Supertankers that once raced around the world to satisfy an unquenchable thirst for oil are now parked offshore, fully loaded, anchors down, their crews killing time. In the United States, vast storage farms for oil are almost out of room. As demand for crude has plummeted, the world suddenly finds itself awash in oil that has nowhere to go.
Posts on ‘March 4th, 2009’
BG Group has moved a step closer to acquiring Pure Energy Resources, the Australian coal seam gas explorer, by winning approval for its A$1bn (US$640m) takeover offer from Royal Dutch Shell.
In the meantime, a host of big energy and engineering companies, including Shell, BP, Alstom and GE, are pressing member states to maintain support for carbon capture.
BP expects to freeze its dividend this year, its chief executive has told the Financial Times, as the company struggles to adjust to the plunge in the price of oil to about $45 a barrel.
Arrow Energy Ltd., Royal Dutch Shell Plcs partner in coal-seam gas, gained the most in three weeks on speculation it will drop its bid for Pure Energy Resources Ltd. and follow Shell in accepting BG Group Plcs rival offer.
As other companies potentially — either already have or potentially — go into distress and have an inability to perform on what they have, that likely creates an opportunity, Marvin Odum, president of The Hague-based Shells U.S. operations, said today in an interview in New York.