WTI Crude--
Brent Crude--
Natural Gas--
ND Rig Count--
WTI Crude--
Brent Crude--
Natural Gas--
ND Rig Count--
BAKKEN WIRE
ExxonMobil, Chevron Announce Major International Projects Amid Tight Tanker Market - Bakken Wire
Operator News

ExxonMobil, Chevron Announce Major International Projects Amid Tight Tanker Market

Major Bakken operators commit capital overseas as global shipping rates surge, highlighting competing capital priorities.

Bakken Wire Staff·🔆Midday Wire·

ExxonMobil and its partners have awarded approximately $1.1 billion in engineering, procurement, and manufacturing contracts for a major liquefied natural gas (LNG) project in Mozambique, according to a report from Rigzone. The contracts are for the pre-FID (Final Investment Decision) Rovuma LNG project, which has a planned capacity of 18.6 million metric tons per annum.

In a separate development reported by Rigzone, Chevron and its partners have made a new oil discovery in Block 0 offshore Angola. The companies are considering a tieback development for the find, which would connect the new reservoir to existing production infrastructure.

These announcements underscore the ongoing global investment by the integrated majors who are also key operators in North Dakota's Bakken formation. Capital allocated to large-scale international projects in LNG and deepwater oil can compete for funding against onshore shale developments like those in the Williston Basin.

Meanwhile, the global crude shipping market is experiencing a significant tightening, according to Rigzone. Earnings for supertankers hauling crude from the Persian Gulf to Asia have surged to $510,000 per day, nearing a two-month high. This spike is driven by exporters seeking more vessels to move fuel via the Strait of Hormuz amid ongoing regional security uncertainties.

For Bakken operators, these concurrent developments highlight a complex macro environment. High tanker rates can increase the delivered cost of international crude to key markets, potentially improving the relative competitiveness of domestically produced Bakken crude. However, the massive capital commitments by ExxonMobil and Chevron abroad also illustrate the broad portfolio of investment opportunities these companies balance, with long-cycle international projects often vying for capital against shorter-cycle shale plays.

Source

Rigzone reported the ExxonMobil contract awards, Chevron discovery, and supertanker earnings data.

exxonmobilchevronlngangolamozambiqueshippingcapital expenditurebakken operators

Share this article

PostShareShareEmail

Related Articles

Operator News

Gulf Hurricane Threat Evacuates Workers, Could Tighten Oil Markets

Major oil companies are evacuating workers from the Gulf of Mexico ahead of a strengthening tropical storm, a move that could introduce new volatility to crude markets with potential implications for Bakken producers. Chevron is evacuating workers from all its Gulf platforms, while Shell is pulling non-essential personnel from six offshore platforms and BP is also conducting evacuations, according to reports from Reuters and CNN. While production at the facilities currently remains normal, the storm is forecast to reach the Gulf Coast by Friday, potentially as a Category 2 hurricane. Analysts warn the storm is an "unwelcome complication for crude, raising the prospect of production and refining disruptions at a time when the market already has enough supply-side headaches," KCM Trade chief analyst Tim Waterer told Reuters. The potential impact on Gulf Coast refineries is a primary concern for the broader oil market, including Bakken crude which often flows to...

☀️Morning Wire·Oct 7
Supreme Court Hears Climate Suit, Industry Warns of 'Judicially Ordered Carbon Tax' - Bakken Wire
Operator News

Supreme Court Hears Climate Suit, Industry Warns of 'Judicially Ordered Carbon Tax'

The U.S. Supreme Court heard arguments Monday in a pivotal climate liability case that could open the door to state-level lawsuits against oil and gas companies, a prospect the industry warns could act as a "judicially ordered carbon tax," according to a report from OilPrice.com. The case involves a lawsuit filed by Boulder County, Colorado, against ExxonMobil and Suncor Energy Inc., seeking damages for local climate-change-related impacts. The Canadian-based Suncor and Texas-based ExxonMobil argue that climate policy and alleged damages are exclusively federal matters, and the state suit should be dismissed. Boulder County contends it is only seeking compensation for local damage from decades of emissions, not aiming to change federal policy, OilPrice.com reported. For Bakken operators, the case represents a significant liability threat. The industry argues that a victory for Boulder County would allow a flood of similar lawsuits to proceed, potentially targeting producers based on their historical emissions....

🔆Midday Wire·Oct 5
Operator News

ConocoPhillips Signs 20-Year LNG Supply Deal with Venture Global

ConocoPhillips has entered a 20-year agreement to purchase liquefied natural gas from Venture Global LNG, according to a report from Rigzone. The deal, finalized on October 2, 2026, will see ConocoPhillips buying one million metric tons per year of LNG starting in 2030. For Bakken operators, this long-term LNG offtake agreement by a key player highlights the growing importance of global natural gas markets for the region's production. The Bakken formation is a major oil-producing region, but its operations also yield significant volumes of associated natural gas. Such a deal provides ConocoPhillips, a major operator in the Williston Basin, with a secured outlet for future natural gas production. While the specific source of the LNG is not detailed in the report, long-term contracts like this underpin investment in gas gathering, processing, and transportation infrastructure that can benefit the broader Bakken region. The move aligns with industry trends of securing stable...

☀️Morning Wire·Oct 5