BP’s Oil Output Drops 5% on Year in Q1, Offset by Natural Gas Surge
Platts reported: BP’s oil output dropped 5% on the year in the first quarter, partially reversing a large jump in the previous quarter as its Abu Dhabi offshore concession expired, with a further reduction forecast in the current quarter, offset by surging gas production. Excluding its stake in Rosneft, the major re-ported its highest upstream production since Q4, 2010 in its quarterly results statement at 2.61 million b/d of oil equivalent, a 9% rise from a year earlier, and close to rival Total’s output. Its pretax profit in the upstream segment more than doubled to $3.18 billion, excluding the effect of inventory changes, and the company expects to break even at oil prices of $50/b this year. In a call with investors, chief financial officer Brian Gilvary said he saw no sign of inflation returning in any part of the company’s upstream portfolio, including in its gas-focused US shale operations, where it has 12 rigs, some with breakeven costs as low as $1/b, in the Haynesville play. For more on this story visit platts.com or click https://bit.ly/2I4KAbS
Natural Gas Liquids Pipeline Approved for Northwest N.D.
The Bismarck Tribune reported: The North Dakota Public Service Commission approved a natural gas liquids pipeline on Monday, a project commissioners said will provide a safer transportation option and help industry reduce natural gas flaring. Oneok’s Cherry Creek Pipeline project involves the conversion of about 45 miles of natural gas gathering lines into a natural gas liquids transmission pipeline in northwest North Dakota. Commissioner Julie Fedorchak said converting the existing pipeline will involve very little construction. The $1.8 million project will transport up to 50,000 barrels of natural gas liquids from the Lonesome Creek gas processing plant in McKenzie County to the Stateline gas processing plant in Williams County, where it will deliver into the Bakken Pipeline. For more on this story visit bismarcktribune.com or click https://bit.ly/2jjYDMB