(1)  Guyana  Well Test data hits share prices  of Tullow and Eco Atlantic

Reports that the crude recovered from the Jethro exploration well in the Orinduik Block has a higher sulphur content and is heavier than that from the ExxonMobil discoveries in the neighbouring Stabroek Block has led to speculation that the field will be uneconomic, or at least,  less so than hitherto thought.

Full details are not yet in the public domain so the heavy drops in the prices of shares in Eco Atlantic and Tullow Oil may be over-reaction.  The North Sea and other offshore producing regions produce a range of oil gravities and from a similar range of reservoir qualities.

Whilst this is not good news for the partners in the Orinduik Block,  until they announce their development plans it is too early to pass judgement on its economic effect.

13 November 2019

(2)   Exxon Blasts NY for Walking Back Claims at Trial’s End

by Bloomberg|Erik Larson|

Friday, November 08, 2019

(Bloomberg) — The New York attorney general’s office dropped its claim that Exxon Mobil Corp. intentionally misled investors about how it accounts for the financial risks of climate change, significantly diminishing the state’s case in the last minutes of a high-stakes securities fraud trial.

Assistant Attorney General Jonathan Zweig caused a stir Thursday when he revealed during his closing statement that the state was no longer claiming Exxon’s alleged scheme was carried out knowingly and willfully by company officials. The government also dropped its claim that investors relied on those allegedly false statements when buying stock, he said.

The state’s central allegation remains — that Exxon violated New York’s Martin Act by issuing materially misleading statements about its use of a “proxy cost” for carbon. Under that narrower claim, the state doesn’t need to prove intent or show that investors relied on the allegedly false information.

Zweig revealed the change only after Justice Barry Ostrager, who will decide the case without a jury, asked him why he was focusing his closing remarks solely on the Martin Act and not the three other claims in the case, including common law fraud, which requires a showing of intent to deceive.

“I don’t mean to interrupt you, but there are three other claims that the attorney general advances in its complaint,” Ostrager said. “Are you going to address those claims as well?”

“Your honor, for purposes of this presentation, I’ll be focusing on the Martin Act,” Zweig said, without elaborating.

“Is that a concession that there is no common law fraud?“ the judge asked.

“Yes, your honor,” the state’s lawyer replied.

Zweig said the state’s claim of equitable fraud was also dropped, while a so-called executive law claim, which overlaps with the Martin Act, stayed put.

After lawyers for both sides had given their closing statements, Exxon attorney Theodore Wells returned to the podium in the crowded courtroom and criticized the state’s final move, suggesting the AG had dropped the claims for strategic purposes before the judge could rule against them due to a lack of evidence.

“We did not come to this trial and try this case for two weeks to have them stand up after the evidence has been presented — and after I have given my summation — and stand up and say we are not pressing the two claims that have caused, in many respects, the most severe reputational harm to the company and to the executives,” Wells said.

The lawyer said former Exxon Chief Executive Officer Rex Tillerson, in particular, had faced years of harsh allegations by the state, which accused the CEO of knowingly spearheading the scheme and trying to cover it up. Wells said Exxon and its officials deserve a ruling to clear their reputations.

Ostrager said he couldn’t do so because they were no longer part of the case. “This was their one opportunity to establish those claims in this courtroom and they’ve withdrawn those claims,” the justice said.

The attorney general’s office declined to comment.

 

(3)   Trump Nominates New Energy Secretary

by Andreas Exarheas|Rigzone Staff

|Friday, November 08, 2019

Trump Nominates New Energy SecretaryU.S. President Donald Trump has formally nominated Dan Brouillette to serve as the next U.S. Secretary of Energy.
U.S. President Donald Trump has formally nominated Dan Brouillette to serve as the next U.S. Secretary of Energy, the U.S. Department of energy has revealed.

Brouillette, who is the current U.S. Deputy Secretary of Energy, would replace sitting Secretary Rick Perry if confirmed by the U.S. Senate.

“I am honored to be nominated by President Trump to serve as the U.S. Secretary of Energy, and grateful to secretary Perry for asking me to join him at the Department of Energy over two years ago,” Deputy Secretary Brouillette said in an organization statement.

“If confirmed, I will further secretary Perry’s legacy of promoting energy independence, innovation, and security for the American people,” he added.

Current Secretary of Energy, Rick Perry, said, “it has been the opportunity of a lifetime to serve as Secretary of Energy. I have the utmost confidence the Department of Energy will continue to thrive under Dan Brouillette”.

“Dan has faithfully served as my deputy, helping to advance American energy security and position the United States as the world’s premier energy leader,” he added.

“I fully endorse President Trump’s decision to nominate Dan and urge the U.S. Senate to expeditiously confirm him. I look forward to seeing all that the department accomplishes under his steady leadership as Secretary of Energy,” Perry continued.

Brouillette previously worked as the senior vice president and head of public policy for USAA, a provider of financial services to the military community, and as a vice president of Ford Motor Company. He has also held numerous positions in government.

Back in October, Perry announced his resignation, which is effective later this year. In an outgoing message, Perry said the opportunity to serve in Trump’s cabinet as the Secretary of Energy had been an “extreme honor”.

To contact the author, email andreas.exarheas@rigzone.com