Interesting blog from the Canada’s Globe and Mail. Andrew Willis from the Globe looks at the recent criticism BP has gotten for investing in oil sands. Notice the dichotomy between the city investors that argue BP should invest in oil sands and those worried by the climate that think its a stupid idea.
oil industry outlook
Fat Profits, But Big Oil is Shrinking
Over the next few days more oil companies will announce obscene profits. But as the headlines are taken by calls for a windfall tax, the real story is one that has been brewing for some time. Big Oil can’t find enough oil. Yesterday, despite making ÂŁ93m a day, Shell did not impressed the markets. The … Read More
Shell Sparks Fears Over Reserves
Maybe the oil industry is running out of reserves faster than it is letting on (see other blog), but Shell is to delay publication of key data about its oil reserves that it would normally have released alongside profits figures being published this week. The decision is said to have disappointed some analysts, who have … Read More
Shell: We Will Begin to Run Out of Oil in 7 Years
Something of a “Shell feel” to the blog today. Three stories all about the oil major. First up a story from Davos. Jeroen van der Veer, chief executive of Shell has warned that demand for oil and gas will outstrip supply within seven years, because conventional supplies will fail to keep pace with population growth … Read More
“World Not Running Out of Oil” (but read the small-print)
The world is slowly going mad: we have the Premier of Alberta saying that the ecological downsides of extracting oil sands is a “myth”, yet we all know that oil sands development is the most ecologically destructive process ever invented by the oil industry (see below). We also have the US government saying that the … Read More
Western Oil Companies Doomed to be “Niche Players”
All the signs have been there for a while, but now the head economist of the International Energy Agency, Fatih Birol has succinctly articulated the growing crisis for the oil majors. They are doomed to become “niche players” in the oil sector, he predicts. “Western oil companies are going through an identity crisis,” argues Birol. … Read More
Nigeria to Invest $75bn in Oil, Gas Sector
Nigeria is to invest $75 billion over the next five years in the oil and gas sector through joint venture partnership with oil companies and third party investment. Minister of State for Petroleum, Odein Ajumogobia made this known in Saudi Arabia after the OPEC Ministerial Symposium.
Saudis: World Energy Resources Far Bigger Than Perceived
As Exxon bemoans that it can’t find enough oil, Saudi Arabia is crowing how much of it there is about. Saudi Aramco President Abdullah S. Jum’ah told the World Energy Congress that liquid energy resources are far bigger than expected, and he is “optimistic” over the future. Jum’ah said there were enough conventional and non-conventional … Read More
Big Trouble for Big Oil
Business Week has picked up on a growing conundrum for the oil industry. Even as oil prices soar, earnings at Exxon, BP, and ConocoPhillips are coming back down to earth. Are lower profits here to stay? Yesterday, ExxonMobil, the world’s largest integrated oil company, reported a 10% drop in profits for the third quarter from … Read More
Twelve Dollars a Year
In the late winter of 2006, the citizens of Burlington, Vermont prepared to elect one of five candidates to a three-year term for an open mayor’s seat. At one forum, a citizen stood up and asked, “Within the next mayoral term, it’s likely the price of oil will hit $90 a barrel and gas will … Read More