Saudi Cabinet approves company law reforms to improve investment environment

Oil Updates – Crude Slides; Nigeria Raises $482 Million From Oilfield Licensing; Exxon and Imperial sell shale assets

RIYADH: Oil prices fell on Wednesday after rising in the previous three sessions as the market struggled between worries about the global economy and global oil reserves.

Brent futures for August fell 84 cents, or 0.7%, to $117.14 a barrel at 0444 GMT. The August contract will expire on Thursday and the more active September contract was at $113.17, down 63 cents, or 0.6%.

U.S. West Texas Intermediate crude futures slid 54 cents, or 0.5%, to $111.22 a barrel.

Nigeria raises $482m from marginal oilfield licenses

Nigeria has raised more than $482 million through the issuance of oil prospecting licenses after offering 57 fields for auction, the oil regulator said on Tuesday.

The Nigerian Upstream Petroleum Regulatory Commission said more than 70% of winners had paid in full for their licenses, two years after seeking bids for the oil blocks. He did not specify the number of licenses issued.

Marginal fields are smaller oil blocks located onshore or in shallow water and are usually developed by local companies.

The NUPRC, which was set up last year after Nigeria passed a new petroleum law, said 30 oil fields had been awarded between 1999 and 2010, with 17 in production. The last round of 57 oilfields started in 2020.

Nigeria’s oil minister said on Friday that after meeting with oil companies, he expects to see an improvement in the sector that will see Africa’s top producer meet its OPEC production quota by the end of the year. august.

Exxon and Imperial will sell shale assets in Canada

US oil majors Exxon Mobil Corp. and Imperial Oil Ltd. announced on Tuesday that they would sell their Montney and Duvernay shale oil and gas assets in Canada to Whitecap Resources Inc. for $1.48 billion.

Exxon and Imperial, which jointly own the assets, began marketing them earlier this year, hoping to capitalize on a rebound in oil and gas prices.

The assets were valued as high as $1 billion in January by industry insiders.

A sharp rise in commodity prices since then, with Russia’s invasion of Ukraine fueling global supply concerns, has pushed up the value of oil and gas properties in North America.

Imperial’s share of the sale will be about $729 million, the companies announced on Tuesday.

Assets sold include 567,000 net acres in the Montney Shale Play, 72,000 net acres in the Duvernay Basin and additional acreage in other areas of Alberta.

(With contributions from Reuters)

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