May 2019 Monthly Floating Production Systems Report
Despite rising supply risk, crude prices have shown remarkable resilience. Oil prices have trended in the low to mid $70s over the past month. Even an attack on several tankers outside the Strait of Hormuz failed to jolt the oil market. Expectation that OPEC+ will offset Iranian oil exports and continuing strong global oil demand growth has provided pricing support -- thus far. Meanwhile, two floater projects moved to the development stage. Chevron selected a yard to build the semisubmersible hull for its Anchor project in the GOM. ONGC awarded the lease for an FPSO for use offshore the east coast of India. Among other developments, Woodside selected the FEED contractor for the Scarborough semi hull and mooring system, Husky/CNOOC’s Madura MDA/MBH gas project now looks to require a MOPU, not barge and COIDIC is finalizing terms to take an equity role in the Tema FSRU terminal in Ghana. All is discussed in our May WER floating production report.