More than 20,000 people from 86 countries and 49 states watched Tuesday’s proration hearing conducted by Railroad Commission of Texas. Fifty-five people testified during the 10-hour hearing on the contentious proposal to limit production and address falling crude oil prices amid global oversupply, increasing financial losses and the demand-killing coronavirus. One of the biggest Texas […]
Riding the Wave
With the proliferation of hydraulic fracturing since around 2010, the good news is that oil and gas production have exploded, reaching never-before-seen levels and practically eliminating net imports. The challenge, however is that fracturing requires millions of barrels of water—fresh or recycled—and also produces millions of barrels of water that must be reused or returned […]
Crude oil, natural gas operators reduce spending in Permian Basin
More operators are reacting to commodity price downturn and industry current conditions by reducing 2020 capital spending in Permian Basin. They include: Apache reduced its 2020 capital budget to about $1.1 billion – down from about $1.75 billion – and will idle all its rigs in Permian Basin and reduce drilling elsewhere. “We are significantly […]
U.S. status as net petroleum exporter “at risk” as majors trim budgets
The U.S. status as a net petroleum exporter is at risk, Bloomberg said this week, as plunging oil prices threaten domestic production. U.S. recently began exporting more petroleum that it imports because of “record shale production in fields such as the Permian Basin.” Bloomberg added, “Now, amid the worst price rout in nearly three decades, […]
Centennial reduces operated rigs in Reeves County to three
Denver-based Centennial Resource Development said Feb. 24 it is reducing operated rigs in Reeves County to 3 beginning in 2020Q2 with a focus on upper Wolfcamp A and third Bone Spring sand zone. Another rig will be allocated to Lea County, N.M. Centennial is reducing its 2020 capital budget 28 percent compared to 2019. The […]
Permian Basin adds rigs for fourth straight week to reach 415
Permian Basin, Texas, New Mexico and U.S. each added rigs in the past week, according to the weekly report of active oil and gas drilling rigs for March 6 from Baker Hughes. Permian added 4 rigs for a new total of 415 (411 week ago, 465 year ago, 405 to start 2020), and Texas added […]
ONEOK plans to expand West Texas LPG pipeline
Tulsa-based ONEOK said Feb. 24 it plans to expand its West Texas LPG pipeline at a cost of $310 million. The fully-contracted 100,000 b/d pipeline expansion is expected to be completed in 2021Q2 and is supported by long-term dedicated NGL production from third-party natural gas processing plants in Permian Basin. West Texas LPG is a […]
Permian adds rigs for third straight week, record production continues
Permian Basin added rigs for the third straight week as of Feb. 28 in Baker Hughes’ weekly report of active oil and gas drilling rigs amid reports of continued record production in U.S., rising exports and sinking global demand. Permian added 2 rigs in past week for a new total of 411 (466 a year […]
Cimarex to spend 90 percent of drilling/completion budget in Permian
Denver-based Cimarex said Feb. 19 it will spend more than 90 percent of its drilling and completion capital investment of $950 million to $1.05 billion in 2020 in the Permian Basin. The company plans for a total of 77 wells on production in 2020, including 25 in 2020Q3, in Permian Basin. Permian activities will focus […]
Sharing Her Vision: A Basin Thought Leader
A PBPA Q&A with Vicki Hollub, President and CEO, Occidental Petroleum Corporation Occidental is the largest producer in the Permian Basin, and the company has been a valued operator in the region and member of the Permian Basin Petroleum Association. Tell us about Occidental’s business in the region. We are proud to be the No. […]
