Global offshore oil production (including lease condensate and hydrocarbon gas liquids) from deepwater projects reached 9.3 million barrels per day (b/d) in 2015. Deepwater production, or production in water of depths greater than 125 meters, has increased 25% from nearly 7 million b/d a decade ago.

“The rampant cost inflation on Australian projects combined with the collapse in oil prices is damaging for a lot of these projects,” said Neil Beveridge, analyst at Bernstein. LNG prices have been affected by a supply glut and are also linked to oil prices in Asia.

- Combination creates an unparalleled company positioned to deliver value for customers and investors - GE to own 62.5% and Baker Hughes shareholders to own 37.5% of the “New” Baker Hughes - GE to contribute $7.4 billion to fund the $17.50 per share special dividend to existing Baker Hughes shareholders

Total once again reported solid quarterly results with adjusted net income of $2.1 billion and operating cash flow before working capital changes of $4.5 billion. The Group increased cash flow by 13% compared to the second quarter 2016 despite a 27% reduction in European refining margins and flat Brent prices.

U.S. Rig Count is down 218 rigs from last year's count of 775, with oil rigs down 137, gas rigs down 83, and miscellaneous rigs up 2. Canadian Rig Count is down 38 rigs from last year's count of 191, with oil rigs down 11, gas rigs down 28, and miscellaneous rigs up 1.

Brent crude LCOc1 was up 22 cents at $50.20 a barrel as of 0845 GMT (4:45 a.m. ET), after falling in the last three days. U.S. crude gained 10 cents to $49.28.

The North American market has continued to "grind slowly upwards" as the rig count, particularly in the US, ticks ahead from troughs seen six months ago, Martin Craighead said during a quarterly conference call with analysts. But "customers need to be more confident of the durability of those prices before making any significant change to their spending patterns," Craighead said.

The state-controlled Russian energy group will yield to EU demands on how it sells gas in Europe in order to escape a penalty for past anti-competitive behaviour. The bargain is likely to anger eastern and Baltic states that have campaigned for a tougher approach.

The worsening OPEC equation presents Saudi Arabia with a difficult choice after its Algiers U-turn: carry a greater burden within the group, ceding market share to other producers, or lose credibility by softening the terms of the deal. In a worst-case scenario, Saudi Arabia will have to cut production by more than 1 million barrels a day, sending the kingdom’s output to a two-year low.

ConocoPhillips’ nine-month 2016 earnings were a net loss of $3.6 billion, or ($2.88) per share, compared with a nine-month 2015 net loss of $1.0 billion, or ($0.80) per share. Nine-month 2016 adjusted earnings were a net loss of $3.0 billion, or ($2.40) per share, compared with a nine-month 2015 adjusted net loss of $0.6 billion, or ($0.50) per share.