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UPDATE 1-Petrobras reverses losses, signals continuity

The new executive board of Brazil's Petrobras signaled on Thursday that it would largely follow plans set out by the previous administration, statements likely to ease investor concerns about the firm's tumultuous start to 2021.

GLOBAL-LNG-Asian spot prices hit $10 on global supply disruptions

2 Min Read RIO DE JANEIRO, May 14 (Reuters) - Asian spot prices for liquefied natural gas (LNG) rose this week on the back of tightened supplies around the world. The average LNG price for June delivery into Northeast Asia LNG-AS was estimated at about $10.15 per million British thermal units (mmBtu), up $0.50 from the previous week, industry sources said. The price for July delivery was estimated at about $10.25 per mmBtu, according to traders, almost twice as much February levels ($5.60). Export issues in Australia, Peru, Indonesia, Malaysia and Nigeria have contributed to a tight global supply at a time when Japan and Korea, among the world’s largest buyers, are keeping LNG demand strong for summer power generation, industry sources said.

UPDATE 2-SBM Offshore revenues hit by weak turnkey business

(Adds analyst, shares, details) May 12 (Reuters) - SBM Offshore reported a 15% drop in first-quarter revenues as its turnkey business continued to suffer from tough energy markets, sending it shares as much as 4.6% lower on Wednesday. The Dutch-based company’s turnkey division builds and sells floating production and storage vessels to oil and gas firms and so is highly sensitive to their investment plans. These customers slashed spending last year as oil demand plunged in the pandemic, but a recovery in energy prices has since buoyed their earnings. “We believe SBM’s trading update was reasonable, albeit revenues ended (.) lower than we could expect based on its 2021 guidance of $2.6 billion,” ING analyst Quirijn Mulder said in a note to clients.

UPDATE 1-Oil industry spending cuts hammer services firm CGG

By Reuters Staff (Adds detail from call, shares move) May 12 (Reuters) - French oil services group CGG posted a 71% plunge in first-quarter core profit on Wednesday, reflecting a year of drastic spending cuts by the oil industry in the pandemic and sending its shares sharply lower. In a call with analysts, CEO Sophie Zurquiyah said the quarter had been slow as expected, but predicted more spending in the second half of 2021, noting a resumption of commercial business and contract awards in March and higher oil prices. “I believe we will see the need for our clients to increase their activity to not only catch up on the work postponed from 2020, but also to compensate for the depletion of their existing reservoirs,” she told analysts in a call.

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