U.S. to Sell New Onshore Alaska Oil Leases "Late This Year"

The U.S. government plans to sell oil leases on public land in Alaska's national petroleum reserve "late this year," the Bureau of Land Management said Tuesday.

The BLM said it plans to sell leases on tracts of land in the northeast and northwest areas of the reserve. In preparing for the sale, the agency issued a draft "determination of adequacy" showing that the leases meet the requirements of the National Environmental Policy Act.

The lease sale is part of an effort by the Obama administration to conduct annual oil and natural gas lease sales in the reserve, the agency said.


Posted courtesy of Rigzone.Com

Schlumberger Finalizes $11 Billion Dollar Merger with Smith International

Schlumberger has closed its merger with Smith International. As previously announced, each Smith stockholder will receive 0.6966 shares of Schlumberger common stock in exchange for each Smith share, with cash paid in lieu of any fractional shares of Schlumberger common stock. Schlumberger has issued approximately 176 million shares pursuant to the merger, representing a transaction value of approximately $11 billion. As a result, former Smith stockholders own approximately 12.9% of Schlumberger's outstanding shares of common stock.

The merger widens Schlumberger's lead as the world's largest oilfield services company based on revenue and market capitalization. Smith's drilling technologies, other products and expertise complement a variety of Schlumberger technology offerings, while the geographical footprint of Schlumberger will enable the merged companies to extend joint offerings worldwide.

Andrew Gould, Chairman and Chief Executive Officer of Schlumberger, commented, "I am extremely pleased to welcome Smith employees, customers and shareholders to Schlumberger. We are ready to begin the process of realizing the synergies made possible by this merger and our focus in the near term is on the execution of plans that have been laid out these past few months while continuing to deliver safety and quality in our field operations. Beyond the near term, the merger will allow us to address new markets and develop new technologies, and employees from both companies will have key roles to play in unlocking the value brought by the combination."

John Yearwood, former Chief Executive Officer of Smith, said, "This is an exciting time for all the former Smith International employees as we aggressively expand our service offerings through the rapid implementation of the identified growth strategies while continuing to focus on our customers' everyday needs. The quality of the integration planning process has been outstanding and everyone is looking forward to exceeding expectations."


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Petrobras to Hire Up to 28 New Rigs for Ultra-Deepwater Exploration

Petrobras' Executive Board has approved the strategy to hire up to 28 new drilling rigs to be built in Brazil, with increasing national content, and to be used for ultra deepwater exploration, including the fields located in the pre-salt layer. The rigs are slated to be delivered between 2013 and 2018. A first phase foresees the hiring of a minimum lot of 9 rigs. Of this first lot, seven vessel type units will be built, based on consolidated technologies widely used in the global market, and constructed in a single shipyard. Contracting these seven rigs from a same shipyard will allow the winning bidder to make the investments that are required in order for it to construct the needed infrastructure and to achieve the necessary economies of scale. The two other units, which may be either vessel.....Read the entire story

Mexico's Calderon: BP's Deepwater Find A Wake Up Call

Mexico needs more reforms to rapidly tackle the deep waters of the Gulf of Mexico and shore up plummeting domestic oil production, President Felipe Calderon said Thursday. Calderon said BP PLC's giant deepwater oil discovery in the Tiber field, announced Wednesday, should serve as a wake up call for Mexico. State run Petroleos Mexicanos is legally blocked from teaming up with foreign oil companies that have more experience in the area."I hope this sign from the Gulf of Mexico tells us something," said Calderon in a radio interview.....Read complete article

Oil Rises on Stock Rally, Caps Biggest Monthly Gain Since May

"Oil Rises on Stock Rally, Caps Biggest Monthly Gain Since May"
Crude oil rose, heading for its biggest monthly gain since May, as equities increased and a weaker dollar enhanced the appeal of commodities. Oil climbed as much as 3.3 percent after U.S. and European stocks rebounded....Complete Story

SocGen Technical Analyst Says "Oil May Fall to $28 a Barrel"
Crude oil is set to drop to $28 a barrel in New York in the second quarter, according to technical analysis by Societe Generale SA. Prices may rally until meeting resistance at $71 a barrel and....Complete Story

"Petrobras Invests Heavily in Offshore Drilling"
With massive deepwater finds in the pre-salt layer, as well as the Campos and Santos Basins, Brazilian state-owned Petrobras pledged an investment of $174.4 billion for 2009 to 2013. With a firm commitment to....Complete Story

"Kuwait Raises Oil Output Capacity"
OPEC member Kuwait has boosted its oil production capacity to three million barrels per day and aims to raise it to four million by 2020, a top oil executive said on Monday. "We have the capability to....Complete Story

SBM Suffers 14.6% Profit Slide, OPEC Considers Next Cut

"SBM Suffers 14.6% Profit Slide"
Offshore contractor Single Buoy Moorings reported final results for 2008 in line with its preliminary announcement with net profit of US $228 m which was down 14.6% from $267 m in 2007....Complete Story

"OPEC February Production Down 28.07 Million Per Day"
The 12 members of the Organization of the Petroleum Exporting Countries pumped an average 28.07 million barrels per day (b/d) in February, as the oil producer club continued its efforts to slash oversupply and prevent oil prices falling further....Complete Story

"Oil Rises More Than $4 as OPEC Members to Consider Fourth Production Cut"
Crude oil rose more than $4 a barrel, the biggest gain in three weeks, before OPEC meets this weekend to consider a fourth production cut....Complete Story