Factbox: Global oil, gas producers slash spending after price rout [Reuters] 18 Mar, 2020

Below are plans announced by energy companies (in alphabetical order): BPBP (BP.L) said it planned to reduce capital and operational spending. BP’s capital spending last year reached around $15 billion. CHEVRON CORP Chevron Corp (CVX.N) said it was looking at ways to trim spending that could lead to lower near-term oil production. The company, however, did not provide details. The oil major’s 2020 organic capex guidance was $20 billion. North American oil and gas producers have slashed their capital spending by about 30% on average, according to data compiled by Reuters. EQUINOR Equinor (EQNR.OL) is reviewing its capital and exploration spending plans, it said. The second tranche of its share buyback program - worth $675 million when including the Norwegian state’s share and scheduled to run from May 18 to Oct. 28 - is still on the table, pending approval by the annual shareholders’ meeting, a company spokesman said. EXXON MOBIL Exxon Mobil (XOM.N) said it would make “significant” cuts to spending, without giving any details. The company earlier budgeted $30-33 billion for projects this year. GULF KEYSTONE Kurdistan-focused producer Gulf Keystone has also suspended some of its drilling activities in the northern Iraqi region. KOSMOS ENERGY Kosmos Energy (KOS.N) suspended its dividend and said it was aiming to reduce 2020 capital spending by 30% with a view to becoming cash flow neutral at oil prices of $35 a barrel. OIL SEARCH Papua New Guinea-focussed Oil Search Ltd (OSH.AX) has slashed its 2020 investment and capital spending by 38% and 44%, respectively, to cope with crashing oil prices. PREMIER OIL Premier Oil (PMO.L) said it had identified at least $100 million in potential savings on its 2020 capital spending plans. Premier expects to be broadly cash flow neutral in 2020, assuming a $100 million reduction in planned 2020 capex and $35 per barrel oil price for the rest of the year. SANTOS Santos Ltd (STO.AX), Australia’s No. 2 independent gas producer, said it is reviewing all its capital spending plans in light of the collapse in oil prices and would stop all new hiring. SAUDI ARAMCO Saudi Arabia’s national oil company Aramco 2222.SE said it planned to cut capital spending for 2020 to between $25 billion and $30 billion, compared with $32.8 billion in 2019. TULLOW OIL Tullow (TLW.L) said it would cut its investment budget by about a third to $350 million this year and reduce its exploration spending, historically the group’s focus, by almost half to $75 million. It said the oil price fall may jeopardize a planned $1 billion in asset sales needed to refill its coffers, raising the risk the group’s lenders may become reluctant to approve loans essential to shoring up its future. Our Standards:The Thomson Reuters Trust Principles.

More News

U.S. will allow Chinese passenger carriers two flights per week

06 Jun, 2020 Reuters

On Wednesday, President Donald Trump’s administration said it planned to bar all Chinese passenger airlines from flying to the United States by ... Detail

Pakistan-ADB pen $300 million emergency loan agreement

06 Jun, 2020 The Nation

ISLAMABAD - The Asian Development Bank (ADB) and the Government of Pakistan on Friday signed the agreement for a $300 million emergency assistance loa ... Detail

Exclusive: Buyout firm Sycamore Partners in talks to buy J.C. Penney - sources

06 Jun, 2020 Reuters

J.C. Penney, which employs roughly 85,000 people, filed for bankruptcy protection in May after the coronavirus pandemic forced it to temporarily close ... Detail

Reddit co-founder Ohanian resigns from board, wants a black candidate to take over

06 Jun, 2020 Reuters

(Reuters) - Reddit co-founder Alexis Ohanian said on Friday he has resigned from the board and sought to be replaced with a black candidate at the soc ... Detail

Tech drives Nasdaq to all-time high as signs of recovery emerge from coronavirus pandemic

06 Jun, 2020 Reuters

The Nasdaq’s 43% rise since late March puts the tech-heavy index far ahead of the broader S&P 500, highlighting investors’ willingness to ... Detail

Post Your Comments
Type your Comments / Review in the space below.
Name:
Email:
City:
Verify Code