Repsol reported stronger first-half upstream earnings as oil and gas production climbed to its highest level in two years, supported by new production from Alaska’s Pikka development and continued progress across its global exploration and production portfolio.
Venezuela is attracting renewed interest from global oil majors after sweeping reforms opened its energy sector, but rebuilding its corroded infrastructure will require more than $100 billion and at least a decade, OilPrice.com reported.
Petróleos de Venezuela (PDVSA) and Spain’s Repsol have signed an agreement to increase oil and gas production in Venezuela, including new exploration opportunities around Lake Maracaibo, Reuters reported on Tuesday.
Santos and partner Repsol have achieved oil production from the first phase of the Pikka development on Alaska’s North Slope, the companies announced on Monday.
Repsol signed an agreement with the Venezuelan Ministry of Hydrocarbons and with state-owned Petróleos de Venezuela (PDVSA) to regain control of operations and increase oil production at Petroquiriquire field under certain conditions.
“This equity split reflects the contributions and strategic alignment of both parties in the creation of a market-leading entity in the UKCS, with a projected 2025 production of approximately 130,000 barrels of oil equivalent per day”, Repsol said in a statement online announcing completion.
The combined entity will be owned by Repsol E&P Group (45%) and NEO UK (55%) and is positioned to become one of the largest producers in the UK Continental Shelf with output of approximately 130,000 boepd in 2025, according to the companies’ projections.
Halliburton will provide subsurface technology, drilling and completion services for producing assets, as well as digital solutions for new developments. The company will deliver a rigless intervention framework for well construction and production, as well as support for plug and abandonment (P&A) operations.
The Repsol-NEO statement added, “Aligned with market standards in the UKCS, Repsol E&P will retain a [decommissioning] funding commitment up to a nominal amount of $1.8 billion, representing approximately 40 percent of the decom liabilities related to its legacy assets. Repsol E&P will continue to provide decommissioning security for existing Repsol E&P legacy assets”.
Spanish energy company Repsol has reached a FID on its Ecoplanta project to build a facility to convert non-recyclable municipal waste into sustainable methanol in Spain, the company announced on Wednesday.