Gulf of Mexico: Shelf Life

New decommissioning regulations threaten the survival of offshore operators in the name of protecting U.S. taxpayers. But how great is the actual risk? By Annie Gallay | Oil & Gas Investor Small independent E&Ps operating in the Gulf of Mexico’s Outer Continental Shelf are struggling to find their sea legs as they cope with volatile commodity prices, and new regulations regarding decommissioning of offshore facilities could take them out at the […]

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Year in Review: The Biggest Financial Headlines of 2016

From Brexit to the Wells Fargo scandal, these business stories defined 2016. By John Divine| Us World News & Report Staff Writer The year 2016 did not want for financial news. A comprehensive accounting of the business stories that broke over the last 12 months could fill a book – but since most people would rather move on with their lives and see what 2017 has in store, a brief […]

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European Refining – Part II, M&A Market

There is no price low enough – or is there? How the M&A market for European refining was wiped out in a flash     Introduction While the European refining sector had been declining for years, the high margin environment and economic robustness of the 2004-2008 “golden age” gave the sector a new lease on life. A wave of M&A deals allowed international oil companies (“IOC”) and independent refiners to offload […]

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With OPEC Production Deal Threatening to Leak Oil, Will Shale Producers Capitalize?

OPEC countries announce record high production, but the potential for a deal breaker remains, and that’s making oil investors skittish. By Brian O’Connell TheStreet With the OPEC decision to curb oil production already at risk, some oil experts say shale oil producers could be a big beneficiary. Here’s some background. Last week, OPEC announced that participating countries would curb oil production of 1.2 million barrels per day. Additionally, major oil […]

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Opportune Tech Talk-The SAP CM Forum

A few weeks ago, Opportune attended the SAP Commodities Management (CM) Forum in Heidelberg. In our continued aspiration to be at the forefront of Commodity Management and Energy Trading, we have been attending this forum for a few years now and in that time the number of attendees has grown steadily (up to 80 this year), as has the diversity of organisations and industries represented. The SAP proposition is that […]

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Be Prepared

Midstream management should start getting ready now for new accounting guidelines that will take effect in 2018 and 2019 financial reports. By Kurt King With the challenges the energy industry and midstream sector have endured over the past two years, no one wants to have to respond to more change—particularly due to non-energy specific accounting guidelines. But this is fair warning to begin preparing now: Current U.S. Generally Accepted Accounting […]

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The US Carbon Tax: What Can You Expect?

Proposals promise to deliver significant operational costs, market implications to the US refining industry. By Kip Shore The international treaty seeking to combat climate change—known as the Paris Agreement—was preceded by the Kyoto Protocol of 1997, which set target reductions of greenhouse-gas (GHG) emissions and of which a number of countries opted out or failed to meet the target schedules. Unlike the Kyoto Protocol, nearly 200 countries signed the newer […]

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2017 US Refining Forecast: Lean Times Ahead

A challenging commodity price environment and increasing fuels regulations will combine to keep U.S. refiners under pressure in 2017. By Matt Flanagan The 2016 U.S. refining market proved to be a very challenging environment, as evidenced by refining margins roughly half of their 2015 levels. A few independent refiners experienced losses in 2016. Demand for refined products, specifically gasoline and diesel, remained generally flat over 2015 levels, nor did the […]

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European Refining–Part I, Historical Perspective and Assessment

How European refining became a zombie sector Introduction Europe’s refining industry has been under stress for an astonishing four decades. Today, the European product market is awash in product from Russia, the US, and the Middle East, and the refining sector is characterised by overcapacity, underutilization, thin margins, and shifting ownership. In a series of three articles, Opportune LLP (“Opportune”), a leading international energy consulting firm, explores the complex dynamics […]

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Lower Prices Can Impact E&P Acquisitions

In the higher commodity price environment of 2010 to 2014, upstream companies (E&Ps) either sold gathering systems to raise capital and/or incentivized midstream companies to construct assets for their benefit. This resulted in E&Ps agreeing to long-term contracts with minimum volume commitments, dedicated acreage and in some cases guaranteed cash flow. Midstream ownership of gathering systems can be a win-win for both the midstream and E&P companies. Operating the gathering […]

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