Author: Rigs & Barge World

Oil markets are entering uncharted territory, with the closure of the Strait of Hormuz now well into its third month. Even with an extremely fragile ceasefire still largely in place, the economic impact of the conflict shows no sign of letting up. Oil export losses from the Middle East now top 800mn barrels, and the IEA Executive Director Fatih Birol raised the prospect this week of another release from strategic inventories. Mr Birol’s comments come as the impact of the supply losses on global inventory levels has become increasingly visible. Morgan Stanley this week noted that global oil inventories were…

ADNOC Drilling, the UAE’s Oilfield drilling services company, reported first-quarter (Q1) 2026 results with revenues of $1.23 billion, up 5% year-on-year (YoY). The company recorded a net profit of $347 million, a 2% increase from Q1 2025, according to its operational results statement. Its free cash flow rose 12% to $356 million, while return on equity stood at 33%. The Board approved a dividend of $262.5 million for the quarter. Management said the performance reflects the resilience of ADNOC Drilling’s business model, underpinned by long-term contracts, high fleet utilization, and disciplined cost management. The company maintained operational continuity and strong…

Vaalco Energy, the US-based operator, said it began a six‑well drilling program in Egypt in the second quarter of 2026. The campaign was not included in the original budget and will proceed without increasing the company’s total capital expenditure guidance, noted a company statement. Vaalco’s production in Egypt mounted to 11,264 barrels of oil equivalent per day (boe/d) in the first quarter (Q1) of 2026, compared to 10,225 boe/d in Q1 2025. For the second quarter (Q2) of 2026, it expects production to range between 10,400 and 11,500 boe/d. The company said on May 7 that it completed the drilling…

Amidst this economic tension, President Trump took to Truth Social to lambast Iran for what he called decades of “delay tactics.” In a characteristic outburst, he accused the Iranian leadership of manipulating past administrations, claiming they hit “pay dirt” under Barack Obama and benefited from the perceived weakness of “Sleepy Joe Biden.” Mr Trump asserted that Iran has spent 47 years laughing at the United States while funding roadside bombs and suppressing its own people, but he warned that their laughter is about to end.This aggressive posturing does little to suggest a deal is imminent. Tehran has dismissed Trump’s threats…

The UAE accused Iran of carrying out military strikes against the Port of Fujairah on 4 May, although Tehran denied responsibility. The attack came as part of a wider assault on the UAE in what appeared to be a response by Tehran to the US’ ‘Project Freedom’ to bring ships out through the Strait of Hormuz (MEES, 8 May). The UAE says its air defenses engaged the incoming barrage, which included 12 ballistic missiles, three cruise missiles, and four drones. Videos circulating online showed fires at Fujairah Oil Tanker Terminals (FOTT) which have since been extinguished. But sources tell MEES…

Harbour Energy has started the development of the Fayoum-Messinian field close to its West Nile Delta infrastructure, with first gas expected by the end of 2026, according to the company’s first quarter (Q1) of 2026 trading and operational update. During the quarter, Harbour Energy also completed drilling of the EZZ-1 and EZZ-2 appraisal wells in the Disouq Concession, holding expected gas in place of 35 billion cubic feet (bcf) and 2 million stock tank barrels (mmstb)  of associated condensate. The UK-based company  posted Q1 2026 revenues of $3.0 billion, up from $2.8 billion a year earlier, supported by stronger realised…

Saudi Arabia is loading up on imported fuel oil ahead of a summer in which the Middle East conflict and uncertainty around the Strait of Hormuz is expected to strain its domestic energy balance. The closure of the strait will likely have a significant impact on gas production (MEES, 6 March), limiting the availability of the kingdom’s primary source of feedstock for power plants and forcing it to resort to burning more oil to meet power demand. Oil is a key fuel for Saudi Arabia’s power sector, but its share has been diminishing in recent years as it has been…

Shell reported $6.9 billion in adjusted earnings for the first quarter (Q1) of 2026, a significant increase from $3.3 billion in the previous quarter, according to a statement by the company. This metric reflects the company’s core operational performance by excluding one-time legal items and volatile swings in inventory value. On a broader operational level, Shell’s adjusted EBITDA, which measures the raw cash-generating power of its assets before taxes and accounting charges, reached $17.7 billion. This exceeded the $12.8 billion recorded in the same period last year, driven by strong trading and optimization. The company’s cash flow from operations (CFFO), excluding…

Iraq announced the discovery of a new oil field in Najaf province, close to the Saudi border in the country’s southwest. The field, discovered by China-based Zhenhua Oil, holds estimated reserves of 8.83 billion barrels (bbbl). Current output is reported at 3,248 barrels per day (bbl/d) of light crude oil, Iraqi News reported. During a meeting with a delegation from Zhenhua Oil, Iraqi Oil Minister Hayan Abdul-Ghani stated that a new oil reserve had been discovered in the al-Qarnain block. This block was awarded to the Chinese company under Iraq’s fifth supplementary and sixth licensing rounds. The Al-Qarnain block lies…

A framework agreement signed this week between Abu Dhabi renewables investor Masdar and the Emirates Water and Electricity Authority (Ewec) marks a pivotal moment in the emirate’s renewable energy expansion drive. Signed on 5 May at the Make it in the Emirates (MIITE) conference in Abu Dhabi, the agreement is intended “to accelerate deployment of more than 30GW of solar PV capacity and over 8GW of battery storage planned by EWEC.” The agreement doesn’t reference specific projects, rather it will embed Masdar more firmly within the sector and enable a faster tendering process. The UAE was the regional first-mover in…