Market balance changed between OPEC meetings
In less than 2 months after the December meeting of the Organization of Petroleum Exporting Countries, the global balance between crude supply and demand tightened to the point where it was unnecessary for the group to adjust production at its Jan. 30 meeting, as some earlier predicted.
The oil market remains vulnerable to shocks like those of the 1970s, warned Olivier Appert, president of Institut Français du Pétrole (IFP), in his annual assessment delivered at the Panorama symposium Feb. 3 in Paris.
Indonesia riles LNG buyers with supply disruption
Indonesia's reputation as a reliable supplier of liquefied natural gas has come into question once again due to a new disruption of supply, even as the Southeast Asian nation seeks to ramp up production.
The production capacity of Iraqi oil in 2005 will primarily depend on political developments in the country after the Jan. 30 elections and the possibility of forming a harmonious government, according to Iraqi Oil Minister Thamir al-Ghadban.
Production from West Africa is at a turning point. The traditional West Africa shallow-water play is declining, and several deepwater developments discovered in the mid to late 1990s are now coming on stream.
With production levels at approximately 350,000 b/d of oil from two producing fields and a third field approaching first oil, the Canadian Province of Newfoundland and Labrador is emerging as a significant player on the international oil and gas stage.
Operator draws on new drilling optimization systems in Western Canada
Canadian Natural Resources Ltd. used two new drilling optimization techniques developed by Baker Hughes—an expert system for drill bit selection and software to predict the achievable rate of penetration—to improve risk management in Western Canada.
The evolution and developments described in Part 1 of this series (OGJ, Jan. 24, 2005, p. 54) have fundamentally changed the nature of the international LNG industry particularly in the past 5 to 10 years. It is with these new international LNG market dynamics in mind that this concluding article presents a generic Strengths-Weaknesses-Opportunities-Threats (SWOT) analysis (Fig. 1).