Core Viewpoint - BP and JERA have decided to discontinue their joint offshore wind venture, JERA Nex bp, in the US due to significant political pushback and challenges in the offshore wind sector [1][2][3]. Group 1: Project Details - The planned 2.5 gigawatt (GW) Beacon wind farm off Massachusetts is directly impacted by the decision to cease operations [1]. - The joint venture, JERA Nex bp, was established in December 2024 and officially launched in August 2025, with a combined net potential generating capacity of 13GW [3][4]. - The venture includes 1GW of installed net generating capacity, a development pipeline of 7.5GW, and secured leases amounting to 4.5GW [4]. Group 2: Challenges Faced - The US offshore wind industry is experiencing significant challenges, including supply chain disruptions, inflation, and political risks, particularly for projects in federal waters [2]. - The current political environment under President Donald Trump has led to a halt in several offshore wind projects, creating uncertainty for future developments [1][2]. Group 3: Future Plans - Despite ceasing operations, JERA Nex bp will retain lease rights for the Beacon project and will monitor the situation for a more favorable time to restart development [3].

Core Viewpoint - JERA Nex BP, a joint venture between Japan's JERA and BP, is halting the development of the U.S. Beacon offshore wind power project and will lay off its U.S. employees in the coming months [1] Company Summary - JERA Nex BP is a joint venture formed by Japan's leading power generator JERA and BP [1] - The decision to halt the Beacon offshore wind power project indicates a strategic shift or challenges faced by the company in the U.S. market [1] Industry Summary - The offshore wind power sector may experience disruptions due to the withdrawal of significant players like JERA Nex BP, potentially impacting future investments and project developments [1]

Core Insights - The focus of U.S. oil production is shifting from shale oil to offshore projects in the Gulf of Mexico due to technological advancements, maturity of shale reserves, and supportive federal policies [2][3] Industry Trends - The U.S. Energy Information Administration (EIA) predicts that oil production in the Gulf of Mexico will increase from 1.8 million barrels per day to 2.4 million barrels per day by 2027 [2] - The Bureau of Ocean Energy Management (BOEM) supports this forecast, attributing growth to streamlined approval processes, advancements in offshore drilling technology, and renewed investment interest [2] - BP announced a $5 billion investment in the Tiber-Guadalupe project, which is expected to produce approximately 350 million barrels of oil and increase BP's daily production in the U.S. by 80,000 barrels [2] Company Developments - Talos Energy discovered oil and gas resources in the Gulf of Mexico, marking the most significant exploration success since Shell's Whale field discovery in 2017, with peak daily production expected to reach 65,000 barrels [3] - BP aims to increase its daily oil production in the Gulf to 400,000 barrels by 2030 [2] Economic Considerations - Offshore projects, despite higher initial costs, may have a lower breakeven point compared to shale oil, with estimates suggesting breakeven could drop to $20 per barrel for offshore projects versus $48 per barrel for shale [4] - The EIA forecasts Gulf of Mexico oil production to reach 1.89 million barrels per day this year, with a modest increase to 1.96 million barrels per day by 2026 [4] Policy Implications - Analysts believe that if favorable federal policies continue, the growth in offshore oil production could offset declines in onshore production [5] - The previous administration's focus on domestic energy production through regulatory relaxation has boosted offshore drilling activities, but potential changes in governance could impact future developments [5]

Core Insights - BP plc has made a significant hydrocarbon discovery in the Orange Basin offshore Namibia, confirmed through the Volans-1X exploratory well [1][7] - The well encountered 26 meters of net pay with rich gas condensate and demonstrated excellent reservoir properties, indicating high commercial potential [2][7] Discovery Details - The Volans-1X well was drilled to a total true vertical depth subsea of 4,497.5 meters, reaching the Upper Cretaceous geological formation [2] - The well showed a high condensate-to-gas ratio exceeding 140 barrels per million standard cubic feet (bbl/mmscf), indicating a liquid-rich gas composition [2] Partnership and Operations - Rhino Resources operates the PEL85 with a 42.5% working interest, alongside partners Azule Energy (42.5% WI), NAMCOR (10% stake), and Korres Investments (5% stake) [3][7] - Azule Energy is a joint venture between BP and Eni, which has previously made significant discoveries in Africa [3] Regional Context - The Orange Basin is emerging as a hotspot for global energy majors, with several major oil companies making discoveries in the region [4] - Namibia aims to replicate the success of Guyana, which has seen a significant oil boom, although it faces challenges due to underdeveloped infrastructure [4]

UK-based bp has confirmed an oil and gas discovery at the Volans-1X exploration well in Namibia's Orange Basin, operated by Rhino Resources. BP holds a 50% interest in Azule Energy, which is a co-venturer in the Orange basin, alongside Namibian national oil company NAMCOR and Korres Investments. The exploration well, drilled under Petroleum Exploration Licence 85 (PEL85), reached a true vertical depth subsea of 4,497.5m. It penetrated the Upper Cretaceous target and encountered 26m of net pay in gas con ...

Group 1: Report Investment Rating - No information provided on the industry investment rating Group 2: Core Viewpoints - Crude oil prices are likely to continue oscillating at low levels, with geopolitical support at the bottom but limited upward momentum [5] - In the short term, the shutdown of Russian refineries and the "rush to transport" demand before the implementation of EU sanctions may provide marginal support for oil prices, but the discovery of new oil fields by BP, the price cut of gasoline in Brazil, and the strengthening of the substitution effect of renewable fuels in the US have strengthened the expectation of loose supply [5] - On the demand side, weak industrial data in China and energy transition policies in Europe and the US have suppressed refinery operating rates, and the strengthening of the SC - WTI spread may stimulate an increase in arbitrage shipments, all of which limit the rebound space of oil prices [5] - If the geopolitical conflict does not escalate further, oil prices may continue to decline [5] Group 3: Summary by Directory 1. Daily Market Summary - **Crude Oil Futures Market Data Changes**: On October 20, 2025, the price of the SC crude oil main contract rose slightly by 0.18% to 435.8 yuan/barrel, while the prices of WTI and Brent remained flat at $57.25/barrel and $61.34/barrel respectively. The SC - Brent spread rebounded from -$0.3/barrel to -$0.16/barrel (a 46.67% increase), and the SC - WTI spread strengthened to $3.93/barrel, indicating a narrowing of the discount of Chinese crude oil futures relative to the external market. The spread between SC continuous and SC consecutive 3 widened to -5.9 yuan/barrel, showing that the market's expectation of tight future supply has loosened [1] - **Supply - Side Analysis**: The suspension of production at Russia's new Kuybyshevsk refinery due to a drone attack may affect Russian refined oil exports in the short term, but the Russian Foreign Ministry reaffirmed normal oil transportation to India, indicating that the actual impact of geopolitical risks on crude oil supply is limited. The EU's proposal to gradually stop importing Russian oil and gas by 2028 may weaken Russia's energy revenue in the long term, but the market reaction is dull in the short term due to the long policy implementation cycle. BP's discovery of a new oil field in Namibia and Petrobras' 4.9% cut in gasoline prices may imply that the production increase pressure from non - OPEC+ countries still exists [2] - **Demand - Side Analysis**: The increase in the blending volume of renewable fuels in the US in September, combined with the continuous promotion of energy transition policies, may form a substitution pressure on traditional crude oil demand. In China, the year - on - year growth rate of industrial added value of enterprises above designated size slowed down to 5.0% in September (previous value: 5.2%), and the GDP in the third quarter did not meet expectations. Weak industrial activities may suppress crude oil import demand. The significant decline in fuel oil warehouse receipts is related to the recovery of refinery profits, but the terminal consumption of refined oil has not significantly improved [3] - **Inventory - Side Analysis**: There are no signs of unexpected inventory accumulation in Cushing and commercial crude oil inventories in the US, but the SC crude oil warehouse receipts remain at a high level of 5.21 million barrels. Coupled with the continuous pressure on the near - month contracts of WTI and Brent, it reflects that the global crude oil market is still in a pattern of loose supply and demand [4] - **Price Trend Judgment**: Crude oil prices may continue to oscillate at low levels, with geopolitical support at the bottom but limited upward momentum. In the short term, the shutdown of Russian refineries and the "rush to transport" demand before the implementation of EU sanctions may provide marginal support for oil prices, but the discovery of new oil fields by BP, the price cut of gasoline in Brazil, and the strengthening of the substitution effect of renewable fuels in the US have strengthened the expectation of loose supply. On the demand side, weak industrial data in China and energy transition policies in Europe and the US have suppressed refinery operating rates, and the strengthening of the SC - WTI spread may stimulate an increase in arbitrage shipments, all of which limit the rebound space of oil prices. If the geopolitical conflict does not escalate further, oil prices may continue to decline [5] 2. Industrial Chain Price Monitoring - **Crude Oil**: On October 20, 2025, the price of the SC crude oil main contract rose slightly by 0.18% to 435.8 yuan/barrel, while the prices of WTI and Brent decreased slightly. The SC - Brent and SC - WTI spreads strengthened, and the spread between SC continuous and SC consecutive 3 widened. The US commercial crude oil inventory increased by 0.84%, the Cushing inventory decreased by 3.10%, and the US strategic reserve inventory increased by 0.19%. The API inventory increased by 1.66%. The US refinery weekly operating rate decreased by 7.25%, and the crude oil processing volume decreased by 7.16% [7] - **Fuel Oil**: The prices of FU and LU futures increased slightly, and the price of NYMEX fuel oil also increased slightly. Most of the spot and paper - cargo prices remained unchanged. The Platts prices of 380CST and 180CST decreased, and the Singapore inventory increased by 5.89% [8] 3. Industrial Dynamics and Interpretation - **Supply**: On October 20, Russia's new Kuybyshevsk refinery suspended production due to a drone attack. The EU passed a proposal to gradually stop importing Russian oil and gas by January 1, 2028 [9][10] - **Demand**: Brazil's state - owned oil company Petrobras cut the wholesale price of gasoline by 4.9%. The blending volume of renewable fuels in the US in September increased compared with August [11] - **Inventory**: The SC crude oil warehouse receipts remained at a high level of 5.21 million barrels, and the fuel oil warehouse receipts decreased by 13,570 tons [4][8] - **Market Information**: As of October 21, the prices of WTI and Brent crude oil futures declined. Analysts believe that weak growth expectations, energy transition, and tariff tensions have suppressed the overall outlook for crude oil [13][14] 4. Industrial Chain Data Charts - Multiple data charts are provided, including the prices and spreads of WTI and Brent first - line contracts, US crude oil weekly production, OPEC crude oil production, etc., which comprehensively reflect the supply, demand, and price trends of the crude oil and fuel oil markets [16][18][20]

BP confirmed on Monday an oil and gas discovery in the Orange basin offshore Namibia, where supermajors have made several major discoveries in recent years.   The UK-based energy giant, which is a co-venturer in the exploration license via its 50/50 company with Italy’s Eni, Azule Energy, can confirm the preliminary results of the Volans-1X exploration well, as reported by operator Rhino Resources earlier this month. Petroleum Exploration License 85 (PEL85), where the well was drilled, is operated by Rh ...

Core Viewpoint - BP is selling its North Sea assets to Serica Energy for $232 million, which is expected to enhance Serica's production and cash flow, particularly through the acquisition of a 32% interest in the Culzean gas condensate field, the largest gas project in the UK North Sea [2][3][6] Group 1: BP's Financials and Market Position - BP's stock is currently priced at $33.12, reflecting a 0.67% decrease with a market capitalization of approximately $86.69 billion [5] - Jefferies maintains a "Hold" rating for BP and has increased the price target to 420 GBp from 400 GBp [1][6] Group 2: Serica Energy's Acquisition Strategy - Serica Energy plans to finance the acquisition using cash flow from the Culzean field and existing financial resources, including a $525 million reserve-based lending facility [4] - The acquisition is viewed as transformative for Serica, significantly boosting its production and cash flows [3][6]

Group 1: Hong Kong Stocks - Lao Pu Gold (06181) rose over 5%, with Morgan Stanley reaffirming an "overweight" rating due to clear brand value enhancement trends [1] - Pop Mart (09992) increased over 3%, as Apple CEO received a special gift, and Labubu is expected to become a world-class cultural IP brand [1] - Jitu Express-W (01519) rose over 3%, reporting strong growth in parcel volume in Southeast Asia and new markets for Q3 2025 [1] - Guoquan (02517) surged over 10%, with improved restaurant sentiment and expectations for Q4 store openings [1] - Geely Automobile (00175) increased over 4%, with Geely Holding Group's quarterly sales surpassing 1 million units for the first time [1] - Rongchang Bio (09995) rose over 3%, as the application for the marketing of Tai Tasi Pi for IgA nephropathy treatment was accepted and prioritized for review [1] - Mixue Group (02097) rose over 6%, with Mixue Ice City beer trending on Weibo, and institutions optimistic about the company's brand expansion [1] - Jinli Permanent Magnet (06680) fell over 1%, despite a projected net profit increase of over 157% for the first three quarters [1] - Bilibili-W (09626) rose over 3%, officially launching a "Double 11" promotion and achieving deep data integration with Alibaba and JD [1] Group 2: US Stocks - Navitas Semiconductor (NVTS.US) surged 26.08%, with advancements in 800VDC GaN and SiC power devices [3] - Ericsson (ERIC.US) rose 20.56%, reporting a net profit of 11.15 billion SEK for Q3, nearly doubling year-on-year and exceeding analyst expectations [3] - Tesla (TSLA.US) fell 1.53%, as the NHTSA announced an investigation into approximately 2.88 million Tesla vehicles equipped with "full self-driving" systems [3] - PayPal (PYPL.US) rose 0.42%, but Goldman Sachs downgraded its rating to "sell" due to margin pressures and a slowing growth path for 2026 [3] - BP (BP.US) fell 1.75%, with expectations of increased profitability driven by upstream production growth and refining margins [3] - Intel (INTC.US) dropped 4.27%, as Bank of America downgraded its rating from "neutral" to "underperform," maintaining the target price at $34 [3] - Target (TGT.US) rose 1.85%, with D.A. Davidson lowering the target price from $115 to $108 while reiterating a "buy" rating [4] - Albertsons (ACI.US) surged 13.63%, reporting Q2 FY2025 revenue of $18.9158 billion and adjusted EPS of $0.44, exceeding expectations [4] - Arm (ARM.US) fell 2.20%, as OpenAI announced a strategic partnership with Broadcom to develop custom AI chips and network systems [4] - Walmart (WMT.US) rose 4.98%, collaborating with OpenAI to allow consumers to browse and purchase Walmart products directly through ChatGPT [4]

In the latest trading session, BP (BP) closed at $33.11, marking a -1.75% move from the previous day. This change lagged the S&P 500's 0.16% loss on the day. Meanwhile, the Dow experienced a rise of 0.44%, and the technology-dominated Nasdaq saw a decrease of 0.76%. The oil and gas company's stock has dropped by 1.49% in the past month, falling short of the Oils-Energy sector's loss of 0.37% and the S&P 500's gain of 1.14%.Market participants will be closely following the financial results of BP in its upco ...