Posts

Major companies' recent mergers and acquisitions of independent oil firms have positively reshaped the energy industry in the Permian Basin.

Big oil mergers promise greater stability

/0 Comments/in /by

The recent series of mergers and acquisitions of independent oil companies by major companies has reshaped the energy industry for the better in the Permian Basin.

Odessa oilman Kirk Edwards, State Rep. Brooks Landgraf and Waco economist Ray Perryman say one of the big benefits will be more stability in the oil and natural gas markets as the major companies prove much less reactive to price fluctuations than the independents always were.

Starting last fall and continuing through the spring, ExxonMobil bought Pioneer Natural Resources for $60 billion, Chevron merged with the Hess Corp. for $53 billion, Diamondback Energy obtained Endeavor Energy Resources for $26 billion and Occidental Petroleum acquired CrownRock Operating for $12 billion. ConocoPhillips bought Concho Resources for $13.3 billion in 2020.

Click here to read the full article
Source: OA online

—

If you have any questions or thoughts about the topic, feel free to contact us here or leave a comment below.

Over the next 12 months, US Energy plans to invest over $750 million, primarily targeting projects in the Permian region.

US Energy Development Corporation to invest $750 million on Permian projects

/0 Comments/in /by

U.S. Energy Development Corporation (U.S. Energy) is expanding its operations in the prolific Permian basin. U.S. Energy is poised for significant growth and development in one of the most productive oil and gas regions in the United States.

Over the next 12 months, the company expects to deploy upwards of $750 million, with the majority of this capital earmarked for projects in the Permian.

Following closely on the heels of its success with the JT Morris pad, U.S. Energy brought its Westway 2122 two-well pad online in mid-June. Similar to JT Morris, the Westway project was completed under budget and ahead of schedule.

Click here to read the full article
Source: Oil & Gas 360

—

If you have any questions or thoughts about the topic, feel free to contact us here or leave a comment below.

The oil and gas industry has experienced a number of booms and busts over the past few decades, but for now, it appears to be flush with cash.

Oil and gas companies are swimming in so much cash that they’re cutting back on borrowing at a faster pace

/0 Comments/in /by

Last year, the demand for loans from fossil-fuel companies fell 6% year-on-year and that followed a decline of 1% in 2022.

From a climate perspective, this may sound like good news because the drop in bank lending to oil, gas and coal companies should mean less investment and less production over time.

The reality, however, is that oil and gas companies don’t need a lot of loans because they’re generating so much money these days from their underlying businesses, said Andrew John Stevenson, senior analyst at Bloomberg Intelligence. And that trend is likely to continue through the end of the decade, he said.

Click here to read the full article
Source: Fortune

—

If you have any questions or thoughts about the topic, feel free to contact us here or leave a comment below.

Despite the Biden administration's ambitious climate goals, the oil & gas industry in the US has seen unprecedented growth and profitability.

US oil and gas companies profits skyrocket as the US becomes the energy supplier of choice

/0 Comments/in /by

Despite the Biden administration’s ambitious climate goals, the oil and gas industry in the United States has seen unprecedented growth and profitability. The top 10 listed oil and gas producers in the US have reported a combined net income of $313 billion in the first three years of President Biden’s term (Financial Times), this is three times the $112 billion generated during the same period under President Trump.

This surge in profitability can be attributed to several factors, including record-high production levels as well as significant cost reduction particularly in the oil rich Gulf of Mexico. In December 2023, US oil production reached 13.5 million barrels per day, surpassing all previous records. According to the US Energy Administration, by 2024 the US will reach the daily production of 14 million barrels per day. Additionally, natural gas production exceeded 105 billion cubic feet per day for the first time. These achievements have solidified the US as a global energy leader, with the country now ranking as the second-largest exporter of crude oil and the largest exporter of liquefied natural gas (LNG), overtaking Qatar.

Click here to read the full article
Source: FX Street

—

If you have any questions or thoughts about the topic, feel free to contact us here or leave a comment below.

Exxon Mobil Corp. and Chevron Corp. surpassed earnings forecasts. Exxon rose as much as 1.6% in New York and Chevron climbed 2.8%.

Booming shale production lifts Exxon, Chevron forecasts as oil and gas earning season kicks off

/0 Comments/in /by

Exxon Mobil Corp. and Chevron Corp. surpassed earnings forecasts as bigger-than-expected oil output from shale fields helped cushion the blow from weakening crude prices.

Exxon rose as much as 1.6% in New York and Chevron climbed 2.8%. Exxon’s outsized result also was aided by a $1.14 billion boost from unsettled derivatives and record fuel production at its refineries.

Chevron, meanwhile, posted adjusted earnings of $3.45 a share that exceeded the Bloomberg Consensus estimate by 23 cents. The oil explorer also raised its dividend by a higher-than-forecast 8%.

Click here to read the full article
Source: World Oil

—

If you have any questions or thoughts about the topic, feel free to contact us here or leave a comment below.

The Texas Electricity Supply Chain Map now includes more information that will assist state emergency officials during disasters.

Texas regulators unveil new oil, gas, utility infrastructure map to assist during extreme weather

/0 Comments/in /by

According to a jointly-released statement from the Railroad Commission of Texas and the Public Utility Commission of Texas, the Texas Electricity Supply Chain Map now includes more information that will assist state emergency officials in preparing for, responding to and recovering from weather emergencies or other disasters.

The map was created in April 2022, and has successfully been used by state emergency officials during weather emergencies including severe storms last winter season. It’s a crucial tool used by the Public Utility Commission of Texas (PUCT), the Railroad Commission (RRC), and state emergency responders to respond to issues in real-time through direct communication and movement of resources necessary for maintenance or repair of electric generation and transmission infrastructure during an emergency.

The map has more than 12,746 facilities, including electricity generation plants powered by natural gas, electric substations, natural gas processing plants, underground gas storage facilities, oil and gas well leases, saltwater disposal wells. It also has more than 21,000 miles of gas transmission pipelines and approximately 60,000 miles of electric transmission lines;

Click here to read the full article
Source: World Oil

—

If you have any questions or thoughts about the topic, feel free to contact us here or leave a comment below.

Year-to-date through July 2023, TX accounts for 43.3% of all oil production and 27.4% of all natural gas marketed production in the country.

Report: Texas oil and natural gas industry breaks decades-old production records

/0 Comments/in /by

The powerhouse of the U.S. energy sector—the Texas oil and natural gas industry—reached a new record production high in June and July, surpassing all-time highs set 30 and 40 years ago, according to an energy economics analysis published by Texas Oil & Gas Association.

The analysis, conducted by TXOG’s Chief Economist Dean Foreman, Ph.D., shows that Texas’ production of oil, natural gas, and natural gas liquids broke previous records and that resource reserves are expected to support decades of prospective production. It also highlights a range of records broken in May, also surpassing previous 30- and 40-year-old highs.

Click here to read the full article
Source: The Center Square

—

If you have any questions or thoughts about the topic, feel free to contact us here or leave a comment below.

 

The US and its core allies see rising oil and gas prices as serious economic and political threats to them.

Why OPEC+ will do whatever it can to send oil prices higher

/0 Comments/in /by

The relentless drive of OPEC+ to keep driving oil prices higher, as predicted by OilPrice.com some time ago, was seen again in last week’s extension of major additional cuts made to the initial reductions in output first put into place last October. On 3 August, the de facto leader of the OPEC part of the group, Saudi Arabia, announced it will continue the additional 1 million barrel per day (bpd) cut in production that it announced in June through into September at least. Russia, looking to quietly sell its oil at a discount to the OPEC+ rate through backdoor channels, as also analysed by OilPrice.com, said it will taper its 500,000 bpd additional export cut for August to 300,000 bpd in September. These extended cuts come on top of the 3.66 million bpd in collective cuts from the OPEC+ oil cartel implemented since October 2022. The key questions now are: will OPEC+ keep oil prices rising through further production cuts and, if so, what can the West do about it?

Click here to read the full article
Source: Oil Price

—

If you have any questions or thoughts about the topic, feel free to contact us here or leave a comment below.

US oil and gas output still rising in response to high prices last year

/0 Comments/in /by

 U.S. oil and gas production continued to rise strongly in March – the delayed impact of very high prices that prevailed until the third quarter of 2022.

Oil output increased by 171,000 barrels per day (b/d) in March compared with February, according to the U.S. Energy Information Administration (“Petroleum supply monthly”, EIA, May 31).

The gains were led by the Lower 48 states (+137,000 b/d) and Gulf of Mexico (+45,000 b/d), which more than offset lower production from Alaska (-11,000 b/d).

Output rose by almost 10% in the first three months of 2023, compared with the same period a year earlier, and was the second-highest for the time of year after 2020.

Click here to read the full article
Source: Reuters

—

If you have any questions or thoughts about the topic, feel free to contact us here or leave a comment below.