Category Archives: other

During President Donald Trump’s visit to the Kingdom billions of dollars worth of deals were signed by U.S. companies with Saudi Arabia’s oil and gas industry. Memorandums of understanding (MoU) and agreements worth a total of US$15 billion were signed by General Electric with them. Saudi Aramco also signed an estimated US$50 billion worth of deals with U.S. companies, which also will implement into the digitalization of Aramco’s offshore and onshore business, with the goal of generating US$4 billion in annual productivity improvements.

There are also opportunities of new business developments in that: across the energy value chain. That will cover all the streams of oil and gas businesses, including the development of Oilfield Services and Equipment (OFSE) manufacturing hubs.

National Oilwell Varco signed memorandums of understanding with Aramco to set up a joint venture in Saudi Arabia. They would manufacture high-specification land rigs, rig and drilling equipment. They will also include certain aftermarket services into their service plans. Not only that, but Aramco also signed memorandums of understanding with drilling services provider Rowan to develop designs of jack-up rigs which have been planned to be produced in Saudi Arabia. That tops it for Aramco with onshore drilling rigs by signing memorandums of understanding with another company, Nabors Industries, which is also a follow-up of October 2016.

That all doesn’t just involve Saudi area only. ExxonMobil, the world’s largest oil company which reported a 122% surge in profits in its latest quarter, and Saudi Basic Industries Corporation (SABIC) signed an agreement to carry out a detailed study of a U.S. petrochemical project in San Patricio County, Texas, along with planning front-end engineering and design work. The project is one of 11 major oil projects in U.S.

Aramco has a desire and plans to expand its businesses in the U.S. For instance, in May 1 it did take full control over the largest U.S. refinery at Port Arthur, Texas.

There is a lot of competition in the new oil world. Some companies do have their own hard times and quite difficult times. Like Chevron lately, which ended last year $431 million in the red. Yet, with good thinking there is always a way to stay focused and stay afloat, to have aim in growing sales and profits. Our web site: https://skyledllc.com

Andrey Avramenko, CEO of Skyline Energy Development

Straightforwardly on the Situation in Ukraine
(Personal Observations).

Help with Answering the Questions Below.

I have returned from Global Business Conference in Houston, Texas. The most frequent question which leaders of leading energy corporations of the USA kept asking me was the following: “Having such reserves, and having received the milliard help from the USA and the countries of Europe, what prevents Ukraine to be independent energy-wise? ” To me as to the American with the Ukrainian roots, and again, to the one who is not indifferent to Ukraine, who has spent more than 100 days on its territory in 2016 trying to understand the situation and to help the country with attraction of investments and transition to the modern type of equipment, puts to a grinding halt, putting it mildly… I’m speaking straightforwardly, and I do not know how to answer this question credibly, knowing the situation, and at the same time how to not turn away potential investors and those who for the present time still goes for helping Ukraine … But I’ll come back to this just later.

USA today… I want to begin with the fact that while preparing for the report to the mentioned above event in Houston, I couldn’t help but paying attention to last statistics of the energy sector of the USA capacity. Daily more than 800 drilling units work on development of existing and new deposits in the country, and only for last 4 weeks more than 80 new drilling rigs were added, and orders for manufacturing of the new super-power and qualitative American equipment keep coming on a regular basis. In the oil and gas industry, as well as in intersecting branches, 9.8 million workers are involved (about 6% of workplaces of the USA), so that the USA would take the advanced positions, overtaking competitors of world power sector several-fold.

Ukraine today… I have arrived to the USA from the country where the first Ukrainian gas has been extracted as far back as in 1920s in the Carpathian region from gas-bearing stratums. Unfortunately, now this region provides only about 3% of the general extraction of gas countrywide. At present in Ukraine it is registered more than 350 gas and oil deposits, gas-and-oil-condensate deposits, as well as oil-and-gas ones. This is only an official data, yet I’m totally silent about the reserves which are not developed deposits or the ones that are in desolation. At that, national power sector of the country doesn’t have a single unit of the new drilling equipment. About 60 machine tools are available and half of them have already reached all the used-up limits. All up to such degree has decayed, that repair more than twice slow down process of drilling and as increases cost of drilling in times. Everything has decayed to such an extent that repair slows down the process of drilling more than twice, while also increases the cost of drilling several-fold. But offers of the USA on deliveries of the new equipment to Ukraine now, consequently, get turned down at the national level, for obvious reasons for Americans. The reason is substantial growth of the price per unit of the equipment due to the expensive materials of the American designs and transportations, while the fact of economical service and trouble-free work of the high-quality equipment is not taken into consideration, which is at least twice longer than of the ones from the Chinese suppliers.

It turns out that such a version is not favorable to the Ukrainian power sector because it excludes corruption, laundering of millions of dollars on necessary and not so service maintenance, on repair of cheap and poor-quality units… Therefore, elections of suppliers take place in a tender format, in the conditions of a corrupted system… Thus, the best American, Canadian and European companies do not have chances of a tender win, which deprives Ukraine of a possibility of purchase of the qualitative equipment. Winning is behind those who deliver the cheap and poor-quality equipment, which is not much better than the one that the country already has and which is already out of action. I should tell about Ivano-Frankovsk Oil and Gas University (the one of the best in the world arena). The educational institution trains hundreds of professionals annually who unfortunately find workplaces not in Ukraine but abroad. What one must do to correct this situation?

Dear friends, I do need your help. I’m asked such questions and asked to prepare the report on how the USA can help Ukraine (besides the finances, because a lot of that had entered the country but in reality it resulted in no changes). How, in conditions of a dead-end situation, to fix economic relationships of the USA and Ukraine. How you would have answered the following questions (write in comments or in personal messages):
1. What kind of help, except for the financial kind, from the countries of the Europe and the USA, may accelerate process of power independence and help with progress of oil-and-gas sector?
2. What guarantees can Ukraine present to foreign investors or, to be more precise, what guarantees one needs to create for investors today?
3. When the private business sector in the country will receive the legislative guarantor of protection and how one may assist it?
4. How it is possible to carry out reforms and to lower a level of corruption in the leading echelons of power?
5. How to adjust an infrastructure of national and private business sectors?
6. What is necessary so that existing and yet not developed deposits have started to work with full power?
7. When the young generation of experts, who already partly have leading positions, will have an opportunity INDEPENDENTLY, on the basis of democratic principles, to operate the entrusted departments?

I wish to add that the energy sector of the USA and its leaders are ready to provide considerable aid to Ukraine, but only not financial one, because such an experience has not justified itself. This time the help of practical character would be good, in the form of consultations, attraction of the best experts of the country, maintenance with the modern equipment, disclosing of used technologies and even assistance in necessary reforms. In other words, to cease to feed them with the fish and to provide with qualitative fishing tackles!

There is only one question actually: whether Ukraine is ready to accept this fishing tackle and to learn how to use it? If it is not ready, then isn’t it a right time to bring the issue to the order of the day?

P.S. I’m assured that Ukraine is worthy to receive the best hi-tech equipment.

– Andrey Avramenko,
CEO of Skyline Energy Development: https://skyledllc.com

Houston. Texas. I participate in a three-day Global Business Conference of US oil companies NAPE. This event brought together leaders of the major companies and national institutions of the energy sector. The latest statistics were shown. Growth trends of increasing work in the fields and the number of rigs are impressive. 82 units of equipment was added in the country in last four weeks.

On the pictures: I personally met Joe Navarro, psychologist, author of the book “Louder than words” and other publications, which the FBI employees use in their work. And finally personally met a successful leader of our sector, the billionaire, president of Parsley Energy, Bryan Sheffield. We talked about a possible partnership and joint projects.

This year really will be the year of reforms in the energy sector of the US! Joe Navarro​ Bryan Sheffield​

•Andrey Avramenko, CEO of the international oil and gas company, Skyline Energy Development https://skyledllc.com/

Last days of January began by abounding with headings of leading publications of the world: «Trump will drown the world in the American oil?», «Trump will lessen the value of oil», «Export of oil to the USA will exceed extraction of the OPEC countries», and with others.

On January, 24th, the third day of presidency, Trump removes a ban on two oil projects Keystone XL and Dacota access and begins their construction, which creates 28,000 new jobs in the USA. On the basis of the plans of the president, the USA once again should be independent from import of energy carriers. By estimation of experts from Bloomberg, the USA, the world leader of oil, can reach sales of 800,000 barrels a day, which is quite more than OPEC (Libya, Qatar, Gabon and Ecuador) has made in December, 2016.

While 24 leading manufacturers, including OPEC and Russia, have agreed about the restriction of extraction, the American companies keep adding quantity of drilling outfits and build new oil pipelines.

Foresight of plans of the president on oil and gas sector of the USA are seen not only in the above-stated projects, but also in candidates whom the new president has promoted as a Secretary of State and Energy Minister. The first one is ex-CEO of ExxonMobil, the other one is a former governor of the main oil and gas state of USA – Texas.

Trump’s planning a lot of nuances and for some people they do sound arrogantly, but anyway, average and large American business and their investors will remain only profitable as a result of such reforms.

«We will make America great again!» – Donald Trump.

•Andrey Avramenko, CEO of the international oil and gas company, Skyline Energy Development https://skyledllc.com/

The prices for natural gas have increased for 72% for the last 6 months – with such headings news of oil and gas

So, is Ukraine capable to reach energy independence? The answer to this question now interests not only Ukrainians, but also the world community.

Those who invested in Ukraine in the past, could be not so happy with the result

1. TOP 3. Today, the United States is the world’s third largest exporter of upstream O&G equipment, with close to

“Ideas. Innovations. Impact” – a conference was held under this slogan and exhibition of modern equipment

And this is just the beginning… Exxon Mobil Corp. has become the first major U.S. oil company to ship American crude overseas, joining a band of independent traders that are trying to ease a glut at home after a 40-year export ban was lifted.