BP and Equinor Spending Steady

Wednesday, November 28, 2018

The spending plans of oil majors BP and Equinor are unaffected by the more than 25 percent drop in oil prices since early October, their CEOs said on Wednesday.

Oil and gas companies were boosted over the first nine months of the year by a recovery in crude prices as years of cost cuts started to kick in. But the drop in oil prices from more than $85 a barrel in early October to around $60 this week has revived concerns over their long-term recovery.

"We have no plans to take down any projects because I don’t see a change in the mid-to-long-term outlook," Equinor Chief Executive Eldar Saetre told Reuters on the sidelines of a carbon conference in Edinburgh.

He added that Equinor's portfolio could generate cash at oil prices below $50 a barrel. In October Equinor cut its spending for 2018 to $10 billion from $11 billion through cost cuts.

BP chief Bob Dudley was similarly resolute.

"We’re planning the future of BP and always have through the cycle on $50 to $60 (a barrel), so it (the oil price) is not changing our capital investment plan. That hasn’t changed at all," he told reporters in Edinburgh.

However, Dudley said the company might reprioritize some projects as a results of the slump in crude prices. BP said it would spend between $15 billion and $17 billion next year.


(Reporting By Ron Bousso and Shadia Nasralla; Editing by David Goodman)

Categories: Finance Energy Industry News Activity Oil Natural Gas

Related Stories

PTTEP Acquires Southeast Asia’s Offshore Block from Chevron’s Hess Unit for $450M

Sapura Scoops Over $118M for Chevron, PTTEP Subsea Ops off Thailand

SBM Offshore’s Jaguar FPSO Enters Drydock in Singapore (Video)

EnQuest Picks Up Offshore Oil and Gas Block in Brunei

KBR-SOCAR Joint Venture Secures Work for BP in Azerbaijan

Yinson Production Secures $1.17B Refinancing for FPSO Maria Quitéria

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Petrovietnam, Partners Sign PSC for Block Off Vietnam

Fugro Expands Geotechnical Testing Capabilities in Indonesia

CDWE Wraps Up Pin Pile Installation Job for Taiwanese Offshore Wind Farm

Current News

PTTEP Acquires Southeast Asia’s Offshore Block from Chevron’s Hess Unit for $450M

Valeura Energy, PTTEP Partner Up on Gulf of Thailand Blocks

Sapura Scoops Over $118M for Chevron, PTTEP Subsea Ops off Thailand

Pandion Energy Divests Interests in Three Norwegian Assets to Inpex

China Starts Production at Major Oil Field in Bohai Sea

Dutch Contractor Completes Malaysia’s Largest 'Rig-to-Reef' Decom Project

China Rolls Out 17MW Floating Wind Turbine Prototype

SBM Offshore’s Jaguar FPSO Enters Drydock in Singapore (Video)

EnQuest Picks Up Offshore Oil and Gas Block in Brunei

CNOOC Finds Oil and Gas in South China Sea

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com