RNS Number : 2406G
Jersey Oil and Gas PLC
22 July 2019
Jersey Oil and Gas plc
("Jersey Oil & Gas", "JOG" or the "Company")
31st Supplementary Offshore (Buchan Area) Licensing Round Awards
Jersey Oil & Gas awarded significant acreage containing over
100 million barrels of discovered oil, including the Buchan oil field
Option Agreement with Equinor UK Limited ("Equinor")
Highlights:
· JOG awarded, subject to documentation, 100% working interests and operatorship of three blocks in the Oil & Gas Authority's ("OGA") 31st Supplementary Offshore Licensing Round
· Acreage awarded includes the Buchan oil field and the J2 oil discovery
· Acreage is contiguous with JOG's existing interest in Licence P2170 (Blocks 20/5b and 21/1d) that contains the Verbier discovery
· JOG's acreage interest in the Greater Buchan Area ("GBA"), including P2170, is estimated to contain more than 100 million barrels of oil equivalent ("mmboe") discovered mean recoverable resources plus in excess of 300 mmboe identified mean prospective resources
· Work will now commence on a Field Development Plan ("FDP") with, subject to funding, first oil targeted for 2024 - JOG fully funded to submit the FDP
· Equinor and JOG have agreed a 3 month option over a 50% equity interest in respect of Blocks 20/5d and 21/1a (the "Buchan Blocks")
Andrew Benitz, CEO of Jersey Oil & Gas, commented:
"We are delighted to announce this transformational event. Prior to these awards, JOG's net share of discovered resources in Verbier were estimated at 4.5 mmboe. Today's awards add an estimated 105 mmboe of discovered resources net to JOG, in addition to a material uplift in new prospective resources. This represents a highly significant value enhancing milestone for our shareholders comprising 100% equity interests and operatorship of key development ready assets with the potential to create a major new area hub within the Greater Buchan Area.
These awards are the kind of value creating opportunities available to nimble independent companies operating in the North Sea today and stem from an intensive two-year work effort behind the scenes by JOG to prepare today's winning applications. By way of low-risk accumulation of discovered resource volumes, this is by far the most significant event for JOG since its inception and we are excited to start work on this new project immediately.
We are also pleased to enter into an option agreement with Equinor, which serves to demonstrate JOG's efforts to successfully collaborate and continue to strengthen our working relationship with Equinor as Operator of Licence P2170."
(Sharecast News) - Petrofac shares surged on Wednesday following reports that the Serious Fraud Office has abandoned a criminal investigation into three businessmen who were accused of paying brides in the energy industry.
The SFO had been probing claims that Unaoil - a Monaco-based consultancy that worked with Petrofac, primarily in Kazakhstan between 2002 and 2009 - had paid multimillion pound brides to land contracts in the oil and gas industry.
But The Guardian cited sources earlier as saying that the SFO has dropped the investigation into the trio.
Compliance industry newsletter MLex was the first to report the news, saying on Tuesday that the probe had been halted after three years.
The SFO launched an investigation into Petrofac in May 2017 as part of a wider probe into Unaoil. In February 2019, David Lufkin, Petrofac's former global head of sales, pleaded guilty to 11 counts of bribery linked to contracts worth more than $730m in Iraq and $3.5bn in Saudi Arabia.
SFO spokesman Adam Lilley said the Unaoil investigation "remains active and is ongoing".
"We do not comment on ongoing investigations," he said.
At 1540 BST, the shares were up 14.5% at 463.80p.
SFO drops investigation into trio accused of energy industry bribes
Ata Ahsani and his sons formerly owned and controlled Monaco-based firm Unaoil
Prosecutors have dropped a criminal investigation into three businessmen who had been accused of paying huge bribes in the energy industry, sources with knowledge of the inquiry have said.
The Serious Fraud Office had been investigating claims that Unaoil, a firm formerly owned and controlled by its chairman Ata Ahsani and his sons Cyrus and Saman, paid multimillion-pound bribes to land contracts in the oil and gas industry.
On Tuesday, the SFO declined to say why its investigation into the trio had been dropped.
The termination of the investigation comes as the SFO faces renewed criticism for closing corruption investigations into large multinational firms and its failure to convict business executives.
Last year, the SFO charged four Unaoil employees with conspiring to make corrupt payments to secure contracts in Iraq. The SFO’s prosecution of these employees continues.
The SFO issued summonses against Unaoil as a corporate body over allegations of conspiracy to give corrupt payments. It is unclear if these summonses are still in operation.
The investigation by the SFO into alleged bribery and money laundering by Unaoil and its employees opened in 2016 after a leak of thousands of the firm’s emails to journalists at Australia’s Fairfax media. Police in Monaco raided Unaoil’s headquarters at the SFO’s request.
The first charges from the investigation – against the four employees – came in 2017. Their trial is scheduled to begin in January 2020.
The halting of the Unaoil investigation was first reported by compliance industry newsletter MLex on Tuesday. The SFO said it could not comment on an ongoing investigation.
The Ahsani family and Unaoil declined to comment. Unaoil has consistently denied involvement in bribery, calling the allegations “malicious and damaging”.
Last year, the SFO said it was seeking the extradition of Saman Ahsani, the 43-year-old commercial director of Unaoil, from his home in Monaco. He had not been charged with any offence and it is understood that a warrant for his extradition has been withdrawn.
In February, the SFO was criticised by anti-corruption campaigners after it closed its investigation into alleged bribery by Rolls-Royce employees. On the same day, it announced that it was closing down another investigation alleged corruption by Britain’s biggest drug-maker, GSK.
https://www.theguardian.com/business/2019/jun/25/sfo-drops-investigation-into-trio-accused-of-energy-industry-bribes-unaoil
RNS Number : 2605D
Tekmar Group PLC
25 June 2019
TEKMAR GROUP PLC
("Tekmar Group", the "Group" or the "Company")
FINAL RESULTS 2019
Tekmar Group (AIM: TGP), a market-leading technology provider of protection systems for subsea cable, umbilical and flexible pipes and offshore engineering services, announces its final results for the year ended 31 March 2019 ("FY19").
Highlights:
· Strong result in H2 with FY19 in line with revised market expectations
· Revenue growth of 28.3% with Compound Annual Growth Rate over last five years at 21.5%
· Strong balance sheet, following successful IPO in June 2018, enabling the Group to deliver on its growth and diversification strategy
· Adjusted EPS of 6.0p
· 100% market share of all cable protection systems into European Offshore Wind ("OWF") maintained by Tekmar Energy
· Two acquisitions completed in the year:
Subsea Innovation in September 2018, adding complementary products in shared markets with specialist engineers to aid new product development
Ryder Geotechnical on 28 March 2019 bringing earlier engagement to customers.
· Diversification strategy has broadened the Group's technology offering to 47 products (FY18: 20)
· Market Visibility2 at a record high of £50m a 44% increase year on year
· Long term global outlook in the Group's markets continues to be positive with oil price stable above $50 a barrel and the offshore wind outlook7 up by 51.3%
Full RNS can be read below
https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/TGP/14122652.html
RNS Number : 2678D
Petrofac Limited
25 June 2019
PETROFAC LIMITED
TRADING UPDATE
Petrofac issues the following pre-close trading update ahead of the announcement of its results for the six months ending 30 June 2019 on 28 August 2019.
· Trading in line with prior guidance
· New order intake (1) of US$1.7 billion in the year to date
· Net debt (2) expected to be around US$0.1 billion at 30 June 2019
Ayman Asfari, Petrofac's Group Chief Executive, commented:
"We are trading in line with our prior guidance reflecting solid operational performance across the business.
"We continue to maintain excellent client relationships in all of our markets, although new order intake in the year to date reflects our recent challenges in Saudi Arabia and Iraq. Looking forward, the Group has a busy tendering pipeline in other markets with around US$15 billion of bid opportunities due for award in the second half of the year.
"We are making good progress delivering our strategic objectives. We continue to target best-in-class delivery for our clients and are improving our competitiveness by reducing costs, driving digitalisation, increasing local content and investing in talent. Furthermore, we are well positioned in the second half with good revenue visibility, a strong balance sheet and high levels of tendering activity."
Engineering & Construction (E&C)
Overall, Engineering & Construction results are forecast to be in line with management guidance, with revenues for the full year expected to be around US$4.5 billion and net margins at the low end of guidance.
We have continued to make steady progress delivering our portfolio of projects. In Malaysia, the RAPID project is substantially complete with all units ready for the introduction of gas. On the Upper Zakum Field Development in the UAE, commissioning work at the central and west islands is at an advanced stage. In Saudi Arabia, the Jazan South tank farm is mechanically complete, whilst the Jazan North tank farm and Fadhili projects are nearing mechanical completion. In Kuwait, we are focused on the delivery of priority units on the KNPC Clean Fuels project and water has been introduced into the Lower Fars Heavy Oil plant. We are also preparing for the introduction of power at the BorWin 3 offshore grid connection project in the North Sea. Meanwhile, our engineering, procurement and construction management (EPCm) projects are progressing well: the Al Taweelah Alumina Refinery recently started up, and both Yibal Khuff and the Rabab Harweel Integrated Project are nearing completion.
We have secured new orders worth US$1.6 billion in E&C in the year to date (1H 2018: US$1.6 billion(3)), including a lump-sum engineering, procurement and construction (EPC) contract for the Ain Tsila Development Project in Algeria and the Mabrouk Project in Oman.
Engineering & Production Services (EPS)
Engineering & Production Services is performing in line with expectations, with growth in Projects offsetting lower activity from Operations.
We have secured US$0.1 billion of awards and extensions in the year to date (1H 2018: US$0.5 billion(3)), including new awards and contract extensions in the UK North Sea, Oman, UAE and Iraq.
Integrated Energy Services (IES)
Net production is expected to be approximately 2.1 million barrels of oil equivalent (mmboe) for the first half of the year (1H 2018: 3.1 mmboe), in line with expectations and reflecting divestments in the second half of 2018. The average realised oil price (net of royalties) for the first half is expected to be approximately US$69 per barrel of oil equivalent (1H 2018: US$56/boe), reflecting higher realised prices and production mix.
Financial position
Group backlog stood at US$8.9 billion at 31 May 2019:
31 May 2019
31 December 2018 (3)
US$ billion
US$ billion
Engineering & Construction
7.6
8.0
Engineering & Production Services
1.3
1.6
Group
8.9
9.6
Net debt (2) is expected to be around US$0.1 billion at 30 June 2019 (31 December 2018: US$90 million net cash), reflecting the reversal of temporary favourable working capital movements at the end of 2018, the phasing of tax and dividend payments as well as the purchase of treasury shares. We continue to review options for our remaining non-core assets, consistent with our strategy to enhance returns.
Conference call
Alastair Cochran, Chief Financial Officer, will host a conference call for analysts and investors at 8am today.
Notes
(1) New order intake comprises new contract awards and extensions, net variation orders and the rolling increment attributable to EPS contracts which extend beyond five years.
(2) Net debt comprises interest-bearing loans and borrowings less cash and short-term deposits (i.e. excludes IFRS 16 lease liabilities).
(3) On 1 January 2019, the EPCm business was reclassified from the EPS division to the E&C division. The EPCm business is presented within the E&C division in prior period comparative figures.
Ends
Mohammed Ghazi Al-Mutairi joins Petrofac as Country Chair - Kuwait
Petrofac has appointed Mohammed Ghazi Al-Mutairi as Country Chair, Kuwait, recognising the multiple substantial projects and activities the company has in-country and the strategic importance of Kuwait to the Group.
Mohammed Ghazi Al-MutairiMr Al-Mutairi, who holds a BSc in Chemical Engineering from Kuwait University, brings over 32 years’ experience in the Kuwait oil and gas industry. He has significant leadership experience, having served as Chairman and Board member of a number of major companies in the sector, most recently as the Chief Executive Officer of Kuwait National Petroleum Company (KNPC), and was Chairman of the Gulf Downstream Association.
This appointment is aligned to the continued role Petrofac has in the development of Kuwait’s oil and gas infrastructure and increased demand the company sees helping clients expand both their upstream production and their downstream operations.
In his role as ambassador in-country, Mr Al-Mutairi will represent the Petrofac Group, working closely with the various parties across the entire Petrofac portfolio, in the ongoing delivery and development of the company’s full-service capability offering and operations in Kuwait.
Roberto Bertocco, Chief Commercial Officer, said: “We are delighted to welcome Mohammed to Petrofac. He has played an important role in shaping Kuwait’s downstream sector, leading the implementation of some of the region’s most complex energy projects. This is a key market where our continued focus is on investing in-country and building capabilities for the future to ensure we’re part of the fabric of Kuwait for many years to come.”
Petrofac has been supporting Kuwait’s oil and gas industry since the 1980s with a strong track record in delivery, excellent safety record and focus on enhancing in-country value by supporting local goods and services. Substantial ongoing projects include KNPC’s Clean Fuels Project, partnering with Samsung and CB&I to upgrade the Mina Abdullah refinery, creating a truly world-class facility which operates to high environmental standards and brings production to 454,000 barrels a day. EPC contracts with Kuwait Oil Company include Gathering Centre 32 (GC32) and the Lower Fars heavy oil Project, where operations and maintenance services are also being provided.
The company will report its revenue for Q1 2019 on 25-06-2019.
Petrofac has entered into a collaboration agreement with Marginal Field Development Company (MFDevCo) for the pursuit of opportunities in the recovery of stranded gas resources.
Under the agreement, the companies will work together to engineer, deliver and operate gas to wire facilities for the redevelopment and recovery of marginal gas fields, supporting UK clients in their pursuit to Maximise Economic Recovery.
Petrofac, through its Engineering and Production Services business, will provide engineering support, and input to feasibility studies and opportunity screening, working with MFDevCo to secure projects that will be developed and delivered using MFDevCo's gas-to-wire approach, which includes the use of Siemens' technology.
The approach maximises the recovery of stranded gas resources by using gas to generate electrical power on an offshore platform. Turbines installed on the platform convert the gas into electricity that can then be exported to shore in a cheaper and more efficient way than conventional methods; eliminating the expenditure, loss of value and reliance on pipeline networks.
The agreement allows for Petrofac to provide engineering and asset operations services on all gas-to-wire projects identified by MFDevCo, subject to agreeing terms on a case by case basis. It has an initial term of two years but both parties are viewing this as the basis for a long-term collaboration with benefits that will increase as working practices are cemented and efficiencies increased going forward.
Nick Shorten, Managing Director for Petrofac's Engineering and Production Services business in the Western Hemisphere, said: 'At a time when industry is so firmly focused on extending the life of the UK Continental Shelf, we're delighted to be working with MFDevCo to offer new and existing clients a solution to get more from their gas reserves. By blending our capabilities and expertise, we believe we can provide cost-effective development solutions to unlock the full potential of marginal gas fields within the basin.'
Alison Pegram, Managing Director of MFDevCo, commented: 'Maximising the economic recovery of gas resources currently considered stranded should be central to the move towards a cleaner energy future and gas to wire offers a means to do this. Petrofac has extensive experience in the operation, maintenance and management of gas production facilities in the UK, so we're very pleased to be collaborating with the company for our gas-to-wire initiative as our project negotiations intensify. We believe this provides the final element required to allow us to move forward and demonstrates that, as a group, we have the capability necessary to deliver and operate these projects.'
Petrofac has been ranked second in Oil & Gas Middle East magazine's Top 30 EPC Contractors list for 2019.
This is the ninth year in a row that we have taken one of the top four spots.
The report ranks the region's most prominent contracting companies in the upstream EPC sector, considering factors such as the volume and value of contract wins, along with revenues earned.
Petrofac has secured its third project under a 10-year Framework Agreement with Petroleum Development Oman (PDO) with the award of a procurement services project for the Mabrouk North East Line Pipe Procurement Project in Oman.
The contract, valued at approximately US$75 million, is the latest to be awarded under the agreement signed in 2017 to provide Engineering, Procurement and Construction Management (EPCM) Support Services for PDO’s major oil and gas projects.
The 19-month project scope includes management of line pipe material from sourcing, technical and commercial evaluation, planning and control services with management and co-ordination of interfaces with all parties involved.
Elie Lahoud, Group Managing Director, Engineering & Construction - Oman, Iraq and Saudi Arabia said: “We have a strong track record with PDO in Oman and are delighted to have been awarded this latest project under the long-term framework agreement.
“The procurement and management activities for this project will be undertaken from Petrofac’s Muscat office from where we provide first-class expertise in high-value order management. We continue to maximise the provision of local goods and services which evidences our ongoing commitment to delivering in-country value through each of the projects we undertake in the Sultanate.”
Top 5 of the Top 30 EPC review: The top contractors from our 2018 list
Every year, Oil & Gas Middle Eastcompiles a list of the Top 30 EPC Contractors for the upstream segment. Ahead of the June 2019 issue which will feature this year's edition of the list, we look back at the top contractors from last year's list.
1. Petrofac
Petrofac ranked first on last year’s list after landing some big tickets deals such as an $800mn contract from supermajor BP for the second planned phase of the major Khazzan gas project in Oman. Petrofac will help spike production from the central processing facility to around 1,500 million standard cubic feet per day.
The firm penned a ten-year association with Petroleum Development Oman, which has already fashioned a significant downstream contract, while it also has on-going key projects in Kuwait.
2. Larsen & Toubro
L&T Hydrocarbon Engineering (LTHE) was very visible in 2017-2018. It won an award from Saudi Aramco as part of a consortium with Subsea 7 for three gas production deck modules. The consortium has four on-going projects in the kingdom. LTHE signed a major field development EPC contract with Abu Dhabi’s Al Dhafra Petroleum Operations Company, worth in excess of $342mn. The scope of the contract includes the commissioning of flow lines, gathering facilities and pipelines to transfer crude oil and gas from the Haliba oilfield to a processing facility at Asab. LTHE also snared a big-ticket tie-up with the Kuwait Oil Company last year when it was chosen to build a crude oil transit pipeline from North Kuwait to Ahmadi, with a Q3 2020 completion date. The deal is worth $262mn.
3. SNC-Lavalin
SNC-Lavalin had projects right across the Middle East but Saudi Arabia is a rich seam. As a case in point, the firm’s subsidiary in the kingdom was awarded a five-year framework agreement to provide general engineering services to Al Khafji Joint Operations (KJO), a joint venture between the Aramco Gulf Operations Company and the Kuwait Gulf Oil Company. KJO is responsible for oil and gas exploration, development and production in the offshore area close to the Saudi-Kuwait border. The signed agreement will cover both on-shore and off-shore engineering projects. It also sealed the $2.7bn acquisition last year of the UK’s WS Atkins, a design, engineering and project management consultancy.
4. Wood
Wood’s purchase and absorption of Amec Foster Wheeler, a firm that had 35,000 employees and revenue of more than $7bn in 2016, created a genuine EPC sector big beast. The entity’s expanded global footprint could well see Wood getting among the medals in our list next year. The firm trousered a much-coveted new multi-million dollar, five-year contract to support Saudi Aramco in the delivery of one of its mega-projects, providing engineering and project management services to develop the Marjan oilfield. The front end engineering design (FEED), major increment and overall project management consultancy will be executed from Wood’s Reading, UK, Khobar, Saudi Arabia and India offices. Wood is present in seven countries across the Middle East including the UAE, Kuwait, Iraq and Kuwait and maintains almost 4,000 regional staff.
5. McDermott
McDermott is moving upwards on our list thanks to its merger with another member of last year’s top thirty, the Chicago Bridge and Iron Company (CB&I). The deal, valued at around $6bn, ticks some key boxes for McDermott. Speaking exclusively to Oil & Gas Middle East, the firm’s president and CEO David Dickson said the combination with CB&I gives his firm a wider, more balanced global footprint and diversifies its offering into areas such as onshore EPC work and the LNG sector.
Petrofac's Engineering and Production Services (EPS) business has been awarded two Operations and Maintenance (O&M) contract extensions for long-standing clients worth a combined value of approximately US$32 million.
Petrofac secured a 12-month renewal from Total E&P UK (Total) for the supply of O&M support to its Alwyn and Dunbar platforms in the Northern North Sea - a role it has held for 14 years.
The company has also been awarded a 12-month extension from a major International Oil Company (IOC), under which it will continue to provide offshore and onshore O&M support to one of its platforms in the Central North Sea.
Both contracts will be managed via Petrofac's dedicated 24/7 Operations Hub, through which all its labour supply contracts are managed. The Hub offers flexibility of shared resources across contracts, enabling fluctuating client requirements to be managed in a flexible, cost-effective way.
Nick Shorten, Managing Director for Petrofac's Engineering and Production Services business in the Western Hemisphere, commented: 'These contract renewals reflect the strength and collaborative nature of our long-standing relationships with both IOCs and are testament to the knowledge our teams have gained our clients' assets. We are delighted that each client has demonstrated continued confidence in our ability to maintain safe operations while delivering improvements to production efficiency.'
Petrofac currently supports 45 assets in the North Sea, and 80% of these contracts have been held for a decade or more.
Big Four miners languish amid demand, ESG, capex concerns
LONDON (Reuters) - The world’s biggest diversified miners have yet to see their share prices reflect their role as providers of the minerals needed for a shift to a low-carbon economy.
Mining companies provide minerals such as cobalt used in electric vehicle batteries and copper for increased electrification, and the sector’s balance sheets are in rude health.
Still, many investors are wary. Concerns include the demand outlook from China, the world’s biggest consumer of metals; the sector’s history of wasting shareholders’ money on mergers and acquisitions that never deliver returns; and a patchy record on environmental, social and governance-related (ESG) issues.
Reminders of the dangers include a disaster in Brazil at a Vale tailings dam in January that killed an estimated 300 people, and a U.S. corruption investigation into Glencore, announced in April.
Refinitiv data shows the Big Four diversified miners - Rio Tinto, BHP, Anglo American and Glencore - trading at a lower forward 12-months price-to-earnings multiple than Britain’s FTSE 100.
“All the large mining companies are trading on high free cash flow yields relative to the broader market when you adjust for capital spending on growth projects,” said Nick Stansbury, head of commodity research at Legal & General Investment Management (LGIM).
“This is indicative of the market’s scepticism about the sustainability of those cash flows, the robustness of capital allocation by management and the sector’s challenges around ESG issues.”
James Clunie, fund manager at Jupiter Fund Management, which holds shares in Rio Tinto and BHP, agreed uncertainty around medium-term commodity prices was a deterrent.
“A whole class of people say ‘I’m out’ because of that uncertainty, and that leads to (the stocks’) undervaluation,” he said.
(Graphic: Valuations of the world's top diversified miners png, tmsnrt.rs/2GSdAlN)
For an interactive version of the graphic, click here tmsnrt.rs/2GSDbei.
The same attitude is reflected in the ratings given to the four companies by brokers, with most favouring a fence-sitting “hold” recommendation.
(Graphic: UK mining's 'Big 4' - what do the analysts say? png, tmsnrt.rs/2DIaWgl)
For an interactive version of the graphic, click here tmsnrt.rs/2DIaVsN.
On the flipside, others focus on how the miners have transformed their balance sheets and improved governance.
“Compared to the past, the resources sector is carrying a fraction of the leverage it used to, which should reduce the volatility of the shares,” Evy Hambro, manager of the world’s largest actively managed mining equity fund, BlackRock’s BGF World Mining Fund, told Reuters.
“In addition, the improved capital discipline combined with lower levels of reinvestment has increased the free cash flow available to shareholders and resulted in rising distributions to shareholders.”
BlackRock is the world’s largest money manager, with some $6 trillion in assets. Hambro manages a combined $11.9 billion across several funds.
(Graphic: Rio Tinto - key financial metrics png, tmsnrt.rs/2VDAwgO)
For an interactive version of the graphic, click here tmsnrt.rs/2VEal9z.
(Graphic: BHP Group - key financial metrics png, tmsnrt.rs/2DUpEBh)
For an interactive version of the graphic, click here tmsnrt.rs/2DHI9sc.
(Graphic: Anglo American - key financial metrics png, tmsnrt.rs/2VG8AsA)
For an interactive version of the graphic, click here tmsnrt.rs/2VG8y3W.
(Graphic: Glencore - key financial metrics png, tmsnrt.rs/2VJ0She)
For an interactive version of the graphic, click here tmsnrt.rs/2VIClZK.
LGIM’s Stansbury said the sector was wrestling with several paradoxes.
“They are one of the most crucial industries in the fight against climate change,” he said, referring to the minerals they can produce to roll out electrification and renewable energy.
But extracting those minerals results in high levels of emissions, volumes of water consumption and fatalities, despite promises from major miners to eliminate harm.
Mining can also lift large numbers of people out of poverty by providing well-paid jobs and helping to roll out electrification in emerging economies, but operating in the fragile democracies where some of the richest resources are found can expose miners to corruption allegations.
“It is essential the sector makes further progress on transparency and corruption. Investors need to be confident that the government take from resource extraction is used for the benefit of the local population,” Stansbury said.
Another concern is that the sector’s financial health could be setting it up for a fall.
“Counterintuitively the risks around misallocation of capital are greater now that the sector has largely resolved their balance sheet problems,” Stansbury said.
“At the bottom of the last cycle the sector just didn’t have the money to spend unwisely on bad projects. Now they do, so it’s no surprise that these concerns are rising again in investor’s minds.”
Vodafone agrees Telefónica Deutschland wholesale deal to secure Liberty merger
LONDON (Reuters) - Vodafone said on Tuesday it had agreed to supply high-speed broadband to Telefónica Deutschland to help secure European Commision approval for its merger with Liberty Global’s cable networks in Germany and Central Europe.
Telefónica Deutschland competes in German mobile with market leader Deutsche Telekom and Vodafone.
Tullow oil Tweeted today, "Tullow Oil plc, Peru: Z-64 (100% Tullow Operated), adjacent to Z-38, holds a proven but under-exploited offshore basin with active seeps. We will be reprocessing the existing 3D and 2D seismic data in the initial phase, and also have plans to acquire additional seismic."
RNS Number : 9469X
Wood Group (John) PLC
03 May 2019
Wood closes sale of Terra Nova Technologies
Wood today confirms it has completed the sale of conveyor systems business Terra Nova Technologies (TNT), as originally announced on 25 March. Following a strategic review of its portfolio, Wood identified potential asset disposals which are expected to generate proceeds in the range of c$200m-c$300m. This transaction makes a good contribution to the asset disposal programme.
The TNT business was sold to Cementation Americas, a firm owned by Murray & Roberts Holdings Ltd, for $38m, representing a multiple of 5.2x 2018 EBITA of $7.3m.
Wed, 1st May 2019 14:58
RNS Number : 7884X
Petrofac Limited
01 May 2019
Final Dividend - exchange rate
Petrofac Limited hereby confirms that further to the final results announcement issued on Thursday, 28 February 2019, the UK Sterling equivalent of the final dividend of 25.30 US cents per ordinary share will be 19.34 pence per Share, based on an exchange rate of GB£1 = US$1.3079.
Subject to shareholder approval at the Annual General Meeting, the final dividend will be paid on Friday, 24 May 2019 to shareholders on the register at the close of business on Friday, 26 April 2019.
Standard Chartered posted on Tuesday a 10 percent rise in its first-quarter profit, helped by a surge in corporate banking income and a drop in expenses, and announced an up to $1 billion share buyback program.
Petrofac has announced that it has secured several new contracts and extensions in the region, to provide training solutions for clients in the UAE, Oman and Iraq.
“These contract awards demonstrate the continued expansion of our differentiated training services offering in key countries, where supporting the national workforce development agenda is core to our approach. Petrofac has a strong track record in delivering large scale projects and solutions focused on the transfer of knowledge and technology, that have significant contribution to delivering in-country value,” said Karim Osseiran, Petrofac’s global head (Training Services).
According to a statement, in Oman, the company won two new contracts for the provision of HSE and technical training solutions and a contract extension for the provision of assessment services.
A new contract has also been awarded for the delivery of an internationally accredited operations and maintenance training programme, which will be delivered via the Takatuf Petrofac Oman (TPO) training centre in Muscat. The TPO facility was opened by Petrofac and its partner Takatuf Oman in late 2018, to provide training for the country’s next generation of workforce for the industry.
In the UAE, the firm secured a contract for the provision of on-the-job technical training and other specialised services to support a client’s oil and gas training facility.
In its statement, Petrofac notes that a British oilfield services company remains committed to the continuous development of the Iraqi workforce and, accordingly, that a contract has been renewed to deliver training solutions.
Petrofac awarded US$1 billion EPC project in Algeria
Petrofac has been awarded a contract worth around US$1 billion with Groupment Isarene, the joint operating group set up by Sonatrach, Petroceltic and Enel, for the Ain Tsila Development Project in Algeria.
Located around 1,100 kilometres south-east of Algiers, the Ain Tsila field will produce gas, LPG and Condensate, for the local Algerian market and for export. Under the terms of the 42-month contract, the lump-sum engineering, procurement and construction (EPC) project scope of work includes commissioning, start-up and performance testing.
E S Sathyanarayanan, Group Managing Director, Engineering & Construction, commented: “I am delighted we have the opportunity to be working with the Groupement Isarene partners to deliver this strategically important project.
“This award builds on Petrofac’s significant track record in Algeria where we have been operating successfully for more than 20 years, with a strong record for project execution and the development of local capability. We are focused on delivering an effective, safe solution that meets our high standards and continues our commitment to the local energy sector.”
Petrofac’s EPC activities in Algeria include Sonatrach’s Tinrhert Field Development Project, along with the Alrar and Reggane projects that commenced production last year.