Industry Guides & How-To Resources with specific types of property or business. Check our valuable guides on this page today at Ranger Land & Minerals.

Enterprise Products’ Oil Pipeline Volumes Rise on Permian Basin Output Growth

Enterprise Products Partners (EPD.N) first-quarter crude oil pipeline volumes increased slightly. The pipeline and storage company said on Tuesday, helped by production growth in the top U.S. shale basin.

Enterprise has remained bullish on oil production from the Permian Basin. It spread across Texas and New Mexico and is looking to build a crude oil export terminal. The target is on the Gulf Coast to help push some of those barrels into the foreign market.

The company’s Sea Port Oil Terminal (SPOT) project received a record of the decision late last year, a significant milestone in obtaining a license.

Enterprise said on Tuesday it expects the SPOT project to receive other permits and a license in the second half of 2023, Jim Teague, the company’s co-chief executive officer, told analysts on a conference call.

“Across our integrated system we continue to see crude oil, natural gas, and NGL production growth from the Permian Basin,” Teague said in a statement, adding that domestic and international demand for U.S. energy and energy products remains resilient.

Enterprise sees growth opportunities from gathering and processing in the Permian broadly, the company said.

Total crude oil pipeline transportation volumes rose to 2.3 million barrels per day (bpd) in the three months to March 31, from 2.2 million bpd a year earlier, the company said.

Crude oil marine terminal volumes rose 5.7% to 841,000 bpd.

Click here to read the full article

Source: Reuters

If you have further questions about the topic related to Enterprise Products, please contact us here.

U.S. Energy Development Corp. Expands Footprint in Permian Basin With $225M Investment

U.S. Energy Development Corp., an Arlington-based exploration and production company. They acquired a 25% working interest in the Mascot Project. It is stacked pay asset in core Midland Basin for $225 million cash and other considerations, the company announced.

U.S. Energy said it anticipates full development of the project to comprise another $130 million in capital expenditures. This is over the next two years. It will be bringing the total transaction value to more than $300 million.

The majority owner has a strong track record

Located in Midland County, the Mascot Project includes multiple producing properties, associated midstream assets, and upwards of 50 undeveloped locations expected to produce roughly 6,500 BOE per day during 2023.

The Mascot Project is majority-owned by Midland Petro D.C. Partners LLC, a David H. Arrington-owned business, and operated by an affiliate of MPDC, Permian Deep Rock Oil Co.

“Mr. Arrington has decades of experience operating quality projects in the basin, and we are pleased to partner with him in bringing this asset to full development,” Jayson said.

Including the Mascot Project, U.S. Energy said it has overseen the investment of $575 million over the past 24 months, focusing primarily on near-term drilling opportunities and actively producing assets.

Building a bigger footprint U.S. Energy Development Corp in the Permian Basin

In late 2022, U.S. Energy announced a planned allocation of up to two-thirds of its operating budget for projects in the Permian Basin over the next two to three years, totaling $200-$300 million annually.

The company said this deal will build upon its sizable footprint in the basin, expanding upon recent investments of over $400 million during the past 12 months. The firm said it anticipates operating a one- to two-rig program in the basin during the second half of 2023 and carrying this program into 2024.

In an article on World Oil earlier this month, Jayson wrote, “the impressive hydrocarbon output is the primary reason that U.S. Energy Development Corp places a substantial amount of our investment, manpower, resources, and assets in the Permian region.”

Click here to read the full article

Source: Dallas Innovates

If you have further questions about the topic related to U.S. Energy Development Corp, feel free to contact us here.

New Oil & Gas Investment Is Still Needed In The Energy Transition Per Carney

Investment in new oil and gas production will still be needed in the energy transition. This is as demand will still be there over the next few decades says Mark Carney. He is the former governor of the Bank of Canada and the Bank of England.

The world is raising investments in clean energy. However, oil and gas will still be necessary and will need investment to keep up with demand. Carney is currently head of transition investing at Brookfield Asset Management.

The energy crisis and policy actions sent global investment in low-carbon energy sources. It is soaring to a record $1.1 trillion in 2022. The money spent on the energy transition equaled for the first time investment in the supply of fossil fuels.

“We’ve moved from investment around the world of about 50 cents in clean energy five years ago relative to every dollar in fossil fuels, in conventional energy, to now, that ratio is we’re spending more on clean energy than we’re spending on fossil fuels in terms of investment,” Carney told CTV.

“But that ratio, by the end of this decade, to be on track to where the world needs to get to, needs to go to about four-to-one or five-to-one, clean to fossil fuels.”

“But it’s four-to-one, it’s not four to zero, so there still does need to be some investment in fossil fuels,” he added.

Click here to read the full article

Source: Oil Price

If you have further questions about the topic, please contact us here.

Energy Deal Gathers | Steam Permian in Spotlight

Companies with a focus on the oil-rich Permian basin are likely to be at the center of the next wave of consolidation in the U.S. energy sector as favorable oil prices prompt cash-rich drillers to tap into the largest source of shale oil. Learn more about this energy deal.

Top producers have built a war chest to fund acquisitions after reaping windfall profit in 2022 from skyrocketing oil prices following Russia’s invasion of Ukraine.

The current oil prices are only making Permian assets more attractive to companies looking to quickly rebuild their depleting assets to take advantage of the world’s never-ending thirst for fossil fuel.

“I think we’re in a good spot in terms of oil pricing for M&A, somewhere around $80 per barrel is where both buyers and sellers feel comfortable,” said Andrew Dittmar, a director at consultancy Enverus.

“For all of 2023, we’re likely going to have a very active market and we’re gonna continue to see these deals hit.”

At least three analysts have identified Diamondback Energy Inc (FANG.O), Matador Resources Inc (MTDR.N), and Permian Resources Corp (PR.N) as possible takeout targets.

According to Gabriele Sorbara, managing director of equity research at Siebert Williams Shank & Co, these companies have the highest quality of remaining inventory and strong balance sheets and free cash flow, making them good picks.

Click here to read the full article

Source: Reuters

If you have further questions about the topic related to the energy deal, feel free to contact us here.

Ranger Land and Minerals, a company from Texas that buy mineral rights

Economic Success | Partnership is Key in the Permian Basin

The Permian Basin is expected to need 115,000 additional workers by 2040, according to the Permian Strategic Partnership. On Thursday, the Federal Reserve Bank of Dallas teamed up with local leaders to better understand the economy in the region with the pandemic now mostly in the past. Read more about this economic success goal.

Discussions were very positive all around with education, career readiness, and workforce all highlighted.

Another key theme was partnership among community entities, a significant factor for success moving forward.

“So, I would say it’s going to be ongoing, continued partnerships and levels of engagement, because at the end of the day, whatever we lost as a result of the pandemic, if we’re going to try and close that gap, none of us in this room can do the heavy lifting alone,” said Adrian Vega, Executive Director of the Education Partnership of the Permian Basin. “It’s going to take all of us, because the bottom line is, we all live in this community and so we’re all facing the same challenges.”

The Permian Basin falls into the 11th district of the federal reserve, and with President and CEO of the Federal Reserve Bank of Dallas Lorie Logan on hand to hear panel discussions, there is importance in understanding the economy.

“Particularly the Permian Basin, because it is sort of the seed of energy in the country, and so…our president wants to make sure she really has an understanding of the energy sector, the issues – now and around the corner,” said Alfreda Norman, Senior Vice President of the Federal Reserve Bank of Dallas.

Click here to read the full article

Source: News West9

If you have further questions about the topic on economic success, feel free to contact us here.

Permian Mega Deal | Is This The Next?

The Wall Street Journal reports that ExxonMobil, (NYSE: XOM), and Pioneer Natural Resources, (NYSE: PXD) are in preliminary discussions about a permian mega deal merger. There has been a good bit of M&A activity the last year or so in shale country. Quite a bit of which was in the Eagle Ford play in South Texas. I have discussed this activity in a couple of recent OilPrice articles, here, and here. Now it appears the liquids rich Midland, sub-basin of the massive Permian basin is drawing the acquisitive eye of companies looking to bulk up their acreage footprint. There have been some smaller deals focusing on the Midland basin over the last six months. Examples would be Diamondback Energy’s pick up of Firebird Energy last fall and early this year, a buyout of Lario Oil and Gas’ interests in the Permian.

It was clear that the late 2022 lull in M&A activity was coming to an end when news broke last week, that megadeal might be in the works for the Midland basin’s, and indeed the entire Permian basin’s largest producer, Pioneer Natural Resources

Click here to read the full article

Source: Oil Price

If you have further questions about the topic related to this Permian Mega Deal, feel free to contact us here.

Oil Up Slightly as Market Awaits Key US Inflation Data

Oil prices slightly rose on Wednesday as the market waited for U.S. inflation data later in the day. It will likely influence the Federal Reserve’s policy on future interest rate hikes.

U.S. West Texas Intermediate rose 77 cents, or 0.95% to $82.29 a barrel.

Brent crude climbed 87 cents, or 1.02% to $86.28 a barrel.

Prices had risen about 2% on Tuesday amid optimism that the U.S. Federal Reserve is getting closer to ending its cycle of interest rate hikes. It is making dollar-priced oil cheaper for buyers holding other currencies.

The U.S. consumer price index is expected to show March core inflation rose 0.4% on a monthly basis and 5.6% year-on-year, according to a Reuters poll of economists.

Philadelphia Federal Reserve Bank President Patrick Harker said on Tuesday that he feels the U.S. central bank may soon be done raising interest rates, while Minneapolis Federal Reserve Bank President Neel Kashkari said he believes inflation, now at a rate of 5% by the Fed’s preferred measure, will get to “the mid-threes” by the end of this year.

Yeap Jun Rong, a market analyst at IG said in a note to clients, however, that any “higher-than-expected inflation print could lay the ground for another 25 basis-point rate hike in June”

Click here to read the full article

Source: Oil & Gas 360

If you have further questions about the topic related to this article, feel free to contact us here.

AAA Texas: Gas prices climb following OPEC+ move to cut global crude supplies

The statewide gas price average in Texas is $3.22 for a gallon of regular unleaded fuel. This is according to the AAA Texas Weekend Gas Watch. That price is six cents more per gallon than it was on this day last week and is 56 cents less per gallon. This is in comparison to this day last year.

Of the major metropolitan areas surveyed in Texas, drivers in El Paso are paying the most on average at $3.38 per gallon while drivers in San Angelo are paying the least at $2.99 per gallon. The national average price for a gallon of regular unleaded is $3.55, which is six cents more when compared to this day last week and 61 cents less than the price per gallon at this same time last year.

A surprise move earlier this week by the Organization of the Petroleum Exporting Countries and other major oil producers, including Russia, known as OPEC+ caused a ripple effect that is leading to higher gas prices. OPEC+ announced plans to cut output to global crude oil markets by one million barrels per day through 2023. The move, which is set to begin in a month, caused crude oil prices to spike back above $80 per barrel.

Retailers’ Response

Retailers quickly responded by increasing pump prices in Texas and across the United States. In addition to the announcement by OPEC+, demand for gasoline in Texas and many parts of the U.S. are already at summertime levels as the weather warms and more people travel for leisure.

“Rising crude oil prices are sending retail gas prices back up to levels not seen since early November,” said AAA Texas spokesperson Daniel Armbruster. “Crude accounts for 55 to 60 percent of the cost of each gallon of gas. If crude oil prices remain higher, drivers could be looking at another expensive summer when it comes to filling up. However, if concerns of an economic slowdown in the U.S. persist, price increases may be limited.”

Click here to read the full article

Source: Your Basin

If you have further questions about the topic related to AAA Texas, feel free to contact us here.

It’s Not Just Willow: Oil and Gas Projects Are Back in a Big Way

The Biden administration greenlighted the enormous $8 billion Willow oil project on Alaska’s North Slope last month. Many decried the move as a betrayal of the United States pledge. A pledge to move away from fossil fuels in the fight against climate change. This is just a fraction of all the oil and gas projects in the whole world.

But an analysis of global data shows that Willow represents a small fraction of hundreds of new oil and gas extraction projects. These are projects in the past year across the world. It includes many more in the United States. And in the coming months, dozens of additional projects are on the way for approval.

ConocoPhillips’ Willow Project is a massive and decadeslong oil drilling venture on Alaska’s North Slope in the National Petroleum Reserve, which is owned by the federal government.

The area where the project will hold up to 600 million barrels of oil. That oil would take years to reach the market since the project has yet to start construction.

ConocoPhillips is a Houston-based energy company that has been exploring and drilling for oil in Alaska for years. The company is the only one that currently has oil drilling operations in Alaska’s National Petroleum Reserve, though its two operating projects are smaller than Willow would be.

Click here to read the full article

Source: The New York Times

If you have further questions about the topic related to oil and gas projects, feel free to contact us here.

Oil And Gas Industry Growth Worth Is Set To $8670 Billion By 2027

The Business Research Company’s research on the oil and gas market industry growth forecasts the global oil and gas market size to grow from $6,989.6 billion in 2022 to $7,330 billion in 2023 at a compound annual growth rate (CAGR) of more than 4%. The Russia-Ukraine war disrupted the chances of global economic recovery from the COVID-19 pandemic, at least in the short term.

The war between these two countries has led to economic sanctions on multiple countries, a surge in commodity prices, and supply chain disruptions, causing inflation across goods and services and affecting many markets across the globe. The oil and gas industry revenue is expected to grow to $8,670 billion in 2027 at a CAGR of more than 4%.

Low-interest rates in the majority of developed countries will benefit the oil and gas industry during the forecast period. For example, in March 2020, the UK cut interest rates to 0.1%, the lowest level ever. In addition, the central banks of North Macedonia, South Africa, Malaysia, Kenya, Argentina, Ukraine, Sri Lanka, and Azerbaijan, as well as Turkey, cut interest rates in 2020.

Click here to read the full article

Source: GlobeNewswire

If you have further questions about the topic Oil And Gas Industry Growth, feel free to contact us here.