-Marathon Oil CEO Lee Tillman today said U.S. shale drilling remains attractive despite a 25% decline in oil prices in recent months. Via FuelFix, Marathon’s third quarter profit fell by 24%, but Tillman said the company has no plans to reduce its rig count in key shale plays. Marathon recently added rigs in the Bakken shale and in Oklahoma and will invest cash it raised in the recent sale of its Norway business into shale.
-Meanwhile, Halliburton CEO Dave Lesar said U.S. shale drilling would ultimately help reverse the recent oil price decline. Lesar told Bloomberg shale’s responsiveness to oil price movements would result in a self-correction of the oversupply underpinning the price drop. Lower prices discourage drilling, which will eventually reduce the oil glut.
-Saudi Arabia is set to become a major exporter of petroleum products as it brings online 800,000 barrels per day of refining capacity next year. Via Reuters, the addition of two new refineries marks the kingdom’s shift away from crude exports to refined product exports. Crude exports from Saudi Arabia have fallen to their lowest levels in three years. Meanwhile, Saudi Aramco’s downstream investments are expected to top $100 billion over the next decade.
-Quebec’s energy minister said the province could begin exporting oil sands crude and LNG to Asia and Europe as early as 2017, Reuters reports. Suncor Energy in September exported western Canadian crude to Europe for the first time. European countries are seeking alternative sources of oil and gas amid tension with Russia over Ukraine. Quebec’s ability to export oil sands crude will depend on approval of TransCanada’s US$10.8 billion Energy East pipeline project.
-TransCanada today announced CAN$2.7 billion in new expansions for subsidiary NOVA Gas Transmission. The firm also said it would move forward with its CAN$475 million Vaughan pipeline project, which will connect Marcellus gas production to markets in eastern Canada.
