Baker Hughes’ counts of active drilling rigs continue to decline as of June 23.  U.S. count of 682 is down for the eighth straight week (687 last week, 753 year ago).  Permian count is down for the seventh time in the last eight weeks to 341 (342 last week, 349 year ago).  There are 345 […]

Colorado-based research firm East Daley Analytics reported recently that crude oil pipelines to Port of Corpus Christi are operating at or near 90 percent utilization to send some Permian crude to Houston, Beaumont-Port Arthur or Louisiana.  Crude oil pipelines are restricted from offering committed service on more than 90 percent of their capacity – leaving […]

Denver-based SM Energy said last week it agreed to purchase 20,000 net acres in Dawson and northern Martin counties in west Texas for $93.5 million and an additional 2,800 net acres adjacent to its previously announced acquisition in 2023Q1 of 6,300 net acres in Midland Basin.  Current production on the Dawson/Martin purchase is 1,250 boed […]

Since resuming drilling and completions in second half 2022 after pandemic, Marathon Oil has brought online 23 wells in northern Delaware Basin as of early May, including 18 extended laterals averaging 9,000 feet. Enverus reported that the extended laterals are delivering cumulative oil volumes that outperform the Delaware Basin’s top quartile of wells by 30 […]

Following new domestic and global trends, International Energy Agency said recently that energy companies allocated only 48 percent of their operating cash flow for capital spending in 2022 – down sharply from 93 percent in 2016. And they increased dividends and share repurchases to 39 percent of cash flow compared to 7 percent in 2016. […]

Texas’ budget for the next two years signed into law Sunday by Gov. Greg Abbott includes $481 million for fiscal years 2024 and 2025 for Railroad Commission of Texas, which regulates the state’s oil and gas industry. HB 1 authorizing a budget of $321.3 billion was certified by comptroller Glenn Hegar before being signed by […]

Denver-based Civitas Resources said Tuesday it is acquiring oil-producing assets in Delaware and Midland basins in west Texas in two separate agreements totaling about $4.7 billion from portfolio companies of NGP Energy Capital Management. The deals mark Civitas’ entry into the Permian Basin. “These transactions make Civitas a better company,” CEO Chris Doyle said, “and […]

U.S. Energy Information Administration said natural gas production in Permian Basin reached a record 21 billion cubic feet per day in 2022 – an increase of 14 percent over 2021 – and continues to increase in 2023.  The latest EIA drilling productivity report says Permian is expected to produce 22.878 Bcfd in July– up 60 […]

A recent report from Texas Climate Jobs Project and Marshall Center at University of Texas said methane mitigation could create 35,000 jobs in Texas – 20,000 jobs to implement standards of the proposed methane rule by U.S. Environmental Protection Agency and 15,000 other jobs to address emissions, including 5,000 to cap orphan wells.  Christopher Agbo, […]

U.S. Department of Energy is accepting offers for an additional three million barrels of sour crude oil for the nation’s strategic petroleum reserve for delivery in September to the Big Hill SPR site in southeast Texas.  DOE said June 9 the deadline to receive offers is June 20.  Minimum offer is 300,000 barrels, and maximum […]