Copyright of the Daily Oil Bulletin 2017
DOB Morning Briefing
Here’s your early morning summary of the latest oil and gas news — a concise look at what you need to start your day in the know. Get more detailed, contextual information in the noon-hour DOB, or view the continuous feed of articles all morning at www.dailyoilbulletin.com.
DOB launches Intelligence Essentials package
- The Daily Oil Bulletin has provided trusted insight, intelligence and analysis of Canada’s oil and gas industry for over 75 years. Today, we launch our new DOB Intelligence Essentials package, which allows members to gain unparalleled insight on Alberta’s oilsands industry, as well as new data sets that deliver details on project opportunities. Read more in the noon-hour edition of the DOB.
- Access the Intelligence Essential tools from the Explore tab on the DOB homepage, or from the right-hand sidebar navigation on the inside article pages.
- On Friday, there were 242 active rigs (defined as rigs that are drilling, rigging up or moving), compared to 250 active rigs the day prior, as reported by Rig Locator. There were 524 rigs down on Friday, for an overall activity rate of 32 per cent.
Brent drops towards $59 on dollar, stock builds
- Brent crude oil fell towards $59 a bbl on Monday as the dollar strengthened and a supply glut pushed global oil inventories to record highs.
- Brent was down 35 cents at $59.38 a bbl by 1130 GMT. The North Sea crude oil futures contract fell 4.6 per cent last week in its biggest decline since the week ended Jan. 9. U.S. crude was up five cents a bbl at $49.67. It closed down $1.15 on Friday, ending a third week of declines.
Derailed Canadian National crude train still burning
- A Canadian National Railway Company train carrying crude oil that derailed near the northern Ontario community of Gogama early on Saturday is still on fire, the company said late on Sunday.
- The derailment is CN’s second in the region in just three days and the third in less than a month, Reuters reported. It was the latest in a series of North American derailments involving trains hauling crude oil, raising concerns about rail safety.
- The railway said it confirmed that 38 cars were involved in the derailment. The train had 94 cars containing crude oil. CN did not yet have a definitive count of the number of cars that had caught fire. CN said the crude oil on the train originated in Alberta and was destined for eastern Canada.
NuVista production climbs
- For the fourth quarter of 2014, NuVista Energy Ltd.’s average production was 23,165 boe per day, up from 18,034 boe per day for the fourth quarter of 2013 and 18,030 boe per day for the third quarter of 2014. The increase in production of 28 per cent from the fourth quarter of 2013 is due to the strong performance of new and existing Wapiti Montney wells. This growth rate was partially offset by the sale of non-core properties in 2014.
- The company executed an annual capital program of $312 million. It drilled 21 (19.7 net) wells in its Montney condensate rich resource play while constructing and starting production in its Bilbo block compressor station and trunk lines.
- NuVista announced in early 2015 that it had lowered its 2015 capital budget to a range of $270 to $290 million from the original budget of $340 to $380 million announced in November 2014. Spending for the first half of 2015 will be approximately 50 to 60 per cent of the annual total. Activity for the first quarter of 2015 includes running two to three drilling rigs in the Wapiti area, ongoing completion and well tie-in activities, and constructing the Elmworth compressor station.
Crew reports Q4 results
- Crew Energy Inc. reported average production in 2014 of 24,205 boe per day, with fourth quarter volumes averaging 20,869 boe per day. Through the disposition of two Alberta-based asset packages, the company sold more than 10,600 boe per day in 2014, or 39 per cent of its 2013 average production, and realized total cash proceeds of $372 million, strengthening its balance sheet.
- The company’s 2015 capital program of up to $185 million is structured to allow Crew to maintain financial strength while enabling it to move quickly and adjust activities as project economics warrant and prove additional prospectivity for future development. The company continues to monitor capital spending in the current depressed commodity price environment and believes that lower projected costs could lead to improving efficiencies.
Bellatrix reserves rise
- Bellatrix Exploration Ltd. benefited from the largest capital program in its history, which provided 18 per cent growth in 2P reserves to a total of 250 million boe. Proved reserves grew 30 per cent year-over-year to 161 million boe. Proved developed producing reserves climbed 37 per cent to 74 million boe.
Arcan director resigns
- Arcan Resources Ltd. announces that Murray Hinz has resigned as a director of the company.