Oil Daily | Shell, BPCL, and Nigeria Drive Key Developments in Global Oil Production and Trade
Saturday, Mar 8, 2025 7:01 am ET
1min read 【Global Oil Supply and Demand】
Shell has commenced oil production from Phase 4 of the Gumusut-Kakap-Geronggong-Jagus East deepwater project offshore Malaysia. This new development, involving subsea tie-backs and multiple wells, contributes to Shell's commitment to increase upstream projects between 2023 and 2025, adding a potential 500,000 barrels of oil equivalent per day at peak production.
India's BPCL plans to issue a tender to purchase U.S. wti crude over four consecutive months to diversify its oil imports amid reduced availability of non-sanctioned Russian supply. Indian refiners are increasing U.S. crude imports, following recent increases in U.S. oil exports to India, which have reached a two-year high.
Higher exports and demand from Nigeria's Dangote refinery have led to Nigerian oil production surpassing its OPEC quota by 70,000 barrels per day in February. The increase in Nigerian and Iranian output raised total OPEC production last month, with Nigerian authorities clamping down on oil theft to support output growth.
Indonesia is transitioning from diesel to LNG in power plants, boosting natural gas demand. A $1.5 billion project has been launched to distribute LNG on a small scale to power plants, and Indonesia may turn to LNG imports later this decade. The Abadi LNG project has garnered interest from potential buyers, despite historical delays.
【Oil-Producing Countries Dynamics】
Russia's attack on Ukrainian energy infrastructure led to damage at Naftogaz's gas production sites. The Ukrainian firm is working to restore operations despite ongoing threats. This attack comes amid intensified Russian actions against Ukrainian gas sites and reciprocal Ukrainian drone attacks on Russian refineries.
【Company News】
Shell has resumed production from the Penguins field in the UK North Sea, utilizing a new FPSO facility. This move aligns with Shell's strategy to continue investing in oil and gas production while selectively investing in renewable energy solutions. CEO Wael Sawan emphasized the need for hydrocarbons to meet global energy demands.
Shell has commenced oil production from Phase 4 of the Gumusut-Kakap-Geronggong-Jagus East deepwater project offshore Malaysia. This new development, involving subsea tie-backs and multiple wells, contributes to Shell's commitment to increase upstream projects between 2023 and 2025, adding a potential 500,000 barrels of oil equivalent per day at peak production.
India's BPCL plans to issue a tender to purchase U.S. wti crude over four consecutive months to diversify its oil imports amid reduced availability of non-sanctioned Russian supply. Indian refiners are increasing U.S. crude imports, following recent increases in U.S. oil exports to India, which have reached a two-year high.
Higher exports and demand from Nigeria's Dangote refinery have led to Nigerian oil production surpassing its OPEC quota by 70,000 barrels per day in February. The increase in Nigerian and Iranian output raised total OPEC production last month, with Nigerian authorities clamping down on oil theft to support output growth.
Indonesia is transitioning from diesel to LNG in power plants, boosting natural gas demand. A $1.5 billion project has been launched to distribute LNG on a small scale to power plants, and Indonesia may turn to LNG imports later this decade. The Abadi LNG project has garnered interest from potential buyers, despite historical delays.
【Oil-Producing Countries Dynamics】
Russia's attack on Ukrainian energy infrastructure led to damage at Naftogaz's gas production sites. The Ukrainian firm is working to restore operations despite ongoing threats. This attack comes amid intensified Russian actions against Ukrainian gas sites and reciprocal Ukrainian drone attacks on Russian refineries.
【Company News】
Shell has resumed production from the Penguins field in the UK North Sea, utilizing a new FPSO facility. This move aligns with Shell's strategy to continue investing in oil and gas production while selectively investing in renewable energy solutions. CEO Wael Sawan emphasized the need for hydrocarbons to meet global energy demands.
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