Industry News

T. Boone Pickens predicts higher gas, oil prices for next winter

Get ready to pay more for gas and more to heat your home next winter, energy mogul T. Boone Pickens said Thursday. The irascible 86-year-old predicted oil prices would climb as much as 27 percent, to $75 a barrel, by the end of the year...

Read the full article at New York Post

Shale producers postpone oil well completions: Kemp

A typical well will produce one-third of its expected ultimate production in the first 12 months and about half in the first three years. Revenues depend on prices from the time the well is completed and put into production. If prices are expected to recover, it makes sense to postpone completions, rather than rush to finish the wells and put them into production when wellhead prices are $50 per barrel or less...

Read the full article at Reuters

New Oil Rush? Private Equity Starts To Buy Into Energy Assets

"In the long-term the equilibrium point of oil prices is in the $70-85 range. The question is when is it going to get there, are we talking 9 months or 30 months? That is were the risk lies," Warburg Pincus' Landy said...

Read the full article at Rigzone

OPEC Sees Oil Prices Exploding to $200 a Barrel

Right now the oil market is totally focused on finding a bottom for oil prices. However, according to OPEC's Secretary-General Abdulla al-Badri we've already hit bottom. Not only that, but he sees a real possibility that oil prices could explode higher to upwards of $200 per barrel in the future...

Read the full article at The Motley Fool

Big oil outlook in Permian Basin

Tim Leach, Concho Resources CEO, discusses the decline in oil prices and the cost of oil production. We have a very large cash margin, says Leach...

Watch the video at CNBC

Opinion: Why crude oil will average $80 a barrel in 2015

Energy stocks around the world lost $500 billion of market value in the past week, while many oil-exporting countries will face budget crunches in 2015. Saudi Arabia needs Brent at $93 a barrel to balance its budget; for Russia, as high as $120 a barrel...

Read the full article at MarketWatch

Continental Resources Inc., of Oklahoma City, is betting the price of oil will soon rebound

The Oklahoma City-based oil and natural gas producer said Wednesday it has sold “substantially all” of its crude oil hedge positions for 2014, 2015 and 2016 for $433 million. The hedge positions would have allowed the company to sell at least some of its oil at an average price of more than $100 a barrel, according to previous regulatory filings...

Read the full article at NewsOk

Crude oil’s ‘Class A’ divergence suggests a bullish trend reversal

Credit Suisse strategist Andrew Garthwaite said that just as oil prices appear “abnormally oversold,” speculative positions in crude oil are at all-time lows, which implies bulls have a lot of ammunition to keep any bounce going.

Technically speaking, the rubber band appears to be very stretched, and the charts are warning crude oil bears that it may be about to snap back...

Read the full article at MarketWatch

Encana announced purchase of $5.93 billion Permian Basin holdings in Texas from Athlon Energy

(Calgary, Alberta, Canada) – Encana Corporation, with significant natural gas holdings in Fremont County, has agreed to purchase Texas-based Athlon Energy, Inc. for $5.93 billion in cash, according to a news release from the Alberta, Canada-based firm. Encana also agreed to assume Athlon’s $1.15 billion in senior notes, for a total transaction value of 7.1 billion. The sale is expected to be completed by the end of the year...

Read the full article at Country10

Booming Energy Activity in Permian Basin Grows Midland Jobs, Economy

Economic development and job growth in Midland, Texas are getting a shot in the arm from rising drilling activity in the Permian Basin, resulting in new housing projects and construction labor shortages, according to a real estate developer and the Midland Chamber of Commerce.

Economists and financial analysts point frequently to the growth in the overall job market from indirect and induced jobs and the subsequent demand for housing that occurs as a result of oil and gas activity, and the link between the Permian Basin and Midland is no exception....

Read the full article at RIGZONE

Wood Mackenzie: US Tight Oil Technology Could Boost Output by 25%

There continues to be great potential for surprises to the upside in production of U.S. tight oil according to Wood Mackenzie's latest integrated analysis.

"Growth in U.S. tight oil continues to impress as development technology and techniques have yet to mature beyond adolescence," said Phani Gadde, Senior North America Upstream Analyst for Wood Mackenzie.

To better illustrate, Gadde said additional volumes from Enhanced Oil Recovery (EOR) will come on stream after 2020, and could add 1.5 to 3 million barrels per day (mb/d) by 2030, up to 25 percent more oil than is being forecasted today. These technologies are in early test phase and not commercial yet, but indicators suggest up to a 100 percent increase in recovery rates. There are pilot tests that are underway with operators like EOG testing it out in the Eagle Ford adds Gadde...

Read the full article at RIGZONE

The Shale Revolutions Next Winner: The Permian Basin

While North Dakota and South Texas garner much of the attention by energy investors, West Texas is fast becoming the backbone of the shale story in the United States.

West Texas is home to the Permian basin, which was originally discovered nearly a century ago. It was home to much of Texas’ oil production for decades, but peaked in the 1970’s – along with many other American oil fields – and entered into a period of gradual decline.

That all reversed course over the last few years, with the familiar story involving hydraulic fracturing and horizontal drilling unfolding on the dusty plains of West Texas. And although other regions across the U.S. have nearly a decade of fracking under their belt, the surge in production (or resurgence, as the case may be) in the Permian basin has really only ramped up over the last two years....

Read the full article at OILPRICE

US Boosts 2015 Oil Forecast As Shale Powers Push To 10 MMbpd

The U.S. government on Tuesday jacked up its forecast for oil production next year by 250,000 barrels per day (bpd) as the boom in shale oil drilling continues to confound expectations of slower growth.

The U.S. Energy Information Administration now expects domestic output to rise to 9.53 million bpd, growing by around 1 million bpd for a third consecutive year, according to its latest monthly short-term energy outlook. A month ago the EIA had predicted output growth would slow in 2015 to 800,000 bpd.

The U.S. shale boom has allowed producers to unlock thousands of barrels of reserves, putting the United States on course to become the largest producer of oil globally, which would dramatically reduce its dependence on imports...

Read the full article at RIGZONE

PacWest: Considerable Growth Expected for US Shale Formations

"Robust activity" is seen for drilling and completion markets in shale plays in North America into 2016, according to the WellIQ Market Outlook for the second-quarter of 2014. WellIQ is a report put out by PacWest Consulting Partners that assesses the health of U.S. and global oil and gas markets.

Of the growth plays and basins with significant existing horizontal well activity, those with the highest percentage of projected growth in well activity are Permian Basin, which is projected to grow by 22 percent, the DJ Basin, which is expected to grow by 19 percent, and the Anadarko Woodford/SCOOP, which is projected to grow by 23 percent per year through 2016, PacWest told Rigzone...

Read the full article at RIGZONE

U.S. Seen as Biggest Oil Producer After Overtaking Saudi Arabia

The U.S. will remain the world's biggest oil producer this year after overtaking Saudi Arabia and Russia as extraction of energy from shale rock spurs the nation's economic recovery, Bank of America Corp. said.

U.S. production of crude oil, along with liquids separated from natural gas, surpassed all other countries this year with daily output exceeding 11 million barrels in the first quarter, the bank said in a report today. The country became the world's largest natural gas producer in 2010. The International Energy Agency said in June that the U.S. was the biggest producer of oil and natural gas liquids...

Read the full article at Bloomberg

Halliburton: Boom Will Last Another 70 Years

New predictions about the length of the current oil boom have been released by Halliburton and they far exceed all previous estimates. One Halliburton executive says that at the current rate of drilling, the Permian Basin could sustain oil production for the next 70 years. And even if the drilling stops, there are still thousands of wells that would need servicing.

According to Guy Andrews, Economic Development Director with the Odessa Chamber of Commerce, this information gives investors a sense of security.

Read the full article at Cline Shale News

Texas Upstream Petroleum Economy Sustains Record Run

Record Increase by more than $2.85 billion in the past year to $10.63 billion. The upstream oil and gas economy in Texas ventured further into uncharted territory in February, as rapidly increasing production, higher wellhead prices, and revised statewide employment numbers boosted the Texas Petro Index (TPI) to a record 300.6.

"Texas producers increased oil output by more than 22 percent in February compared to February 2013, and natural gas production was up about 1.0 percent," said Karr Ingham, the economist who created the TPI and updates it monthly. "Combined with higher wellhead prices for both commodities, the value of oil and gas produced in Texas during February increased by more than $2.85 billion in the past year to about $10.63 billion."...

Read the full article at RIGZONE

The Wolfcamp Shale Could Be A Goldmine

MIDLAND - New information says the Wolfcamp Shale, which also overlaps the Cline Shale, could be the second biggest oilfield in the world. It's estimated that there are 50 billion barrels of oil in the Wolfcamp Shale just waiting to be drilled for. If you figure the price of oil at $100 dollars per barrel, that comes to $5 trillion....

Read the full article at

Exxon: More 'Major' Moves In The Permian Basin Shale Oil Play

In the latest news in the Permian Basin, supermajor Exxon Mobil (XOM) has inked a deal with Endeavor Energy Resources to access the Permian's shale oil action. Exxon has been viewed as being late to the shale oil boom, with a primary focus on shale gas. But there seems to be a slight rebalancing occurring. American Energy Partners, the new Aubrey McClendon start up, will "access" 30,000 Utica acres from XTO, Exxon's unconventionals subsidiary. Exxon will roll those proceeds over for development of the Permian acres...

Read the full article at Seeking Alpha

OPEC Says Will Lose Oil Market Share To Shale, Rivals

LONDON/VIENNA, Nov 7 (Reuters) - OPEC could lose almost 8 percent of its oil market share in the next five years as the shale energy boom and other competing sources boost rival supply, offering the exporter group little benefit from rising world demand. The Organization of the Petroleum Exporting Countries has been slower than some to acknowledge the impact that hydraulic fracturing, or fracking, is having on supply. Earlier this year, it decided to carry out its own research into shale oil. In its annual World Oil Outlook, OPEC said it expected global demand for its crude oil to average 29.2 million barrels per day (bpd) in 2018, down 1.1 million bpd from 2013, because of increasing supply outside the 12-member group...

Read the full article at RIGZONE

Gusher In Pecos County Expands Bounds Of Horizontal Wolfcamp To South

A single horizontal well has expanded the reach of the Wolfcamp play in Texas, according to Wells Fargo Securities. The well is located in Pecos County, and "significantly expands the play's reach to the south/east of where recent horizontal activity has been focused," according to a release from Wells Fargo. The rest of the release is below:

"The well, drilled by private operator PT Petroleum, tested at 1,322BOE per day (95% oil), a very impressive rate that compares favorably to some of the best wells we've seen to date in the southern Delaware Basin. We estimate that the well is at least 40 miles east of current horizontal activity in southeast Reeves County, where operators are primarily targeting the upper Wolfcamp. EOG, WLL, FST, CXO, and XOM (XTO) all have acreage in mid- to central Pecos County, but the real winner appears to be KWK, with ~58,000 net acres located just west of where well was drilled in what the company refers to as Leon Valley. For those looking to pick out the well on a map, it was drilled 10 miles SW of Fort Stockton, according to the RRC filing."

Read the full article at

The 2nd Largest Oil Discovery in the History of the World

I don't know if anything you've read or heard about the current American energy boom is even half-way accurate. I'm certain you've heard of the "American Energy Renaissance" - or seen headlines about new oil discoveries in places like the Bakken and Marcellus shale formations. For most of the past decade, it's been tough to ignore the hype, hysteria and misleading information out there. But the truth about soaring oil and gas production hasn't been explained or investigated in very much depth by most of the mainstream press and media....

Read the full article at NASDAQ

Saudi Billionaire Prince: Fracking Competitively Threatens 'Any Oil Producing Country in the World'

( – Saudi Arabia's Prince Alwaleed Bin Talal, a billionaire businessman and nephew of Saudi King Abdullah, said the production of shale oil and natural gas in the United States and other countries, primarily done through fracking, is a real competitive threat to "any oil-producing country in the world," adding that Saudi Arabia must address the issue because it is a "matter of survival." New shale oil discoveries "are threats to any oil-producing country in the world," said Prince Alwaleed in an interview with The Globe and Mail. "It is a pivot moment for any oil-producing country that has not diversified. Ninety-two percent of Saudi Arabia's annual budget comes from oil. Definitely it is a worry and a concern." Alwaleed also commented that many Saudi leaders did not comprehend the threat posed by oil and natural gas production from shale. However, he said he would use his influence to keep pressing the issue.....

Read the full article at The Wall Street Journal

Companies Expect to be in the Permian for Decades

Though the historic basin was in decline a decade ago, new recovery techniques have given it new life. Experts say it holds more recoverable oil and gas than everything it produced over the last 90 years, according to the Texas Railroad Commission. The basin is now the most productive onshore field in the country, pumping more than 1.3 million barrels per day. It has helped doubled output over the last few years in Texas, which is pumping 35 percent of the nation's oil as the United States becomes the world's top crude producer, according to the Energy Information Agency. The Permian is different from other oil producing rock formations like the Bakken in North Dakota because it is made up of many different layers of rock, most of which are oil bearing....

Read the full article at Rigzone

U.S. oil production outlook hiked to near record high -EIA

U.S. crude oil production will surge faster than expected to a near historic high by 2016, according to the Energy Information Administration (EIA), which sharply raised its annual output forecasts on Monday due to the breakneck speed of shale oil development....

Read the full article at Reuters

EIA: Texas Crude Oil Production Hits Monthly Record

Texas produced oil at a record rate, according to data by the Energy Information Administration (EIA). Daily crude oil production in the Lone Star State for the month averaged 2.7 million barrels of oil, the highest figure since the EIA began tracking monthly figures in 1981....

Read the full article at Rigzone

Pioneer Drills Monster Well in the Cline Shale

Pioneer Natural Resources (PXD), soared today on news of record exploratory results in the Permian Basin, rising to as high as $225.88 in after-hours trading, before dropping back to $215....

Read the full article at Fuel Fix

US oil production outstrips imports for first time in decades

US crude oil production overtook imports for the first time in 18 years in October, according to US government data, marking a milestone in the US march to self-sufficiency in energy....

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Shale explorers outperforming international oil titans

Oil explorers focused on high-margin shale drilling from Texas to North Dakota are set to outperform Big Oil this year...

Read the full article at FuelFix

Texas pumping more oil than some OPEC countries

We all know oil production in Texas has soared in recent years. But putting the rise in graphic form shows just how phenomenal the energy turnaround has been: The surge looks exponential....

Read the full article at FuelFix

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Aegis Oil, LLC

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Plano, TX 75075

Phone: 972-420-1273

Midland Office: 432-208-7979

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