Alaska reports record sales of oil and gas leases
This week the Alaska Department of Natural Resources announced a record-breaking oil field lease for drilling rights to its North Slope fields. Tim Daiss of Oil Price said that while “Alaska is still trying to make an oil production comeback after years of declining production from maturing fields… the state held another record-breaking oil and gas North Slope lease, netting competitive bids from investors around the world and breaking last year’s bonus bid amount and the bid per acre record”.
The Alaska Division of Oil and Gas reported the receipt of 159 bids for drilling rights to state lands in the North Slope, Beaufort Sea, and North Slope Foothills areas. The winning bids, according to Daiss, totally US$28.1mn.
The winning bid for the North Slope field totalled $20.4mn, representing $110 per acre, in 2017. This year’s bid, Daiss reports, “edged out the 2017 sale… bringing in $27.3 million”. The North slope is Alaska’s most profitable site, “where improved drilling efficiencies have recently resulted in the first increase in annual production since 2002”.
In August, Forbes Magazine reported that “Alaska might be the next oil boom province, based on a new report from IHSMarkit which estimated that 28 billion barrels of recoverable resources remain in the Alaskan North Slope”.
Alaska remains the fifth-largest oil-producing state in the US, while Californian oil and gas production continues to decline, outpaced by North Dakota, Colorado, and Alaska last year. According to Oil Price, “the uptick in oil lease sales will help Alaska regain some of its oil production prominence”.
Global Offshore rebrands Enelift and invests in global hubs
Global Offshore has rebranded Enelift and will invest "a seven-figure sum" in establishing new support hubs in Houston, Dubai, Singapore, Perth and the Caspian during the next six months.
The investment will cover oil, gas and renewables, mainly concentrating on manufacturing capability with associated R&D, as well as in stock held in the hubs.
The company’s flagship Hinge Lok technology provides aluminium, non-welded light weight transportation cradle for casing and tubing. Enelift now plans to enhance its offering by augmenting its existing solutions with robotics and remote operational and training technology, which will reduce manpower for handling offshore equipment that is transported and stored using the Hinge Lok system.
Enelift is partnering with "a Japanese robotics company" and the technology will be trialed with "a Norwegian operator on a Norwegian drilling rig", according to a statement.
Operating from its bases in Aberdeen, UK and Esbjerg, Enelift was founded by 35-year industry veteran and Managing Director Paul Brebner 10 years ago to offer the offshore energy industries safe, reliable and efficient storage and transportation of equipment.
The expansion plans are bolstered by the appointment of Jim Clark of the Craigendarroch Group to Chairman, and Adam Maitland to Non-Executive Director. Maitland is the Managing Director of Hutcheon Mearns IF, and brings his wealth of expertise in the field of corporate finance.
Brebner said Enelift may be a new name in the market, but the experience it brings is "industry renowned".
"Our solutions are underpinned by safety that enables inefficiencies and their associated costs to be eradicated – meaning operational personnel can focus doing what they do best, safely. We remain committed to providing the safest storage and transportation solutions for equipment in the sector as we grow our global operations," he said.
Clark said the market is changing and its solutions fully support customers’ economic and safety aspirations.
"We are very well placed to take full advantage of increasing opportunities in the Middle East, Africa, Far East and Americas. Safety is our absolute commitment to our customers and our support hubs will facilitate this. Aligning our identity to our entire offering ensures that we will drive our expansion through new products and global support sites across the rest of this year."