drillinginfo

Gulf of Mexico Lease Sale 251 Attracts More Than $178 Million in High Bids

div.et_post_meta_wrapper > img {display: none;} On 15 August 2018, the BOEM’s Lease Sale 251 garnered 171 bids for 144 tracts in both shallow and deepwater from a total of 29 companies. According to officials, a total of US$ 178,069,406 was received in high bids. That was an improvement over March 2018’s Lease Sale 250 when a total of US$ 124.7 million was received in high bids for 148 shallow/deepwater tracts

Prices Steady as Injection Hits Market Expectation

Natural gas storage inventories increased by 48 Bcf for the week ending Aug. 17, according to the EIA’s weekly report. This injection is slightly lower than the market expectation, which was an injection of 50 Bcf. The September 2018 contract was trading at $2.943 before the EIA report, slightly lower than yesterday’s close of $2.956. Since then, prices are slightly up, with the September 2018 contract trading at $2.952 at

Prices Gain Strength With Crude Withdrawal

US crude oil stocks decreased 5.8 MMBbl last week. Gasoline and distillate inventories increased 1.2 MMBbl and 1.8 MMBbl, respectively. Yesterday afternoon, API reported a crude oil draw of 5.17 MMBbl, alongside a gasoline draw of 0.93 MMBbl and distillate build of 1.80 MMBbl. Analysts were expecting a crude oil draw of 1.50 MMBbl. The most important number to keep an eye on, total petroleum inventory levels, posted a decline

Diamondback Expands Permian Footprint

Diamondback Energy is in on a Permian buying spree where it has made two subsequent major acquisitions in a week. The company continues to retain its position in the league of top Permian buyers which includes BP as a newbie in the Permian market. The deals place Diamondback as the third largest producer in the Permian region. In the first transaction, Diamondback Energy enters into an agreement to acquire the

The Week Ahead for Crude Oil, Gas and NGLs Markets – Aug. 20, 2018

CRUDE OIL US crude oil inventories increased by 6.8 MMBbl, according to the weekly EIA report. Gasoline inventories declined by 0.7 MMBbl, while distillates inventories increased 3.6 MMBbl/d. Total petroleum inventories showed a substantial build of 17.4 MMBbl. US crude oil production was up 100 MBbl/d. Crude oil imports were up 1.08 MMBbl/d, to an average of 9 MMBbl/d versus the week prior. A significant amount of the bullish run

Higher-than-Expected Injection Causes Prices to Drop

Natural gas storage inventories increased by 33 Bcf for the week ending August 10, according to the EIA’s weekly report. This injection is slightly higher than the market expectation, which was an injection of 28 Bcf. The September 2018 contract was trading at $2.93 before the EIA report, similar to yesterday’s close of $2.94. Since then, prices are slightly down, with the September 2018 contract trading at $2.90 at the

Final Fiscal Terms for Brazil’s 5th Production Sharing Round 2018

div.et_post_meta_wrapper > img {display: none;} On 10 August 2018, the final Tender Protocol and model production sharing contracts for the 5th Production Sharing Round 2018 (5th Pre-Salt Round) were issued by the National Energy Policy Council (CNPE). This follows draft versions issued on 28 June 2018 and the CNPE publishing Resolution No. 4/2018 on the 11 May 2018 which established the technical and economic parameters for the round, as well

Increasing Inventory With Weaker Demand Keep Prices Lower

US crude oil stocks increased 6.8 MMBbl last week. Gasoline inventories decreased 0.7 MMBbl, while distillate inventories increased 3.6 MMBbl. Yesterday afternoon, API reported a crude oil build of 3.66 MMBbl, alongside a distillate build of 1.94 MMBbl and gasoline draw of 1.56 MMBbl. Analysts, to the contrary, were expecting a crude oil draw of 2.50 MMBbl. The most important number to keep an eye on, total petroleum inventory levels,

Rising Above the Fray Series

The Eagle Soars — BP’s Transformative $10.5 Billion “Solid Buy” As highlighted on July 10, a plethora of factors aligned to kick off a projected significant increase in U.S. M&A activity in the second half of 2018.  In dramatic fashion on Thursday, July 26, BHP and Chesapeake announced asset sales totaling $12.7 billion to three buyers – BP, Merit Energy, and Encino Acquisition Partners.  Thus, on a single day, Q3’s

The Week Ahead for Crude Oil, Gas and NGLs Markets – 8/13/2018

CRUDE OIL US crude oil inventories decreased by 1.4 MMBbl, according to the weekly EIA report. Gasoline and distillate inventories increased 2.9 MMBbl and 1.2 MMBbl/d, respectively. Total petroleum inventories showed a build of 3.3 MMBbl. US crude oil production was down 100 MBbl/d on the week, and crude oil imports were up 182 MBbl/d to an average of 7.9 MMBbl/d versus the week prior. Prices had softened early Wednesday,