WorldOil Oxy restores employees’ pay, doubles executive salary cap Occidental Petroleum Corp. has restored employee pay cuts imposed after oil prices tumbled and doubled the salary cap for executives to $500,000 a year. Denbury Resources enters Chapter 11 with new DIP loan Denbury Resources elected in mid-July to skip paying about $3 million of interest on notes maturing in 2023, triggering a 30-day grace period before it entered a formal default. It listed almost $2.3 billion of borrowings in a recent regulatory filing. After brutal slide in state’s upstream sector, Texas Alliance looks toward market bottoming out During second-quarter 2020, COVID-19, as a global economic event, laid waste to energy markets, and due to the resulting economic lockdown and deep contraction in energy demand, “dealt a gut-punch to the Texas oil and gas industry, which continues midway through the year.” That is the assessment of the Texas Alliance of Energy Producers, and it is borne out by the numbers coming from the association’s Texas Petro Index. Delaware Basin driller Rosehill Resources declares bankruptcy Rosehill Resources Inc. filed for bankruptcy protection after a plunge in oil prices forced the Permian shale explorer to seek a restructuring of its debt. Texas regulator proactively inspects Permian Highway Pipeline construction Inspectors with the Railroad Commission of Texas are continuing critical inspections of the Permian Highway Pipeline, one of the largest pipeline projects under construction in Texas in 2020. Shale oil realities mean Chevron Noble deal likely won’t start an MandA wave With Chevron agreeing to pay just a 7.5% premium over Noble’s July 17 closing price, the all-stock deal isn’t eliciting much speculation that a new spree of acquisitions is in the offing. That means little prospect of relief for investors in hundreds of struggling drillers in places like West Texas and Oklahoma. Texas issued nearly 69% fewer drilling permits in June 2020 than in year prior The Railroad Commission of Texas issued a total of 312 original drilling permits in June 2020 compared to 1,001 in June 2019. The June 2020 total includes 262 permits to drill new oil or gas wells, three to re-enter plugged well bores and 21 for re-completions of existing well bores. Chesapeake joins more than 200 other bankrupt U.S. shale producers More than 200 North American oil and gas producers, owing over $130 billion in debt, have filed for bankruptcy since the beginning of 2015, according to a May report from law firm Haynes and Boone. This year alone, at least 20 have gone under after oil prices plunged amid the Covid-19 pandemic. Oxy plans junk bond sale, multi-billion writedown to help tackle debt Occidental has been under pressure ever since outbidding Chevron to win the purchase of Anadarko Petroleum last year. The deal saddled Oxy with some $40 billion of debt that was looking hard to pay off even before Covid-19 reduced global oil demand. Shale oil production may take years to recover, despite a short-term uptick Looking out 18 months, U.S. output will still be around 16% below its peak in February, according to an average of surveys from the IEA, Genscape, Enervus, Rystad and IHS Markit. It will probably be at least 2023 before the U.S. again hits its record close to 13 million barrels a day.