Forecast ///

Murkowski, Heitkamp lead coalition urging oil exports to Mexico

U.S. Sen. Lisa Murkowski, R-Alaska, Chairman of the Senate Energy and Natural Resources committee, and Sen. Heidi Heitkamp, D-N.D., have joined with 19 of their Senate colleagues on a bipartisan letter to U.S. Commerce Secretary Penny Pritzker encouraging the administration to authorize oil exports to Mexico under the same conditions established for exports to Canada.

EOG signals plans to reduce shale production growth

The biggest, fastest-growing oil producer in the U.S. said it plans to halt output growth this year, delivering a signal that shale companies are beginning to do what it takes to reduce oversupplies.

Chevron settles with backer of fraudulent Ecuador litigation

Chevron has reached a settlement agreement with James Russell DeLeon, the principal funder of the fraudulent lawsuit against Chevron in Ecuador.

Offshore maritime sector must watch costs and risk exposure, says Moore Stephens

International accountant and shipping adviser Moore Stephens has said that companies in the offshore maritime sector need to keep a close watch on costs and manage their exposure to risk in the wake of the dramatic fall in oil prices.

WPX Energy slashes spending, cuts rigs

WPX Energy has announced a 2015 capital investment plan of approximately $725 million (midpoint), in line with the company’s projected operating cash flow.

Apollo’s energy head says worst is yet to come for oil producers

Apollo Global Management LLC’s head of energy investing said the worst is still to come for oil as OPEC may decide against cutting production for years.

Oil demand seen by Saudis improving with prices stabilizing

Crude demand is improving amid signs prices are stabilizing, the state-run Saudi Press Agency reported, citing Saudi Arabia’s Oil Minister Ali al-Naimi.

IEA sees U.S. adding most oil to global supply through 2020

The U.S. will remain the biggest contributor to global growth in oil supplies to 2020 as OPEC’s attempts to defend its market share will hurt other suppliers including Russia more, according to the International Energy Agency.

Statoil deepens spending cuts as oil price rout saps profits

Statoil deepened cost cuts and halted dividend growth as Norway’s biggest energy company struggles to withstand a plunge in oil prices.

Texas Petro Index begins decline, industry contraction will be significant

HOUSTON -- The Texas Petro Index, a composite index based upon a comprehensive group of upstream economic indicators, declined for the second straight month in December to 309.5, according to the sponsor of the index, the Texas Alliance of Energy Producers.

World Oil anticipates a drilling recovery after the oil price decline

HOUSTON -- The oil and gas industry’s leading magazine for upstream technology and activity, World Oil, forecasts a sharp drop in drilling, both in the U.S. and internationally, as a direct result of plunging crude oil prices. In its 89th annual forecast and review, World Oil predicts an average WTI oil price of $55.75/barrel (bbl), while Brent will be $58.80/bbl. A Henry Hub natural gas price of $3.35/MMBtu is expected.

What industry leaders expect for 2015

Kurt Abraham, World Oil

The year 2014 has been a period of not only great profitability for the global upstream industry but also a time of considerable volatility.

Robust drilling leads global activity forward

Kurt Abraham, World Oil

After reaching a plateau last year, worldwide E&P activity is set to resume additional growth, led by a very strong drilling market.

North American outlook: Prosperity in the U.S. market continues

Kurt Abraham, World Oil; Robert Curran, Mauro Nogarin, Contributing Editor

Despite a variety of interfering factors, U.S. activity remains at a high level, aided by the industry’s technical and efficiency gains. Canada continues to slowly rebound on the strength of oil activity, while Mexico remains at a lower level.     

E&P spending to top $700 billion globally in 2014

James West, Barclays

Sustained high oil prices, the sanctioning of major projects and the delivery of a large number of offshore rigs, in both 2014 and 2015, are driving the projected increases in international  E&P spending.

Washington portends a mixed bag for oil and gas

Dr. Roger Bezdek, Contributing Editor

While a potential Republican takeover of the Senate could benefit upstream oil and gas, a large threat looms in the form of Obama’s massive executive bureaucracy, which vows to bypass Congress.

U.S. drilling rides high, but challenges remain

The global E&P industry is riding the crest of a wave, and nowhere is that more true than in the U.S. For the last three years—and for this fourth year as well—drilling activity has remained in a narrow band of not more than 4,000 wells’ difference.

Rig count drops as drilling, completions become more efficient

The average U.S. rotary rig count dropped in 2013 by more than 8%, compared to the previous year.

U.S. oil production surge continues, supported by strong prices

Crude and condensate. Prices that hovered from the low $90s through $110/bbl throughout the year kept the drill bits turning and the oil flowing in 2013.

Well count for active U.S. oil wells nears 600,000

The number of producing oil wells in the U.S. rose 3.4% last year.