Chevron CFO Pierre Breber said last week the company’s capital budget this year is $14 billion – 65 percent below its peak in 2014 – and it could take until the second half of 2021 or early 2022 before Chevron increases spending on new drilling in Permian Basin. “We have paused in the Permian because […]

Surge Energy America, subsidiary of Houston-based Surge Energy US Holdings, said this week it agreed to acquire leasehold interest and producing wells in Howard County from Grenadier Energy Partners for $420 million. The acreage includes average production of 9,000 boed (75 percent oil), 18,100 leasehold acres, and an operated inventory of 120 future drilling locations. […]

French oil major Total and Lightsource BP both recently announced solar projects in Texas. Total and 174 Power Global said Jan. 14 they formed a joint venture to develop 12 solar and energy storage projects in Texas, Nevada, Oregon, Wyoming and Virginia. The projects include three in west Texas, one in north central Texas and […]

Despite a small decline of 1 rig in Permian Basin, Texas again posted the largest increase (up 6 rigs in past week) in Baker Hughes’ weekly counts of active oil and gas drilling rigs in U.S. As of Jan. 22, Baker Hughes said Texas had 175 rigs (169 previous week), New Mexico had 65 rigs […]

The latest drilling productivity report from U.S. Energy Information Administration forecasts another month of declining crude oil production in the nation’s seven major regions. Total production in the seven regions in February is expected to be 7.522 million barrels per day – down 89,000 b/d from 7.611 million barrels per day in January. Production in […]

Houston-based Centurion Pipeline said Tuesday it began service on schedule of its 30-mile Augustus crude oil pipeline Dec. 1, 2020. The 20-inch and 18-inch pipeline moves WTI, WTL and WTSR from Midland to Crane to connect Centurion’s Midland terminal (capacity of 2 million barrels) to multiple long-haul transmission pipelines. Capacity of Augustus is 150,000 barrels […]

Ring Energy said this week it relocated its corporate headquarters from Midland to The Woodlands effective Jan. 19 as it implements “a new strategic vision.” Ring said Monday it is closing offices in Andrews and Tulsa and downsizing its Midland office. Paul D. McKinney, CEO and chairman, said, “We wanted to reduce our fixed G&A […]

U.S. Bureau of Land Management held an auction of oil and gas leases in four states Jan. 14 that produced more than $4 million as companies took advantage of the final opportunity to acquire federal acreage before the inauguration of President Joe Biden, who promised to ban new drilling on public lands. Reuters said 6,851 […]

Count of active oil and gas drilling rigs in Permian Basin is up 14 percent in first 2 weeks of 2021, according to reports from Baker Hughes. As of Jan. 15, there were 189 rigs in Permian Basin (179 previous week, 175 to start 2021), 169 rigs in Texas (161 previous week, 161 to start […]

Texas Petro Index declined for the 21st straight month in November 2020 to 137.0 from 139.9 in October 2020 and 194.8 in November 2019 (down 30 percent in past year). The monthly TPI report from petroleum economist Karr Ingham added, “Improvements in prices and rig count will eventually – and hopefully sooner rather than later […]