Millions of barrels of untapped oil that U.S. shale drillers discovered during the boom years are about to disappear from their inventories.
OPEC will stick with the strategy of favoring market share over prices when it meets next month because rival producers are already starting to buckle.
At the height of the U.S. energy boom, Texas landowner John Baen received about $100,000 a month in royalty payments from companies producing oil and natural gas on his property.
Oil slid to a three-week low as the dollar strengthened and Goldman Sachs Group Inc. said a continuing surplus would send prices back down to $45 bbl by October.
The U.S. is about to change the global LNG market forever.
When the first tanker carrying LNG from shale fields leaves the Sabine Pass terminal in Louisiana in December, it will turn consumers into traders with more bargaining power. That will transform a market dominated by long-term contracts into one where spot trading gains prominence, similar to crude oil.
Since the first LNG cargo went to the U.K. from Algeria under a long-term contract in 1964, buyers opted for guaranteed supply, because the fuel was scarce. That’s changing, because gas from the Eagle Ford and other plays will transform the U.S. into the third-biggest exporter by 2020.
Oil’s rebound and more certainty around company valuations are keys to driving mergers and acquisitions activity next year given the pent-up demand for deals, bankers said Tuesday at an energy forum in Houston.
“The dam will break at some point,” Stephen Trauber, vice chairman and global head of energy at Citigroup Inc., said at the Mergermarket conference.
The rally in crude prices may not last as U.S. shale output remains robust, according to Malaysia’s state oil company.
ConocoPhillips said it’s capable of supplying U.S. oil to the global market and reiterated a call to end the nation’s ban on crude exports.
BakerHostetler, on Friday, filed a request for preliminary injunction against the final rule the Bureau of Land Management (BLM) issued to regulate hydraulic fracturing on federal and Indian lands.
Speculators are losing faith in the oil rally, judging that OPEC will keep increasing supply from the highest level since 2012. Their net-long position in West Texas Intermediate crude dropped 2.1%, as long wagers fell the most in two months and short bets declined to the lowest since August.
Demand for OPEC’s crude will rise as the drop in oil prices below $100/bbl continues to hinder shale production, Qatar Petroleum International’s Chief Executive Officer Nasser Khalil Al-Jaidah said.
They are separated by just 38 miles on the remote plains of south Texas, really no more than a quick spin down old Highway 80.
Deals among oil services companies trying to survive a collapse in crude prices are expected to pick up in the second half of the year as profits hit a low point.
As much as 141 Bbbl of potential incremental hydrocarbon resources could be unlocked if drilling and completion techniques refined in U.S. shale plays are applied to conventional, low-productivity oil plays outside of North America, according to new analysis from IHS.
When Cuadrilla Resources opened an office in Poland in 2009, it had a reason to be optimistic: the shale boom was transforming the U.S. into the world’s largest producer of natural gas. To the companies rushing to imitate that success in Europe, Poland looked like the next Texas.
Colombia sees at least two shale projects starting development this year, with Royal Dutch Shell and Exxon Mobil maintaining their interest despite a slump in prices.
The U.S. lost about 1% of the oil production flowing from its shale formations this month, and the decline is just starting.
The first major shale deal after the worst oil price collapse in five years is a model for future transactions that promises to quickly change the industry as companies expand in new areas or soak up struggling rivals.
Noble Energy and Rosetta Resources have announced a definitive merger agreement whereby Noble Energy will acquire all of the common stock of Rosetta in an all-stock transaction valued at $2.1 billion, plus the assumption of Rosetta's net debt of $1.8 billion as of March 31, 2015.
The rally in crude oil is reviving the U.S. shale boom, threatening speculators who are the most bullish on prices since July.