On Stream

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Polish Companies Will Enter a Fast-Growing Market

The Mars Shipyards & Offshore Group with extensive experience in offshore products and services and the LOTOS Petrobaltic, which one has been operating in the area of exploitation and production of hydrocarbons so far, will start cooperation in the scope of recycling of the drilling and production platforms as well as each kind of facilities, located on the depleted reservoirs. All of the upstream businesses of the  LOTOS Petrobaltic will be taken over by a newly established company- LOTOS Upstream. It is estimated, that the global expenditures on the liquidation of offshore platforms raised from $3.24 billion in 2013 to $4.3 billion  in 2015 and they will raise even to $40.6 billion in 2040 according to some predictions. At the moment, there is 629 out of almost 3000 of American offshore platforms intended for liquidation.

Venezuela Implements a New System of Cryptocurrency from the Oil Reserves

After loud announcements, the Venezuelan Government launches the Petro- cryptocurrency claimed to be backed by the country’s oil and mineral reserves, with expected value $60 per token and the total value of cryptocurrency predicted at $60 billion. The Petro’s pre-sale started on February 20th  and ends on March 19th.  82.4 mln tokens were made available and only a first day of the pre-sale brought $735 million. However, according to many analytics, the Petro seems to be a last resort of Venezuelan Government, which attempts to pull the failing country (with public debt at about $150 billion) out of the depths of economic crisis as well as to skirt U.S. financial sanctions. The same analysts says, that the Petro won’t bring real benefit either to Venezuela’s economy or its people. These more skeptical doubt, that the currency will thrive, because of lack of trust in government, which can have too much space to manipulate the token.

Commotion in the Eastern Part of the Mediterranean Sea

Freshly discovered reservoirs of natural gas in Cypriot economic waters have escalated the conflict between Cyprus and Turkey. Turkish warships have even temporarily blocked operations on ENI’s drilling rig in the first half of February and has triggered widespread criticism of the international community. President Erdogan has warned Cyprus as well as Greece against violation of Turkish economic waters. The source of conflict is national diversity of the island’s inhabitants. Turkey does not recognize the independence of the Cyprus, expresses doubts about the fair distribution of potential profits, claims that the rights to these reservoirs belong to the Turkish Cypriot and it is opposed to gas exploration until the Cypriot conflicts are resolved. It is worth to highlight, that some interest in offshore natural gas reservoirs in the Mediterranean Sea was also expressed by Polish Oil and Gas Company but for now it prioritizes the internal market.

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