gas production...