Maromba online dating
Chevron will tout its Permian Basin position this quarter without a doubt considering its aggressive ramp up in drilling activity.During its Q1 update, Chevron was running 12 operated rigs and had a stake in 13 non-operated rigs across the Permian. Management previously said the plan was for 20 operated rigs to hit the Permian by the end of 2018, but that might change.Acreage deals are also on the agenda as Chevron has located around 200,000 acres "as candidates for swaps, leases or sales"in the Permian.Centralized acreage positions are key to driving strong returns, and leases on land that don't house any economic prospects unless prices materially rise aren't necessarily worth holding on to.As always, there is a lot to look out for and no way to cover everything in just one piece, so this article will look at just a few of the big things investors should consider before July 28.Brief financial preview For those who have been following Chevron or the sector as a whole, the following won't come as a surprise, so I'll just talk about it briefly.
Look for any commentary on how management plans to make cash flow neutrality a possibility in light of Chevron having no control over energy prices.
Currently, the development plan envisions a FPSO vessel (floating production storage offloading) with 60,000 bpd of capacity supporting heavy oil production in shallow waters. However, there would be a large capex spend required to bring the Maromba field online.
It's hard to see that project making economic sense unless Brent moves closer to , and Chevron needs to focus on saving cash.
Chevron sold off its 30% stake in the venture in June along with Petrobras (NYSE: PBR) for an undisclosed sum.
The Maromba oilfield was found to be economically viable at the end of 2006, but the field isn't producing.Either way, the fact that this project is finally working in Chevron's favor is big news. There is a chance management will comment more on Chevron's proposed Gorgon Phase 2 project, which would upgrade existing facilities as well as bring additional production wells online.