U.S. Department of Energy said today it is awarding $1.2 billion in federal grants to projects in Texas and Louisiana to directly remove carbon dioxide from the air.  Each is scheduled to remove more than one million metric tons of carbon emissions per year.  DOE selected projects proposed by Occidental Petroleum subsidiary 1PointFive and partners […]

Fort Worth-based Kimbell Royalty Partners said last week it is acquiring mineral and royalty interests in Permian Basin and midcontinent from a private seller for $455 million.  Bob Ravnaas, chairman and CEO, said Aug. 2 the deal is the largest in Kimbell’s history and will significantly enhance its position in Permian Basin.  “The targeted portfolio […]

Tulsa-based Magellan Midstream Partners said last week it completed expansion of its refined products (gasoline and diesel fuel) pipeline (additional 30,000 barrels per day) to El Paso from Houston.  New pipe (16 inches) between Odessa and Crane (30 miles) will increase capacity of the pipeline to about 100,000 b/d.  Magellan said Aug. 3, “An early […]

Houston-based Occidental Petroleum said last week three of the four regions of its oil business topped forecasts for production in 2023Q2.  Production in Permian Basin averaged 582,000 boed – up slightly from 2023Q1 and 4,000 boed above high end of guidance.  Well productivity in Delaware Basin is running 11 percent ahead of 2022. Vicki Hollub, […]

Houston-based Plains All American Pipeline said last week its subsidiary Plains Oryx Permian Basin – a joint venture of Plains and Oryx Midstream Services Permian Basin – acquired Diamondback Energy’s 43 percent interest in OMOG JV for about $225 million ($145 million net to Plains’ interest).  Oil & Gas Journal said the OMOG crude oil […]

U.S. Energy Information Administration said Tuesday it expects record U.S. crude oil production of 12.76 million barrels per day in 2023 and 13.09 million b/d in 2024.  In its short-term energy outlook, EIA attributed the records to “higher expected well-level productivity and higher crude oil prices.”  Previous forecasts July 11 were 12.6 million b/d in […]

Pioneer Natural Resources CEO Scott Sheffield told Reuters last week in Houston he expects oil prices to range from $80 to $100 a barrel this year and in 2024 as demand outpaces supply along with production cuts from Saudi Arabia and underinvestment by U.S. producers.  The outlook is lower than the $90 to $100 forecast […]

New Mexico added 2 drilling rigs in the past week to match its 2023 high with 113 rigs, but rig counts in Permian Basin, Texas and U.S. continued to decline.  Baker Hughes said as of Aug. 4 there were 314 rigs in Texas (down 8 in past week, down 59 in past year), 329 in […]