Category: Industry Newsletter

March 10, 2025 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• Oil prices dip as tariff uncertainty keeps investors on edge
• Summary: Oil prices declined on Monday, with Brent crude falling 44 cents to $69.92 per barrel and WTI dropping 40 cents to $66.64, marking WTI’s seventh consecutive weekly loss—the longest streak since November 2023. Market uncertainty stems from U.S. tariff policies affecting major oil suppliers like Canada, Mexico, and China, while potential sanctions on Iranian and Russian oil add volatility. Investors await monthly reports from the International Energy Agency and OPEC for demand and supply forecasts amid ongoing geopolitical tensions.
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1. States ease laws, offer incentives to attract power plants
2. Summary: U.S. states are accelerating efforts to build new power plants amid surging electricity demand driven by AI data centers and manufacturing incentives, with some offering financial incentives and deregulating approval processes. Pennsylvania is considering leaving the PJM regional grid to expedite projects, while states like Indiana, Michigan, and Louisiana explore nuclear energy, and Missouri and Kansas compete to attract investments in natural gas plants. Lawmakers and consumer advocates warn that shifting financial risks to ratepayers and deregulating utilities could lead to higher costs and inefficiencies.
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1. U.S. oil, gas rig count falls
2. Summary: The US oil and gas rig count fell by 1 to 592 this week, down 30 from the same time last year, with oil rigs remaining at 486 (down 18) and gas rigs decreasing to 101 (down 14). In the Permian Basin, rig count declined by 1 to 304—9 fewer than last year—while Eagle Ford added 1 rig to reach 49, though that’s still 3 less than the previous year. Meanwhile, US crude production averaged 13.508 million barrels per day for the week ending February 28, 2025, with WTI trading at $67.17 per barrel (up 1.22%) and Brent at $70.41 per barrel (up 1.37%).
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• “Drill, baby, drill”: natural gas producers eye a boom
• Summary: Rising U.S. natural gas prices, up 160% in a year to $4.26 per MMBtu, are driving producers to increase output after months of curtailments in 2024. Depleted inventories—now 25% lower than last year and 11% below the five-year average—along with surging LNG exports and new export facilities like Venture Global’s Plaquemines LNG, are fueling demand. In response, U.S. dry gas production rose 2.1% to 106.2 Bcf/d, and the gas rig count increased by three to 102 rigs as producers capitalize on higher prices.
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• U.S. energy chief to seek $20 billion to refill oil reserve, Bloomberg reports
• Summary: U.S. Energy Secretary Chris Wright estimates it will take $20 billion and several years to refill the Strategic Petroleum Reserve (SPR) to near capacity, following the sale of nearly 300 million barrels under the Biden administration, which pushed reserves to a 40-year low of 395 million barrels. The SPR, created in 1975 and capable of storing 727 million barrels, would still fall short of full capacity even if the full amount were allocated, as current oil prices would only allow the purchase of about 301 million barrels. While no formal budget request has been made to Congress, the Energy Department acknowledges the challenge of securing such funding amid other priorities.
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1. New report shows U.S.A oil and gas wages by industry
2. Summary: TIPRO’s latest State of Energy report shows that in 2024, Crude Petroleum Extraction paid the highest average wage at $227,080—up $4,389 from 2023—while Natural Gas Extraction and Petroleum Refineries paid $176,800 and $172,191 respectively. The national average wage across the U.S. oil and gas industry reached $81,808 in 2024, and direct employment grew to 2,055,516 jobs, an increase of 10,694 from 2023. The report, now in its 10th edition, provides a detailed analysis of wage growth and employment trends across key sectors in the U.S. energy industry.
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Contact Valor Today

Contact us today if you need help outsourcing your oil and gas operations.

The information provided by Valor in this blog is for general informational purposes only, not to provide specific recommendations or legal or tax-related advice. The blog/website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

February 24, 2025 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• Oil dips on pending Kurdistan supply resumption
• Summary: Oil prices declined on Monday, extending last week’s losses, as markets anticipated the resumption of crude exports from Iraq’s Kurdistan region. Brent crude fell 20 cents to $74.23 per barrel, while WTI dropped 28 cents to $70.12 per barrel, following a $2 decline on Friday. Meanwhile, global supply concerns persist as the U.S. and Russia prepare for peace talks on Ukraine, with potential impacts on oil sanctions and seaborne shipments.
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1. BP to abandon green energy target and ramp up oil
2. Summary: BP will abandon its plan to expand renewable energy generation 20-fold by 2030, scrapping its target of reaching 50 gigawatts (GW) and maintaining its current 8.2 GW capacity. Under pressure from activist investor Elliott Management, which holds a 5% stake, BP is shifting focus back to fossil fuels, selling 10 U.S. onshore wind farms and spinning off offshore wind assets. The company’s profits fell to $8.2 billion in 2024 from $13.4 billion in 2023, prompting cost-cutting measures, a 5% staff reduction, and slashed executive bonuses.
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1. US oil and gas rig count hits highest since June, says Baker Hughes
2. Summary: U.S. oil and gas rigs rose by four to 592 this week, the highest since June, with oil rigs increasing by seven to 488, while gas rigs fell by two to 99, according to Baker Hughes. Despite the rise, the total rig count remains 34 rigs (5%) below last year’s level. The EIA forecasts U.S. crude output to grow from 13.2 million barrels per day (bpd) in 2024 to 13.6 million bpd in 2025, while gas production is expected to rise to 104.6 billion cubic feet per day (bcfd) in 2025.
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• 25% royalty rate cap on prime oil and gas land heads to the House
• Summary: The New Mexico Senate passed Senate Bill 23 in a 21-15 vote, advancing legislation to raise the maximum royalty rate on prime oil and gas land in the Permian Basin from 20% to 25%. Supporters argue the increase aligns with industry standards for high-value resources, while opponents claim it could harm an industry crucial to New Mexico’s economy. The State Land Office halted leasing top-tier tracts last year in anticipation of the rate hike, and the bill now moves to the House for further debate.
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• Feds approve another deepwater oil export terminal off Texas coast
• Summary: The U.S. government has approved the GulfLink deepwater oil export terminal off the Texas coast, marking another step in expanding American crude export infrastructure. The terminal will load up to 1 million barrels per day onto the world’s largest tankers, boosting U.S. energy exports. It is part of a broader buildout, including two new pipelines and a 319-acre tank farm. Supporters argue it enhances energy security and economic growth, while critics warn of increased greenhouse gas emissions—estimated at 355,000 to 710,000 tons annually—and potential environmental risks to coastal communities.
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1. U.S. crude oil inventories increase by 4.6 million barrels
2. Summary: U.S. crude oil inventories rose by 4.6 million barrels to 432.5 million barrels as of February 14, 2025, 3% below the five-year average, according to EIA data. Refinery inputs averaged 15.4 million barrels per day (bpd) at 84.9% capacity, while gasoline and distillate fuel production stood at 9.2 million bpd and 4.7 million bpd, respectively. Total petroleum inventories increased by 0.2 million barrels, with motor gasoline inventories down by 0.2 million barrels and distillate fuel inventories up by 2.1 million barrels, 12% below the five-year average.
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Contact Valor Today

Contact us today if you need help outsourcing your oil and gas operations.

The information provided by Valor in this blog is for general informational purposes only, not to provide specific recommendations or legal or tax-related advice. The blog/website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

February 17, 2025 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• WTI holds above $70 amid Russia-Ukraine peace talks
• Summary: WTI crude oil remains cautiously above $70 as investors await further developments in the Russia-Ukraine peace talks, which could potentially flood the market with more Russian oil and negatively affect prices. Despite President Trump’s efforts to mediate, analysts foresee a decline in prices if the conflict resolves. Additionally, OPEC is reportedly delaying its planned supply increase, offering temporary relief to the market.
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1. Diamondback nears Permian deal to buy shale producer Double Eagle
2. Summary: Diamondback Energy is in advanced discussions to acquire Double Eagle Energy IV, a private West Texas oil producer, in a deal potentially exceeding $5 billion. Double Eagle controls over 95,000 net acres in the Midland Basin portion of the Permian Basin, making it one of the largest private equity holdings in the region. This move follows Diamondback’s recent $26 billion acquisition of Endeavor Energy Resources, reflecting its strategy to expand its presence in the Permian Basin.
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1. US rig count inches up but still trails last year
2. Summary: U.S. oil rigs have increased by 1, totaling 768 rigs for the week ending February 16, 2025, yet this figure is still lower than the 785 rigs recorded at the same time last year. The Permian Basin shows continued growth, but companies are exercising caution due to economic uncertainties. This slight uptick in rig count comes amid an ongoing recovery effort within the industry, facing challenges in meeting the output seen in the previous years.
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• Texas House Bill 838 aims to make power grid interconnections easier
• Summary: Texas House Bill 838 aims to facilitate power grid interconnections by requiring facilities under ERCOT to connect with grids in neighboring states. This bill, which follows the power grid failures of February 2021, would allow Texas power generation facilities to purchase wholesale power outside ERCOT, addressing grid reliability issues. However, critics argue that even with these interconnections, extreme weather may still lead to load shedding, as neighboring grids could face their own power shortages.
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• Chevron to lay off 20% of workforce as it boosts crude output with fewer rigs
• Summary: Chevron is set to lay off up to 20% of its workforce as part of cost-cutting measures to reduce $2-3 billion in expenses by 2026. Despite the cuts, U.S. oil production continues to rise, with a 55% increase since 2014, and Chevron’s Permian Basin output hitting new highs through efficiency improvements. New technologies, like optimized drilling and electric pumps, enable higher output with fewer rigs, while Chevron expects a 9-10% production increase in 2025.
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1. Trump forms energy council, expands LNG exports, and lifts offshore drilling ban
2. Summary: President Trump signed an executive order creating the National Energy Dominance Council to boost domestic oil and gas production. The administration also approved a major LNG export project in Louisiana, the first such approval under his administration. Additionally, Trump directed the reversal of Biden’s offshore drilling ban and vowed to revive a canceled pipeline to reduce Northeast energy prices by up to 70%.
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Contact Valor Today

Contact us today if you need help outsourcing your oil and gas operations.

The information provided by Valor in this blog is for general informational purposes only, not to provide specific recommendations or legal or tax-related advice. The blog/website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

February 11, 2025 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• Oil nears 3-day winning streak as traders assess tariffs and sanctions
• Summary: Oil prices are on track for a third consecutive daily gain, with U.S. crude futures poised to settle at their highest level in two weeks. This upward trend comes as traders assess the implications of President Trump’s tariff policies and the impact of sanctions on Iran and Russia. Analysts suggest that the market may have overreacted to tariff concerns, noting that the actual effect on oil demand could be limited.
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1. Europe’s oil demand may rise as gas hits $100 per barrel
2. Summary: Europe’s oil demand may increase as natural gas prices surge to an oil-equivalent of $100 per barrel, making oil a more cost-effective alternative. The spike in gas prices is driven by supply constraints and higher demand, especially in winter. As industries and power generators seek cheaper fuel options, oil consumption in Europe could see significant growth.
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1. ConocoPhillips Q4 earnings surpass expectations, driven by the Permian
2. Summary: ConocoPhillips reported fourth-quarter 2024 adjusted earnings per share of $1.98, surpassing analysts’ expectations of $1.89, though down from $2.40 the previous year. The company’s revenue for the quarter was $14.74 billion, a slight decrease from $15.31 billion in the same period last year. The improved earnings were primarily due to increased oil equivalent production volumes, which averaged 2,183 thousand barrels of oil equivalent per day, up from 1,902 MBoe/d in the prior year.
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• House passes bill restricting presidential oil drilling bans
• Summary: The U.S. House passed a bill requiring congressional approval before any president can ban oil and gas leasing on federal lands and waters. The bill, which passed with a 225-204 vote, aims to prevent future executive actions like those taken by the Biden administration to limit drilling. Supporters argue it ensures energy security, while opponents claim it undermines environmental protections and presidential authority.
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• U.S. drillers add oil and gas rigs for second week in a row
• Summary: U.S. drillers increased oil and gas rig counts by 4, reaching a total of 630 rigs, marking the second consecutive week of growth, according to Baker Hughes. The Permian Basin saw the largest increase, adding four rigs, highlighting the resilience of U.S. shale producers. Despite ongoing oil price fluctuations, the uptick reflects sustained investments in exploration and production capacity, with drillers continuing to expand operations in key shale regions like the Permian.
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1. BP vows ‘fundamental reset’ in strategy as profit plunges
2. Summary: BP CEO Murray Auchincloss announced a “fundamental reset” in the company’s strategy, likely shifting focus from renewable energy to increased investment in oil and natural gas production. BP’s 2024 earnings showed a significant drop, with adjusted profit falling by 60% in Q4 and annual profit dropping to $8.9 billion. Analysts believe BP’s previous green strategy, initiated under former CEO Bernard Looney, led to underperformance, and the company is now under pressure from investors, including Elliott Investment Management.
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Contact Valor Today

Contact us today if you need help outsourcing your oil and gas operations.

The information provided by Valor in this blog is for general informational purposes only, not to provide specific recommendations or legal or tax-related advice. The blog/website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

January 20, 2025 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• Global review of 2024 oil and gas discoveries
• Summary: In 2024, global oil and gas discoveries were reviewed, detailing key findings by region, resource type, operators, and terrain, compared to 2023. The report highlights significant discoveries and trends in the industry, providing insights into exploration activities worldwide. This analysis offers a comprehensive overview of the state of global oil and gas exploration and production as of 2024.
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1. Early economic win with gas prices expected to drop in 2025
2. Summary: President-elect Donald Trump is poised to benefit from an anticipated decline in oil prices in 2025, which is expected to lead to a third consecutive annual drop in gasoline prices. This trend is attributed to a growing global oil supply, which could serve as an economic advantage for the incoming administration. Lower fuel costs may bolster consumer spending and contribute to economic growth during Trump’s presidency.
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1. Republican states sue Biden over drilling limits
2. Summary: Several Republican-led states, including Mississippi, Alaska, Louisiana, Alabama, and Georgia, along with the American Petroleum Institute, have filed a lawsuit against the Biden administration challenging its restrictions on offshore oil and gas drilling. The plaintiffs argue that the administration’s actions exceed its authority and negatively impact the economies of the involved states. This legal action reflects ongoing tensions between state interests and federal environmental policies.
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• US drillers cut oil and gas rigs to lowest since Dec 2021
• Summary: U.S. energy firms reduced the number of oil and natural gas rigs for the second consecutive week, bringing the total count to 580, the lowest since December 2021. This decline is attributed to companies prioritizing debt reduction and shareholder returns over increasing production. Despite the reduced rig count, the U.S. Energy Information Administration projects an increase in crude oil and natural gas production in 2025.
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• Venture Global aims for $100B IPO valuation
• Summary: Venture Global, a U.S. LNG exporter, is set for an IPO with a target market cap of over $100 billion, aiming to raise $2.2 billion by offering 50 million shares. The IPO is priced between $40 and $46 per share, with a projected market cap of $115 billion at the midpoint. Venture Global operates LNG facilities and plans additional projects in Louisiana.
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1. Chevron explores Greek offshore oil and gas
2. Summary: Chevron has expressed interest in exploring hydrocarbon resources southwest of Greece’s Peloponnese peninsula and west of Crete. The Greek energy ministry plans to announce the specific exploration area and initiate an international tender soon. This initiative aligns with Greece’s strategy to enhance energy independence and reduce costs amid the ongoing conflict in Ukraine.
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Contact Valor Today

Contact us today if you need help outsourcing your oil and gas operations.

The information provided by Valor in this blog is for general informational purposes only, not to provide specific recommendations or legal or tax-related advice. The blog/website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

January 13, 2025 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• Why Russian oil sanctions are a big deal
• Summary: In his final days in office, President Joe Biden has implemented comprehensive sanctions targeting Russia’s oil industry, aiming to curtail the nation’s primary revenue source. These measures are designed to limit Russia’s economic capabilities and reduce its influence in global energy markets. The sanctions include targeting major producers, tankers, traders, and insurance companies involved in Russia’s oil trade.
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1. Russia to continue oil and gas projects despite US sanctions
2. Summary: Russia has announced its intention to continue oil and gas projects despite recent U.S. sanctions. The Russian Foreign Ministry condemned the sanctions, describing them as attempts to harm Russia’s economy at the risk of destabilizing global markets. Russia asserts it will continue with large oil and gas projects and plans to respond to Washington’s “hostile” actions while formulating its foreign policy strategy.
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1. Supreme Court rejects oil firms’ bid in Honolulu climate case
2. Summary: The U.S. Supreme Court rejected an appeal by major oil companies, allowing Honolulu’s climate change lawsuit to move forward in state court. The city accuses these companies of contributing to climate change and seeks compensation for damages like rising sea levels and severe weather. This decision marks a significant step in holding corporations accountable for their environmental impact.
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• Digital transformation in oil and gas set to grow by $56.4B
• Summary: The digital transformation market in the oil and gas sector is projected to grow by USD 56.4 billion, with a compound annual growth rate (CAGR) of 14.5% during the forecast period. This growth is driven by increased investments and partnerships aimed at enhancing operational efficiency and reducing costs. Key technologies contributing to this transformation include digital twins, which can lower operating costs and improve maintenance routines.
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• Natural gas prices rise on cold weather, supply concerns
• Summary: Natural gas markets have experienced a significant uptick, with prices gapping higher at the start of the trading week. This surge is attributed to colder-than-expected weather in the United States and supply challenges in Europe, leading to increased demand for U.S. natural gas exports. The market is also influenced by geopolitical factors, including disruptions in Russian gas supplies to Europe.
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1. U.S. drillers cut rigs for first time in six weeks
2. Summary: U.S. energy firms reduced the number of oil and natural gas rigs by five to 584 in the week ending January 10, 2025, marking the first decline in six weeks. This decrease brings the rig count 6% below the same period last year. The reduction is attributed to energy companies prioritizing debt reduction and shareholder returns over increasing production.
3. Read more

Contact Valor Today

Contact us today if you need help outsourcing your oil and gas operations.

The information provided by Valor in this blog is for general informational purposes only, not to provide specific recommendations or legal or tax-related advice. The blog/website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

January 6, 2025 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• Biden bans offshore drilling, Trump vows reversal
• Summary: President Joe Biden has banned new offshore oil and gas drilling in most U.S. coastal waters, including the East and West coasts, parts of Alaska, and the eastern Gulf of Mexico, to protect over 625 million acres and promote clean energy. President-elect Donald Trump plans to challenge the ban, emphasizing the economic importance of domestic oil and gas production.
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1. New York to charge fossil fuel companies $75B under climate law
2. Summary: New York has enacted a climate cost recovery law that requires fossil fuel companies to pay $75 billion over the next 25 years to cover the costs of environmental damage caused by climate change. This law aims to fund climate-related infrastructure and help mitigate the impacts of global warming in the state.
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1. Natural gas demand to surge in US amid extreme cold weather conditions
2. Summary: Natural gas demand in the U.S. is expected to surge due to forecasts of extreme cold weather and snowstorms, which may lead to widespread power outages. This anticipated increase in demand has already caused natural gas prices to rise nearly 25% over the past month.
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• US oil and gas rigs unchanged for fourth straight week
• Summary: According to Baker Hughes, the U.S. oil and gas rig count remained unchanged at 589 for the fourth consecutive week as of January 3, 2025. This total is 5% lower than the same period last year, reflecting a continued industry focus on debt reduction and shareholder returns over increased production.
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• Dallas Fed Energy Survey reveals an improving outlook for oil and gas
• Summary: The Dallas Federal Reserve’s latest energy survey indicates that 57% of oil and gas executives plan to increase capital spending in 2025, reflecting optimism about the industry’s future. This positive outlook is influenced by expectations of favorable regulatory changes under the incoming Trump administration.
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1. As Asia’s crude oil imports drop, China demand weakens
2. Summary: Asia’s crude oil imports declined for the first time in three years in 2024, mainly due to weaker demand from China, the world’s largest importer. While India’s imports grew, China’s and other countries like Japan and South Korea saw declines, influenced by slower economic growth and a shift to alternative fuels.
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Contact Valor Today

Contact us today if you need help outsourcing your oil and gas operations.

The information provided by Valor in this blog is for general informational purposes only, not to provide specific recommendations or legal or tax-related advice. The blog/website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

December 30, 2024 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• Non-traditional countries draw key oil and gas investments
• Summary: Non-traditional oil and gas producing countries in Latin America, such as Argentina, Guyana, and Suriname, are attracting significant investments to boost production, countering stagnation in traditional producers. For instance, Argentina’s Vaca Muerta formation has led to a 9% annual increase in oil output, reaching 682,000 barrels per day, the highest in two decades.
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1. Oil prices flatline as 2024 draws to a close
2. Summary: Oil prices remained stable as 2024 comes to a close, with Brent crude and WTI showing little movement. The market was influenced by ongoing supply and demand balance, as well as global economic conditions and OPEC+ policies. Investors are closely monitoring these factors to predict future price movements in early 2025.
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1. U.S. drillers keep rigs unchanged for third week
2. Summary: U.S. energy firms have maintained the number of oil and natural gas rigs at 589 for the third consecutive week, according to Baker Hughes. This total is 5.3% lower than the same period last year, reflecting a broader trend of reduced drilling activity in 2024.
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1. Redefining winning: Adapting to a new era of energy
2. Summary: The oil and gas industry must redefine success by embracing innovation, adapting to evolving global priorities, and balancing its vital role in energy security with the moral responsibility of providing reliable and affordable energy.
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• America’s big natural-gas footprint is about to get even bigger
• Summary: The U.S. is poised to expand its natural gas exports, with anticipated support from the incoming Trump administration, aiming to enhance global energy security and reduce coal dependence in countries like China and India, despite concerns about increased emissions and market volatility.
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• EIA: US crude inventories down 4.2 million bbl
• Summary: U.S. commercial crude oil inventories decreased by 4.2 million barrels to 416.8 million barrels for the week ending December 20, 2024, according to the Energy Information Administration (EIA). This level is approximately 5% below the five-year average for this time of year.
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Contact Valor Today

Contact us today if you need help outsourcing your oil and gas operations.

The information provided by Valor in this blog is for general informational purposes only, not to provide specific recommendations or legal or tax-related advice. The blog/website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

December 23, 2024 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• Oil prices stable on Monday as data offsets surplus concerns
• Summary: Oil prices stabilized on Monday, with Brent at $72.56 and WTI at $69.12, as cooling U.S. inflation fueled hopes for rate cuts. A stronger dollar and concerns about a 2025 oil surplus capped gains. Analysts predict lower average prices next year, influenced by China’s peak oil consumption outlook and stable European supplies. Legislative actions in the U.S. also eased market uncertainty.
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1. Russia calls gas sales to Europe ‘complicated’ as deal with Ukraine nears expiry
2. Summary: Russia’s decision to halt natural gas sales to Europe raises concerns about energy shortages and higher prices. The EU is intensifying efforts to diversify energy sources, emphasizing LNG imports and renewables, to reduce reliance on Russian supplies.
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1. ‘Tariffs all the way’: Trump says European Union must buy U.S. oil and gas in trade ultimatum
2. Summary: President Trump has issued an ultimatum to the European Union, demanding that it increase imports of U.S. oil and gas or face potential tariffs on its exports. This move aims to reduce Europe’s energy dependence on Russia and bolster the American energy sector. The EU has expressed concerns over the potential economic impact and is seeking further negotiations.
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1. US drillers keep oil and natgas rigs unchanged for second week – Baker Hughes
2. Summary: U.S. drillers kept oil and gas rigs unchanged at 589 for the second consecutive week. While the oil rig count increased slightly, natural gas rigs decreased. Lower prices and rising costs are leading companies to focus on managing output and increasing efficiency. Projections suggest higher U.S. crude production in 2024 and 2025, with slight declines in natural gas production.
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• EPA and DOE Announce $850M to Cut Methane Emissions in Oil and Gas Sector
• Summary: The U.S. EPA and DOE announced $850 million in funding for 43 projects to reduce methane pollution from the oil and gas sector. The initiative targets small operators and Tribes, encouraging the use of advanced technologies to cut emissions and improve efficiency. This funding is part of the administration’s climate goals.
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• Natural gas prices surge as cold weather boosts demand and LNG outlook
• Summary: Natural gas prices surged due to colder weather forecasts and increased global demand for U.S. LNG exports. The rising demand is linked to expectations of higher U.S. heating needs and global geopolitical shifts. These factors combined have led to a bullish market outlook for natural gas prices.
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Contact Valor Today

Contact us today if you need help outsourcing your oil and gas operations.

The information provided by Valor in this blog is for general informational purposes only, not to provide specific recommendations or legal or tax-related advice. The blog/website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

December 16, 2024 Edition

At Valor, our goal is to keep you informed of the latest news and updates from the oil and gas industry. We are committed to sharing the insights and knowledge that our team gathers to help you stay ahead in this dynamic sector. From mergers and acquisitions to regulatory changes and technological advancements, we cover all the key developments that impact the industry. Stay tuned for weekly updates to keep you well-informed.

• Oil Sags on Soft Chinese Spending, Investor Pause Before US Fed Rate Move
• Summary: Oil prices slipped 0.8% on Monday, with Brent at $73.91 and WTI at $70.71, as weak Chinese consumer spending, profit-taking, and anticipation of the U.S. Federal Reserve’s interest rate decision outweighed last week’s supply-tightening expectations.
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1. Trump Set to Reverse Biden’s EV Support and Tailpipe Emissions Rules
2. Summary: The Trump Administration plans to overhaul U.S. electric vehicle policy by eliminating EV tax incentives, rolling back emission and fuel economy standards, reallocating EV infrastructure funds to battery mineral processing, and imposing global tariffs on battery materials to boost domestic production.
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1. Oil, Gas Groups Issue ‘Urgent Call’ to House Speaker
2. Summary: A coalition of oil and gas trade associations, representing over 80% of U.S. domestic production, is urging Congress to pass the Energy Permitting Reform Act of 2024 to streamline the lengthy permitting process, boost energy security, and unlock billions in infrastructure investments before the current session ends.
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1. How AI Energy Demand in 2025 Will Put Natural Gas in the Spotlight
2. Summary: Natural gas prices are down 13% this year due to mild winters and oversupply, but optimism for 2025 is fueled by rising LNG exports, increased power demand from AI data centers, and regulatory rollbacks expected to boost profitability and infrastructure growth.
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• Natural Gas Drilling Rig Count Reaches July Highs
• Summary: U.S. drilling activity remains steady with 589 rigs, down 5% from last year, including 482 crude rigs (down 19), 103 natural gas rigs (down 16 but up 1 week-over-week), and the Permian Basin holding at 304 rigs, down six year-over-year.
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• California Gas Prices: The State Makes More Money Than Refiners
• Summary: California’s SB-1322 law, aimed at increasing transparency in gasoline pricing, reveals that refiners’ gross profit margins are minimal, with high gas prices being primarily driven by taxes, fees, and strict fuel regulations rather than excessive profits from oil companies.
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