Royal Dutch Shell plans 2,800 job cuts after BG deal

 

The tie-up between Shell and BG deal is due to be completed early next year.

However, an institutional investor has told the BBC that the deal does not make "financial sense" at current oil price levels.

David Cumming, head of equities at Standard Life Investments, told the BBC it was "very difficult to make the deal work" with oil below $40 a barrel, saying oil prices needed to be $60-$70 a barrel.

Extra measures

IMF says, Cuts forecast for global expansion remains elusive

It has reduced its figure to 3.1% from the 3.3% it predicted in July. The 2016 forecast is down to 3.6% from 3.8%.

"A return to robust and synchronized global expansion remains elusive," the IMF says.

The report also warns that the risks of an outcome worse than its forecasts are more pronounced than they were just a few months ago.

The sharpest downgrades are for emerging economies, especially Brazil, Nigeria, South Africa and Russia.

So the IMF is still predicting growth, but it is distinctly lacklustre growth, especially for the current year.

Modest recovery

 

Goverment Earnings from Crude Oil to Diminish Soon – Research Experts

Research experts in Nigeria’s oil and gas sector say the Federal Government’s earnings from crude oil will diminished in the next couple of years.

 

They made the assertion in their presentations at the ongoing Society of Petroleum Engineers Conference and Exhibitions in Lagos, which began on Wednesday.

The News Agency of Nigeria reports that their projections were based on limited demands for crude oil amid subsisting free-fall in the international price of crude.

The theme of the conference is “Natural Gas Development and Exploitation in an Emerging Economy, Strategies, Infrastructure and Policy Framework.”

Operators in Oil, Gas seek fresh funding strategy

The collapsing price of crude oil in the international market is adversely impacting on local operations, as the shortfall in joint venture funding, resulting from the slump, is persuading operators in the oil and gas sector to seek fresh funding strategy with the Federal Government (FG) to bridge the  gap on the existing projects.

This was the submission of the joint venture partners of the Nigerian National Petroleum Corporation (NNPC) who spoke during a panel session at the ongoing Nigeria Oil and Gas (NOG) conference in Abuja, with the theme; “Effective solutions driving industry change, costs, lead time and projects.”