Oil and Gas Investor Magazine - April 2024
Magazine
Ships in 1-2 business days
Download
In this month's OGInterview, Woodside Energy CEO Meg O'Neill sat down with Hart Energy International Managing Editor Pietro D. Pitts to discuss her great expectations for the Australian company's U.S. Gulf of Mexico portfolio, where it is flexing its deepwater technical capabilities in three key projects.
Additionally, Oil and Gas Investor presents the first part in a multi-part series exploring the Permian Basin. In Permian Plays, our analysts will dive deep into the emerging landscape of a consolidated Permian, starting with the mighty Midland Basin in this issue and continuing with the Delaware Basin in May—with more to follow.
The OGInterview - Bringing the Know-How
Woodside Energy Group CEO Meg O’Neill is relying on technical sophistication to guide the Australian giant as it takes on three challenging projects in the U.S. Gulf of Mexico.
OGI Special Report - Permian Plays
Mighty Midland Still Beckons
But only those with the biggest balance sheets can afford to buy in the basin’s core following a historic consolidation trend.
Life on the Edge
Once a company with low outside expectations, Surge Energy is now a premier private producer in one of the world’s most prolific shale plays.
Features
Kimmeridge Turns Up Heat on Silverbow Bid
After asking for additional board seats, the E&P investor followed up with a buyout offer. A deal would create a nearly 1 Bcfe/d Eagle Ford pure play.
TPH: Lower 48 to Shed Rigs as Gas Plays Rebound
Permian Basin down for the count in the near term, with muted activity into 2025.
APA Boosting Permian Oil Production
APA Corp. plans to grow oil production by 10% this year above 2023 year-end volume.
Cover Story
Mighty Midland Still Beckons Dealmakers
The Midland Basin is the center of U.S. oil drilling activity. But only those with the biggest balance sheets can afford to buy in the basin's core, following a historic consolidation trend.
Woodside Brings in the Know-how
Woodside Energy Group CEO Meg O’Neill is relying on technical sophistication to guide the Australian giant as it takes on three challenging projects in the U.S. Gulf of Mexico.
Feature
APA’s Permian to Pick up Production Slack Amid Overseas Headaches
With various overseas headaches, Houston-based APA Corp. aims to boost its Permian Basin volumes and integrate its Callon Petroleum acquisition when it closes in the second quarter.
Defeating the ‘Four Horsemen’ of Flow Assurance
Service companies combine processes and techniques to mitigate the impact of paraffin, asphaltenes, hydrates and scale on production—and keep the cash flowing.
Kimmeridge Fast Forwards on SilverBow with Takeover Bid
Investment firm Kimmeridge Energy Management, which first asked for additional SilverBow Resources board seats, has followed up with a buyout offer. A deal would make a nearly 1 Bcfe/d Eagle Ford pureplay.
Markman: Is MethaneSAT Watching You? Yes.
EDF’s MethaneSAT is the first satellite devoted exclusively to methane and it is targeting the oil and gas space.
The Jones Act: An Old Law on a Voyage to Nowhere
Keeping up with the Jones Act is a burden for the energy industry, but efforts to repeal the 104-year-old law may be dead in the water.
TPH: Lower 48 to Shed Rigs Through 3Q Before Gas Plays Rebound
TPH&Co. analysis shows the Permian Basin will lose rigs near term, but as activity in gassy plays ticks up later this year, the Permian may be headed towards muted activity into 2025.
A&D Watch
Buffett: ‘No Interest’ in Occidental Takeover, Praises 'Hallelujah!' Shale
Berkshire Hathaway’s Warren Buffett added that the U.S. electric power situation is “ominous.”
CEO: Coterra ‘Deeply Curious’ on M&A Amid E&P Consolidation Wave
Coterra Energy has yet to get in on the large-scale M&A wave sweeping across the Lower 48—but CEO Tom Jorden said Coterra is keeping an eye on acquisition opportunities.
Civitas, Prioritizing Permian, Jettisons Non-core Colorado Assets
After plowing nearly $7 billion into Permian Basin M&A last year, Civitas Resources is selling off non-core acreage from its legacy position in Colorado as part of a $300 million divestiture goal.
EQT Deal to ‘Vertically Integrate’ Equitrans Faces Steep Challenges
EQT Corp. plans to acquire Equitrans Midstream with $5.5 billion equity, but will assume debt of $7.6 billion or more in the process, while likely facing intense regulatory scrutiny.
Occidental to Divest Some Permian Assets after Closing CrownRock Deal
Occidental CEO Vicki Hollub said plans to divest non-core Permian assets would come after closing the pending acquisition of CrownRock — but reports have since emerged that the company is considering selling its share of Western Midstream Partners, valued at about $20 billion, according to Reuters.
At Closing
Darbonne: Brownsville, We Have LNG Liftoff
The world’s attention is on the far south Texas Gulf Coast, watching Starship liftoffs while waiting for new and secure LNG supply.
Commentary
Belcher: Our Leaders Should Embrace, Not Vilify, Certified Natural Gas
Recognition gained through gas certification verified by third-party auditors has led natural gas producers and midstream companies to voluntarily comply and often exceed compliance with regulatory requirements, including the EPA methane rule.
Hirs: SEC’s Enhanced Climate-related Disclosures Are Unnecessary—Even According to SEC
The SEC’s rationale for enhanced climate-disclosure rules is weak and contradictory, says Ed Hirs.
E&P Momentum
E&P Earnings Season Proves Up Stronger Efficiencies, Profits
The 2024 outlook for E&Ps largely surprises to the upside with conservative budgets and steady volumes.
Energy Transition
John Cockerill Americas President Talks Hydrogen, Electrolyzers
Nicolas de Coignac, president of Americas for John Cockerill, recently spoke with Hart Energy about the company’s role in scaling electrolytic hydrogen in the U.S.
Finance & Investment
Kissler: OPEC+ Likely to Buoy Crude Prices—At Least Somewhat
By keeping its voluntary production cuts, OPEC+ is sending a clear signal that oil prices need to be sustainable for both producers and consumers.
Global Energy
Exxon Versus Chevron: The Fight for Hess’ 30% Guyana Interest
Chevron's plan to buy Hess Corp. and assume a 30% foothold in Guyana has been complicated by Exxon Mobil and CNOOC's claims that they have the right of first refusal for the interest.
Paisie: Dutch Vehicle Fleet Foreshadows Structural Shifts
The expanding role of battery electric vehicles will be supported by the development of associated supply chains, as indicated by Stratas Advisors' forecast of global EV battery production capacity.
International Highlights
Pitts: Heavyweight Battle Brewing Between US Supermajors in South America
Exxon Mobil took the first swing in defense of its right of first refusal for Hess' interest in Guyana's Stabroek Block, but Chevron isn't backing down.
Midstream
Midstream Builds in a Bearish Market
Midstream companies are sticking to long term plans for an expanded customer base, despite low gas prices, high storage levels and an uncertain political LNG future.
Squashing Midstream: Lessons Learned as Sector Looks to Horizon
What does the next level look like for the midstream sector?
Technology
Cyber-informed Engineering Can Fortify OT Security
Ransomware is still a top threat in cybersecurity even as hacktivist attacks trend up, and the oil and gas sector must address both to maintain operational security.
Qnergy Tackles Methane Venting Emissions
Pneumatic controllers, powered by natural gas, account for a large part of the oil and gas industry’s methane emissions. Compressed air can change that, experts say.