Exxon Mobil natural gas fields to be written down by ~$20 billion

[wemay]

Bloomberg: Even Exxon Mobil Is Capitulating to Peak Oil Demand.

Even Exxon Mobil Is Capitulating to Peak Oil Demand

The most stalwart of producers seems to be having doubts about the future of crude.

www.bloomberg.com

 

[SeaJay]

What this means is that Exxon now believes that the future value of the product from its natural gas fields is $20B lower than they previously had estimated. This previous estimate would have been carried on its books as an asset, the new value of that asset is now lower, as well as net worth of the entity.

Only time will tell what the asset is actually worth when it is sold for cash.

 

[Danno]

Alternate headline "Exxon is Adhering to GAAP"

1st headline sounds more woke, and gets more clicks.

 

[ragtoplvr]

Since my current home is heated by natural gas,. I just replaced the system with a new high efficiency unit. I do hope I continue to have natural gas for the next 15 years. After that, I probably will not care with my family history.

 

[Snagglefoot]

Without getting political, the woke fans are confusing capitulation with an over abundance of natural gas which crashed the price.

 

[ragtoplvr]

I worry they will discontinue the distribution system at some point due to leaks and age, and no payback for replacing it.

Rod

 

[wemay]

Alternate headline "Exxon is Adhering to GAAP"

1st headline sounds more woke, and gets more clicks.

The real headline as printed by Bloomberg was Exxon Mobil Capitulating to Peak Oil Demand. I just wanted to share what Exxon Mobil is quoted as saying they will do. Somewhat less "woke" and definitely not click bait.

 

[OVERKILL]

Without getting political, the woke fans are confusing capitulation with an over abundance of natural gas which crashed the price.

COVID has also had a massive effect on the oil industry, consumption is way down and that's going to impact all of them. Gas demand in power generation isn't going anywhere, particularly with all these "Green Recovery" plans which absolutely hinge on gas if they aren't nuclear in nature.

 

[Danno]

The real headline as printed by Bloomberg was Exxon Mobil Capitulating to Peak Oil Demand. I just wanted to share what Exxon Mobil is quoted as saying they will do. Somewhat less "woke" and definitely not click bait.

I understood that you were quoting Bloomberg.
My statement stands.

 

[Danh]

Let’s also keep in mind that, when taking a write-down of this magnitude, there’s absolutely no incentive to undershoot: earnings for the year are going to be trashed anyway so write the asset down to the lowest level defensible.

 

[4WD]

Not one mention they will soon add the 5th and 6th drill ships to Guyana where one discovery after another are being developed … massive reserves just starting to come on stream …

 

[4WD]

COVID has also had a massive effect on the oil industry, consumption is way down and that's going to impact all of them. Gas demand in power generation isn't going anywhere, particularly with all these "Green Recovery" plans which absolutely hinge on gas if they aren't nuclear in nature.

It’s also difficult for these international companies to travel and have contractor specialists enter countries to do their jobs … they will slow down and down size in the near term. I’d expect the majors will settle in on a smaller more specialized workforce and handle ups and downs with experienced consultants

 

[KneeGrinder]

I was going to ask who was contracted by Exxon/Mobil'e as their deep water discovery drill ship, but I decided to not be so lazy and use my Satellite for all its worth!

Noble Corporation was contracted for the 5th, https://guyanapetroleumdigest.ca/20...noble-sam-croft-for-offshore-guyana-oil-hunt/

ExxonMobil announces sixth oil discovery offshore Guyana | ExxonMobil

Exxon Mobil Corporation (NYSE:XOM) announced today positive results from its Ranger-1 exploration well, marking ExxonMobil’s sixth oil discovery offshore Guyana since 2015.

corporate.exxonmobil.com

AND....The waters get murky!

From the browser link above, "Sixth Discovery", Esso Exploration is an affiliate of ExxonMobil. So, for the Sixth drill ship they used their own affiliate.

The Stabroek Block is 6.6 million acres (26,800 square kilometers). Esso Exploration and Production Guyana Limited is operator and holds 45 percent interest in the Stabroek Block. Hess Guyana Exploration Ltd. holds 30 percent interest and CNOOC Nexen Petroleum Guyana Limited holds 25 percent interest.

" CNOOC Nexen Petroleum Guyana Limited"

BNamericas - CNOOC Nexen Petroleum Guyana Ltd. (CNOOC Nex...

CNOOC Nexen Petroleum Guyana Ltd., a subsidiary of Canadian oil and gas company Nexen, and ultimately owned by Hong Kong-based CNOOC Limited, is an energy fi...

www.bnamericas.com

"CLEAR AS MUD NOW"? Bad, Bad, Bad, Too many hands in the cookie jar, and some of the hands, well... I'll break rules if I continue. I did not dig into the other 5 Discoveries, just this sixth claim.

 

[KneeGrinder]

Geothermal will be mandated someday on new construction and will outdate Nat Gas for home heating. The Nat Gas Glut has been in excess for a decade or so.

Just think of what we will be using for TP since it seems to be on the shortage list again. lol

 

[4WD]

I was going to ask who was contracted by Exxon/Mobil'e as their deep water discovery drill ship, but I decided to not be so lazy and use my Satellite for all its worth!

Noble Corporation was contracted for the 5th, https://guyanapetroleumdigest.ca/20...noble-sam-croft-for-offshore-guyana-oil-hunt/

ExxonMobil announces sixth oil discovery offshore Guyana | ExxonMobil

Exxon Mobil Corporation (NYSE:XOM) announced today positive results from its Ranger-1 exploration well, marking ExxonMobil’s sixth oil discovery offshore Guyana since 2015.

corporate.exxonmobil.com

AND....The waters get murky!

From the browser link above, "Sixth Discovery", Esso Exploration is an affiliate of ExxonMobil. So, for the Sixth drill ship they used their own affiliate.

The Stabroek Block is 6.6 million acres (26,800 square kilometers). Esso Exploration and Production Guyana Limited is operator and holds 45 percent interest in the Stabroek Block. Hess Guyana Exploration Ltd. holds 30 percent interest and CNOOC Nexen Petroleum Guyana Limited holds 25 percent interest.

" CNOOC Nexen Petroleum Guyana Limited"

BNamericas - CNOOC Nexen Petroleum Guyana Ltd. (CNOOC Nex...

CNOOC Nexen Petroleum Guyana Ltd., a subsidiary of Canadian oil and gas company Nexen, and ultimately owned by Hong Kong-based CNOOC Limited, is an energy fi...

www.bnamericas.com

"CLEAR AS MUD NOW"? Bad, Bad, Bad, Too many hands in the cookie jar, and some of the hands, well... I'll break rules if I continue. I did not dig into the other 5 Discoveries, just this sixth claim.

They keep coming

Exxon makes 18th discovery offshore Guyana

Exxon Mobil Corp <XOM.N> said on Tuesday it made its 18th discovery offshore Guyana, as the largest U.S. oil producer continues to develop one of the world's most important new oil and gas blocks in the last decade.

www.reuters.com

Number 6 drill ship will be from Stena … 2nd rig from them to run along side with from Noble …

 

[KneeGrinder]

I need to get my glasses fixed! I didn't think any of the majors owned a discovery driller.

The Stena Carron Drillship is managed by Stena Drilling Ltd., owned by Stena Carron Lux 3 S.a` r.l. and became operational in 2008.

It appears there is alot of untapped reserves down there.

I wonder who will be awarded the contract for the platform rigs.

 

[Dinoburner]

I worry they will discontinue the distribution system at some point due to leaks and age, and no payback for replacing it.

Rod

No worries, demand will continue for the foreseeable future.

 

[Snagglefoot]

Geothermal will be mandated someday on new construction and will outdate Nat Gas for home heating. The Nat Gas Glut has been in excess for a decade or so.

Just think of what we will be using for TP since it seems to be on the shortage list again. lol

Roger that on TP. None to be had north of the border from your place. Luckily we have a lot of trees and some pulp mills.

 

[4WD]

Geothermal will be mandated someday on new construction and will outdate Nat Gas for home heating. The Nat Gas Glut has been in excess for a decade or so.

Just think of what we will be using for TP since it seems to be on the shortage list again. lol

There was this couple who had a 4000 SF home on a small ranch outside of Crawford Texas. Using two 300’ wells … and a home designed by an environmental architect- they say the electric bill was 20% of others nearby

 

[KneeGrinder]

Roger that on TP. None to be had north of the border from your place. Luckily we have a lot of trees and some pulp mills.

Walmart in Ponderay has been trying to keep up stock and doing a reasonable job. Costco in CDA, don't even try, thats if your allowed across the boarder. I still don't see any White plates W/ red letters from Alberta with ice chests strapped to the roof! Silly Canadian's going to Costco, lol