Denmark

Danish Energy Company Is Turning the Page on Oil and Gas

31 Aug 2017   Denmark

A company whose name stands for Danish Oil and Natural Gas is getting out of both businesses. Dong Energy AS DENERG -0.91% , Denmark’s majority state-owned energy company, is selling off its last oil and natural-gas fields in a deal expected to close this month or next. The billion-dollar-plus sale is part of a broader plan to significantly reduce its exposure to fossil fuels and produce energy primarily from renewable sources. With the help of a sizable infusion of cash from Goldman Sachs Group Inc., GS 1.12% Dong Energy over the past few years has transformed itself from one of Europe’s most coal-intensive utilities and a small regional oil player into the world’s biggest producer of offshore wind power. Dong’s wind turbines off the coasts of Europe have almost triple the windpower-generating capacity of Sweden’s Vattenfal, the company’s nearest competitor. Now Dong has set its sights on helping to […]

New concept for production at Danish oil field

20 Apr 2017   Denmark

The start of production from an oil field in the Danish waters of the North Sea could serve as a testing ground for future development, a German company said. The regional subsidiary of German energy company Wintershall, Wintershall Noordzee, said Wednesday it started production from the Ravn field, its first in the Danish waters of the North Sea. The company said the field was developed using what it called an “appraisal through development concept,” which makes it so the company can both test and develop the reservoir’s performance. Wintershall said this could open the door for further field development options. “Ravn paves the way for potential further oil and gas developments in this […]

Denmark’s largest gas field to close

31 Dec 2016   Denmark

COPENHAGEN, Denmark, Dec. 30 (UPI) — The lack of a viable economic solution for the largest natural gas field in the Danish North Sea means production will end in late 2018, Maersk Oil said. Maersk Oil operates the Tyra natural gas field on behalf of a broader consortium that includes partnerships with energy majors like Royal Dutch Shell. Maersk said that, even after spending more than $140 million on reinforcing structures associated with production over the past 15 years, safety is becoming a clear factor. Maersk noted in early 2016 that the facilities installed at the Tyra production areas in the North Sea are at the end of their operational life. The company started notifying relevant market players of the pending closure well in advance, according to the regulatory requirements in the European Union. The company said in a statement decommissioning of Tyra will proceed with the aim of […]

Canada Fires May Have Prompted Rare U.S. Import of Danish Oil

12 Jul 2016   Denmark

Shipment of light, sweet crude arrived in Louisiana last week First transport from Denmark in 12 years, EIA data show The U.S. imported crude from Denmark last week for the first time this decade, a movement that may have been prompted by the recent Alberta wildfires. Close all those tabs. Open this email. Get Bloomberg’s daily newsletter. Politics The latest political news, analysis, charts, and dispatches from the campaign trail. You will now receive the Politics newsletter Markets Everything you need to know about what’s moving markets, in your inbox daily. You will now receive the Markets newsletter Pursuits What to eat, drink, wear and drive – in real life and your dreams. You will now receive the Pursuits newsletter Game Plan Advice nobody tells you about getting ahead at work, school and life. You will now receive the Game Plan newsletter BP delivered 630,000 barrels of light, sweet […]

Maersk Oil announcing more layoffs

11 May 2016   Denmark

Danish energy company Maersk Oil announced it was trimming its payroll in an effort to cut costs in response to the pressure from lower oil prices. Crude oil prices in April rallied nearly 25 percent, or roughly $10 per barrel, as investors took note of the expected return to balance in a market characterized by heavy supply-side pressures. Compared with last year, however, the price for Brent crude oil, the global benchmark, is down 30 percent. Oil prices at this point in 2014 were well above $100 per barrel. Maersk Oil said it was cutting about 40 positions from its regional offices. Despite efforts to cut costs already, the company said lower oil prices continued to put pressure on […]

Maersk Oil to close Houston office

2 Apr 2016   Denmark, USA

Danish oil company Maersk said it would manage its U.S. assets in the Gulf of Mexico from Copenhagen as it moves to shut down its offices in Houston. Directly employing about 60 people in Houston, Maersk said it was closing its offices in Houston in an effort to streamline corporate operations. Its holdings in the Gulf of Mexico would be managed from an office at the company’s headquarters in Copenhagen. “We recognize that this is an unsettling time for our people, to whom we offer full support throughout this process,” Chief Operating Officer Gretchen Watkins said in a statement. Many energy companies working in the United States have their headquarters in Texas. Oil field […]

Maersk Oil Profit Sank 86% Last Quarter as Prices Plunge

6 Nov 2015   Denmark

A.P. Moeller-Maersk A/S, Denmark’s biggest company, said profit at its oil unit dropped 86 percent in the third-quarter as energy prices fell.  Maersk Oil’s net operating income after tax for the three months through September was $32 million, down from $222 million in the same period a year earlier, the Copenhagen-based company said in a statement on Friday.  “We’re noting that the development in Maersk Oil is weaker than expected,” Jesper Grandjean Bamberger, senior equity specialist at Nordea, said in a note. “That can put a bit of pressure on the stock today. We advise caution when it comes to buying the share, even if the pricing is tempting.”  Maersk Oil said on Oct. 26 it’s cutting as much as 12 percent of its global workforce as it tries to reduce costs by 20 percent by the end of 2016. The unit has also been struggling with declining output in recent years as its fields mature and some of its new investments have disappointed.

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Maersk Will Cut Up to 12% of Oil Jobs After Prices Slump

27 Oct 2015   Denmark

A.P. Moeller-Maersk plans to cut as much as 12 percent of its global oil unit workforce amid lower crude prices.  The move will help Maersk Oil reach its goal of cutting expenses by 20 percent by the end of 2016 and brings the total number of job cuts this year to about 1,250, the company said in an e-mailed statement on Monday.  “We expect the pressure to continue into 2016 and we must remain cost-focused to grow in this market,” Maersk Oil Chief Executive Officer Jakob Thomasen said in the statement.  The decision follows a move by Maersk last week to cut its outlook for profit as the conglomerate also faces headwinds in the container shipping market. The group sees underlying profit for the year at $3.4 billion, versus its earlier forecast of $4 billion, it said on Friday.

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Maersk Oil makes North Sea discovery

13 May 2015   Denmark

Maersk Oil confirms presence of hydrocarbons at exploration well in the Danish waters of the North Sea. File Photo by UPI/Shutterstock/James Jones Jr. COPENHAGEN, Denmark, May 12 (UPI) — About a month after starting production in the region, Maersk Oil said Tuesday, it found a new source of reserves in the Danish waters of the North Sea. Drilled in December, the company said it was able to confirm the presence of hydrocarbons in the Xana-1X exploration well in the northern part of the Danish sector of the North Sea. “At present the partners are in the process of assessing the technical and commercial implications of the discovery and looking at potential follow-up,” Martin Rune Pedersen, managing director of the company’s Danish business unit, said in a statement. Analysis this year from Wood Mackenzie found the region brought in $19 billion in capital spending last year. With oil prices falling […]

Production starts in Danish North Sea

2 Apr 2015   Denmark

Danish energy company Maersk Oil said it started production from a North Sea platform that should provide Denmark with new reserves for the next 30 years. Maersk said it started production from the unmanned Tyra Southeast-B platform in the Danish waters of the North Sea. The facility is expected to add around 50 million barrels of oil equivalent to the Danish market for the next 30 years. Peak production is expected by 2017 through investments of more than $650 million. The investment represents the largest ever made by a Danish energy consortium, for which Maersk serves as the operator, since 2007. “This is an important step in Maersk Oil’s growth journey and it demonstrates that Denmark continues to be a core area for us,” Maersk Oil […]

Drilling company Maersk cuts staff

6 Feb 2015   Denmark

It would be “irresponsible” not to react to the low oil price climate and keep staffing levels in place, Danish oilfield services company Maersk Drilling said. Lead energy companies, from BP to Royal Dutch Shell, have announced plans to cut capital spending in 2015 as oil prices continue trading in a bear market. Though rising in recent days, the price of crude oil is about 50 percent less than June highs of about $100 per barrel. Maersk Drilling said market conditions meant there was a lower demand for offshore rigs, which meant it was forced to cut 90 positions from its head office. Chief Executive Officer Claus Hemmingsen said staff reductions were part of the effort to cut costs and improve corporate efficiency. “It […]

Denmark – the last of a dying breed

17 Sep 2014   Denmark

Denmark is the European Union’s (EU) only net exporter of oil. The Nordic state’s oil exports totalled approximately 13.7 million barrels of oil equivalent in 2013. This is in stark contrast to the EU’s only other significant oil producer, the UK, which became a net importer in 2004 and has experienced a steep decline in output since, as its historically productive North Sea fields reach extreme maturity. Denmark has maintained its status as a net exporter despite peak oil production in 2004. A strong shift towards wind power has seen a decrease in oil used for electricity generation while district heating systems traditionally fuelled by oil are now switching to natural gas and renewable sources. Denmark’s ability to hold on to its status as the EU’s last net exporter is likely to diminish in the long-term. Its North Sea fields continue to stutter and decline in output, seeing production […]

USGS finds substantial shale gas potential in Denmark

5 Dec 2013   Denmark

The U.S. Geological Survey said the Alum shale reserve area in Denmark holds an estimated 6.9 trillion cubic feet of technically recoverable natural gas. The USGS study of Denmark is its first-ever assessment of the shale natural gas potential there. The results of the study were delivered Tuesday to the Geological Survey of Denmark and Greenland, which provided data to the USGS. The Alum shale area consists of an offshore and onshore section, with the latter accounting for the bulk of the estimated reserves. USGS said it doesn’t believe the area contains significant quantities of oil. Shale oil and natural gas extraction in North America has redefined the dynamics of the international energy market in part because the U.S. and Canadian economies are relying less on foreign energy reserves. USGS Acting Director Suzette Kimball said the Alum shale may be a potential reserve basin […]