Category: Uncategorized

November 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.

• U.S. drillers boost oil and gas rigs again, signaling shift in energy
• Summary: The U.S. oil and gas rig count rose by two to 548 for the week ending November 7, marking the third increase in four weeks, though the total remains 6% (or 37 rigs) below last year. Baker Hughes reported that oil rigs held steady at 414, but gas rigs rose by three to 128, the highest since August 2023, while the Texas rig count fell to a new low of 234. Despite a planned 4% capex cut in 2025, the EIA projects crude output will rise to 13.5 million bpd, and a 56% gas price hike will boost gas output to 107.1 bcfd.
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1. Horizontal well declines require more drilling to sustain production
2. Summary: U.S. oil and gas production relies on new drilling, as horizontal wells (94% of oil, 92% of gas) decline rapidly. From Dec 2023 to Dec 2024, L48 crude oil production from legacy wells fell by 4.3 million b/d, but 4.4 million b/d from over 15,000 new wells replaced this loss, increasing total output to 11.2 million b/d. During the same period, natural gas production saw legacy declines of 27.0 Bcf/d, but new wells added 28.0 Bcf/d, pushing the total to 116.5 Bcf/d in Dec 2024.
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1. Crude oil weekly outlook: Market sentiment pressures prices
2. Summary: Risk-off sentiment, driven primarily by the prolonged U.S. government shutdown that began in early October 2025, continues to pressure U.S. oil prices, which are holding near the mid-zone of a long-term downward channel, slightly above the $59 mark. The market is also weighed down by AI-related layoffs and stretched sentiment, while Chinese CPI rose to +0.2%, and U.S. stock indices are testing critical support. A confirmed technical break below the yearly low of $55 could push WTI toward $49, while a breakout above short-term resistances at $63 and $66.80 is required to signal a structural recovery toward $70.
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• Gas futures capped by warm weather and production surge
• Summary: December natural gas futures fell 0.96% to settle at $4.313, pressured by forecasts for unseasonably warm U.S. weather, which is expected to dent heating demand. Bearish sentiment was reinforced by strong supply, as U.S. dry gas production hit 110.0 bcf/day (up 8.1% year-over-year) and the active rig count rose to a 2.25-year high. While the EIA’s +33 bcf storage injection was below the 5-year average, total U.S. gas inventories remain ample at 4.3% above the seasonal norm, capping any bullish momentum.
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• SLB completes $8.2 billion ChampionX deal, expands in Permian
• Summary: SLB has completed its $8.2 billion acquisition of ChampionX, a deal announced last spring that significantly expands its offerings in the resilient Permian Basin. The combined entity will offer integrated services from well construction and artificial lift to advanced chemicals and digital monitoring. SLB is now focused on deploying new advanced technology to help operators drill faster and longer laterals, while also investing heavily in digital solutions for efficiency and safety, as well as green chemistry for the beneficial reuse of produced water.
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1. The $30 break-even project driving Exxon’s success
2. Summary: ExxonMobil’s Q3 2025 earnings were supported by strong production (4.8 million boe/d, up 4% YoY) despite Brent prices falling 13% YoY. The performance was driven by the Permian and Guyana’s Stabroek Block, where production exceeded 850,000 b/d from an asset holding at least 11 billion barrels. This Guyana asset is highly profitable with a low $30/barrel breakeven price and a favorable 2% royalty rate, with future projects expected to boost total capacity to 1.5 million b/d by 2029.
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1. Oil settles lower on strong dollar and oversupply fears
2. Summary: Oil prices settled lower on Tuesday, with Brent crude down 0.7% to $64.44 a barrel and WTI down 0.8% to $60.56. Prices were pressured by a stronger U.S. dollar (a four-month high against the euro), weak Japanese manufacturing data, and fears that the 35-day U.S. government shutdown could hurt fuel demand. This bearish sentiment was amplified by supply glut concerns after OPEC+ paused its output hikes for Q1 2026, while the price boost from recent U.S. sanctions on Russian oil firms also faded.
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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

November 3, 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.

• The oil glut will last into 2026. Here’s why it’s unclear how big it will be.
• Summary: An oil glut, currently at 1.9 million b/d, is expected to last through 2026, but its size is now uncertain following new U.S. sanctions on Russian producers Rosneft and Lukoil. The IEA previously projected the surplus could reach 4 million b/d, a forecast that has kept Brent crude down 13% (to ~$64) and WTI down 14% (to ~$60) this year, below the $63 breakeven price for U.S. drillers. The sanctions’ impact is the key variable, with Goldman Sachs estimating a severe 1.5 million b/d supply cut could push prices toward $73 (WTI $63).
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1. Natural gas prices navigate volatility amid global shifts
2. Summary: Natural gas markets remain volatile due to a tug-of-war between strong U.S. production and uncertain demand as the peak winter season begins, with prices consolidating since March 2023. The 2025–26 winter is expected to be colder, with heating degree days projected to rise 3% in the U.S. and Europe, and U.S. residential/commercial demand forecast to increase by 1.6 Bcf/day year-on-year. Global gas demand is projected to grow 1.7% in 2025, while China’s domestic production has risen 6%, reducing its recent LNG imports.
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1. US rig count falls for the first time in three weeks, says Baker Hughes
2. Summary: For the second straight week, the U.S. oil and gas rig count rose, climbing by two to 550 as of October 24, its highest level since June, though it remains down 6% year-over-year. This increase was driven entirely by oil rigs, which rose by two to a new total of 420, while gas rigs held steady at 121; the Texas rig count fell one to a low of 236. Despite a planned 3% capex cut for 2025, the EIA projects crude output will rise to 13.5 million bpd and a 56% gas price hike will boost gas output to 107.1 bcfd.
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• Exxon and Chevron boost production despite weak oil prices
• Summary: U.S. oil majors Exxon and Chevron increased Q3 production despite forecasts of a global supply glut and weak prices, with WTI hovering near $60/bbl. Exxon’s overall production rose to 4.8 million bbl/day, driven by a record 1.7 million boe/day in the Permian and 700,000 bbl/day in Guyana. Chevron’s output also hit a record 4.1 million bbl/day, up 21% Y/Y, as WTI closed the week at $60.98, Brent at $65.07, and the EIA forecasts Brent falling to $52/TYPE/bbl in 2026.
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• BP to sell $1.5 billion in US midstream asset stakes
• Summary: BP has agreed to sell non-controlling stakes in its bpx energy midstream infrastructure to private investment firm Sixth Street for $1.5 billion, advancing its capital optimization strategy. The deal includes 49% of the US Permian assets (including pipelines and four processing facilities) and 75% of the Eagle Ford midstream system, with BP remaining the operator. This transaction, paid as $1 billion upfront and $500 million by year-end, helps BP recycle capital and moves it toward its $20 billion divestment target by 2027.
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1. Chevron’s Hess acquisition boosts third-quarter output
2. Summary: Chevron reported strong Q3 results, with adjusted EPS of $1.85 (beating $1.68 expected) and record production of 4.1 million boepd, up from 3.4 million boepd a year earlier, following its $53-billion Hess acquisition. The production increase reflects the integration of Hess’s Guyana operations and higher domestic shale output, while operating cash flow (ex-working capital) climbed nearly 20% year-on-year to about $9.9 billion. Chevron management reaffirmed plans to cut $2-3 billion in costs through 2026 by streamlining operations and consolidating overlapping positions from the Hess acquisition.
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1. SM Energy and Civitas Resources to combine in $12.8 billion deal
2. Summary: SM Energy and Civitas Resources are merging in an all-stock deal valued at $12.8 billion (including debt), creating a top independent U.S. producer with 823,000 net acres in the Permian and DJ basins. Civitas shareholders will receive 1.45 SM Energy shares per share, valuing Civitas at $30.29 (a 5% premium), and will own 52% of the combined company, which retains the SM Energy name. Expected to close in Q1 2026, the firm had pro forma Q2 production of 526 MBoe/d, expects $1.4B in 2025 free cash flow, and $200M in annual savings.
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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

June 16, 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 fall more than $1 barrel on reports Iran seeks truce with Israel
• Summary: Oil prices fell 1.3% as Israel-Iran strikes spared key infrastructure, despite initial surges and Friday’s 13% spike. Iran’s gas field saw partial shutdown but Strait of Hormuz flows remained uninterrupted. Iran rejected ceasefire talks amid attacks while OPEC+ holds spare capacity matching Iran’s output.
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1. Iran suspends partial output at major gas field after Israeli attack
2. Summary: Iran partially suspended production at South Pars, the world’s largest gas field, after an Israeli strike caused a fire, halting 12M cm/day output (4% of Iran’s 275 bcm annual production). The attack marks Israel’s first strike on Iran’s energy sector, escalating tensions that pushed oil prices up 9% Friday. While Iran consumes all its gas domestically due to sanctions, neighboring Qatar exports 77M tonnes annually from the shared field with Exxon and Shell.
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1. European gas prices rise with Middle East conflict intensifying
2. Summary: European gas prices rose 2.4% to April highs after Friday’s 4.8% jump as Israel-Iran clashes entered day four, raising fears of Strait of Hormuz disruptions. The key waterway handles 20% of global LNG shipments, though current flows remain unaffected. With Europe in peak stockpiling season, any supply interruption could significantly tighten markets amid escalating Middle East tensions.
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• Texas governor signs oil theft laws, funds $123M project
• Summary: Texas Governor Abbott signed 5 bills combating oilfield theft (SB 494/1806, HB 48) and allocated $123M for Midland-Odessa’s Beacon project to boost healthcare and economic growth. The laws create a DPS oilfield theft unit and task force to address rising pipeline thefts in the Permian Basin, which fuels Texas’ economy. Key measures include tax code changes (SB 529) and enhanced law enforcement tools to protect energy infrastructure from organized crime.
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• Baker Hughes reports U.S. rig count down 4 to 559 rigs
• Summary: U.S. rigs dropped 4 to 559 (oil -9 to 442, gas +5 to 114), marking a 35-rig annual decline. Canada added 2 rigs to 114 (gas +2 to 46), but remains 29 below 2024 levels. Offshore activity held at 13 rigs (-9 y/y). The report shows continued oil sector contraction with U.S. gas rigs up 16 annually while Canadian gas rigs fell 9. North American drilling activity remains depressed versus last year, with U.S. oil rigs down 50 and Canadian oil rigs down 20 year-over-year. The mixed results highlight shifting energy sector priorities amid changing market conditions.
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1. Abu Dhabi-based consortium launches $32b takeover tilt for Santos
2. Summary: An Abu Dhabi-led consortium (ADNOC/XRG, ADQ, Carlyle) proposed a $32B takeover of Santos at A$8.89/share (28% premium), aiming to boost XRG’s LNG capacity to 20-25Mtpa by 2035. The deal would give ADNOC Asia-Pacific LNG assets (Santos produced 5Mtpa in 2024, could reach 8Mtpa) but faces FIRB scrutiny over energy security concerns. Regulatory hurdles may include domestic gas supply conditions, though counterbids are unlikely given ADNOC’s strategic fit and Santos’ capital needs.
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1. RRC mapping automation portal now available online
2. Summary: Texas’ Railroad Commission launched RRC MAP, an online portal requiring oil/gas operators to update real-time gas facility data for power generation supply chains during emergencies. The system shares data with Texas’ Utilities Commission to identify critical infrastructure under SB 3/HB 3648 laws, linking upstream production to power plants. Operators receiving RRC emails must submit requested data, with training materials and compliance procedures available on the RRC website.
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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.

March 3, 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 stable as tariff and Ukraine uncertainty dominates sentiment
• Summary: Oil prices remained stable on Monday, with Brent crude rising 31 cents to $73.12 per barrel and WTI up 25 cents to $70.01, after posting their first monthly decline since November. Investors monitored geopolitical tensions as Ukrainian President Zelenskiy sought to repair ties with Trump, while U.S. tariffs on Canada and Mexico, set to take effect Tuesday, raised concerns over economic and oil demand growth. Analysts expect Brent to average $74.63 per barrel in 2025, with potential impacts from U.S. sanctions, supply levels, and a possible Russia-Ukraine peace deal.
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1. Congress votes to kill Biden-era methane fee on oil and gas producers
2. Summary: The Republican-controlled Congress voted to repeal the Biden-era methane fee on oil and gas producers, which was set to charge $900 per ton of excess methane emissions, increasing to $1,500 by 2026. The repeal, passed in a 52-47 Senate vote after a similar House decision, now awaits President Trump’s expected approval, nullifying a key climate policy aimed at cutting 1.2 million metric tons of methane emissions by 2035. While the oil industry praised the repeal as a win for energy production, critics argue it benefits the worst polluters and undermines efforts to curb a potent greenhouse gas.
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1. US drillers add oil and gas rigs for fifth week in a row, Baker Hughes says
2. Summary: U.S. energy firms added one oil and gas rig this week, marking the fifth consecutive weekly increase, the longest streak since May 2022, bringing the total count to 593, according to Baker Hughes. Despite this rise, the count remains 36 rigs (6%) lower than a year ago, with oil rigs down by two to 486 and gas rigs up by three to 102. In February, the total rig count increased by 11, the largest monthly gain since November 2022, even as companies plan to cut spending by around 1% in 2025 compared to 2024.
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• Crude suffers worst month since September
• Summary: Oil prices dropped nearly 4% in February, marking their worst monthly performance since September, as escalating U.S. tariffs weakened investor confidence and clouded energy demand. West Texas Intermediate (WTI) settled at $69.76 per barrel, down 3.8% for the month, while Brent crude fell to $73.18 per barrel, with the more-active May contract declining to $72.81. The market was further pressured by weak economic data, algorithmic short-selling, uncertainty surrounding U.S.-China-Mexico trade tensions, and the potential restart of pipeline exports from Iraq’s Kurdistan region.
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• Trump’s tariffs threat hits Canada’s oil and gas drillers
• Summary: Canada’s oilfield drilling sector is slowing due to U.S. President Donald Trump’s proposed 10% tariff on the 4 million barrels per day (bpd) of Canadian crude exported to the U.S., which could stall the industry’s recovery. TD Cowen cut its 2025 Canadian rig count forecast by 5% to 175 active rigs and downgraded stocks like Precision Drilling (PD.TO) and Ensign Energy Services (ESI.TO) from “buy” to “hold.” Retaliatory tariffs from Canada could further raise costs for drilling inputs, such as sand used in hydraulic fracturing, impacting smaller producers more than larger oil companies with set budgets.
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1. U.S. natural gas power expands, complicating climate goals
2. Summary: A surge in electricity demand from tech companies, particularly those in the AI sector, is driving increased investment in natural gas-fired power plants in the U.S., complicating efforts to reduce greenhouse gas emissions. While some firms are pursuing renewable energy sources like solar, wind, and battery storage, many utilities are favoring natural gas for its cost-effectiveness and reliability. Analysts now predict a larger and longer-lasting role for gas-fired power, with its growth accelerating beyond previous expectations.
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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 3, 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 ease as US tariffs on Mexico paused for a month
• Summary: Oil prices edged lower after initially rising by more than $1, as the U.S. and Mexico paused tariffs that had been set to take effect. Brent crude futures were down 0.2%, while U.S. West Texas Intermediate crude fell slightly by 0.01%. The tariffs, which threatened supply disruptions, would have impacted U.S. crude imports, especially from Canada and Mexico, raising concerns over rising gasoline prices and energy costs.
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1. Vitol expects oil demand to remain robust until 2040
2. Summary: Vitol expects global oil demand to stay robust until 2040, primarily fueled by rising consumption in emerging markets. While the transition to renewable energy sources is underway, oil will continue to play a vital role, especially in sectors like transportation, petrochemicals, and heavy industries. The company anticipates that oil demand will remain resilient, even amid challenges posed by energy transitions and environmental considerations.
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1. Judge blocks major North Sea oil and gas projects in victory for activists
2. Summary: A UK judge temporarily halted a major oil and gas development in the North Sea, ruling that the government’s environmental impact assessment was insufficient. The ruling affects the Sea Lion field, potentially delaying the project led by Harbour Energy, which aims to unlock substantial oil reserves. This decision highlights the ongoing tension between energy expansion and environmental concerns in the UK.
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• US oil refiners look to Latin America, Iraq after Trump tariffs
• Summary: Following the imposition of tariffs on Canadian and Mexican crude oil imports by President Donald Trump, U.S. refiners are seeking alternative heavy crude sources from Latin America and the Middle East. Traders indicate that refiners may turn to countries like Brazil, Guyana, and Iraq to replace the now more expensive neighboring supplies. This shift could lead to longer transportation times and increased costs, potentially affecting fuel prices for consumers.
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• US drilling activity rises, led by Permian Basin surge
• Summary: The U.S. oil rig count increased by 6 to 582 in late January, driven by growth in the Permian Basin, which saw a gain of 5 rigs, reaching 303. Despite the increase, Texas and New Mexico experienced modest growth, with 277 rigs in Texas and 106 in New Mexico. The Permian Basin’s rise is crucial to the nation’s oil output, with the region’s increased drilling activity signaling a recovery after a downturn in recent years.
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1. Elk Range Royalties acquires mineral assets in Permian and Eagle Ford
2. Summary: Elk Range Royalties has expanded its portfolio by acquiring mineral assets in the Permian and Eagle Ford basins, strengthening its position in key U.S. oil regions. The acquisition, valued at $400 million, adds over 5,000 net royalty acres to its holdings, enhancing future revenue potential. This strategic move is expected to provide stable cash flow and increase Elk Range’s exposure to long-term oil and gas production.
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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 27, 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.

• President Trump’s Executive Orders to Unleash American Energy
• Summary: President Trump signed the “Unleashing American Energy” executive order on January 20, 2025, declaring a national energy emergency to accelerate U.S. fossil fuel production. The order seeks to streamline permitting, revoke specific environmental regulations, and remove the electric vehicle mandate. These measures aim to boost energy independence, economic growth, and domestic energy security.
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1. Will Trump’s executive order revive the Keystone XL pipeline?
2. Summary: President Trump’s recent executive order reverses the cancellation of the Keystone XL pipeline permit, opening the door for its potential revival. However, the pipeline’s developer, South Bow Corp., has stated that it has no plans to restart the multibillion-dollar project. With permits expired and sections of the pipeline dismantled, any attempt to move forward would require starting the process from scratch.
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1. U.S. oil and gas rig count hits lowest since 2021
2. Summary: U.S. energy firms reduced the number of oil and gas rigs by four to 576, marking the third consecutive week of declines, with the rig count at its lowest since December 2021. Oil rigs fell by six to 472, while gas rigs rose by one. Despite ongoing declines in rig activity, U.S. crude output is projected to increase in 2025, and a rise in natural gas prices is expected to boost drilling activity.
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• Geothermal energy recognized as key resource in new U.S. order
• Summary: President Trump issued an executive order declaring an energy emergency and designating geothermal energy as a key domestic resource. This move aims to promote reliable, climate-friendly electricity by using technologies similar to oil and gas. The administration hopes this will encourage bipartisan support and boost geothermal energy growth.
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• Trump urges OPEC to lower oil prices amid Russia tensions
• Summary: Oil prices dropped following Donald Trump’s call for OPEC to lower prices in an effort to reduce Russia’s oil revenues and accelerate the end of the war in Ukraine. Despite Trump’s threats of sanctions, OPEC has not reacted yet, continuing its plans to increase output in April. Analysts have differing views on the impact of sanctions on Russian oil production, with some expecting a limited effect due to high freight rates and discounted Russian oil.
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1. Diversified energy to acquire Maverick Natural Resources for $1.3 billion
2. Summary: Diversified Energy has agreed to acquire Maverick Natural Resources for approximately $1.3 billion, including debt, marking its largest acquisition to date. This deal will enhance Diversified’s presence in the Permian Basin, a leading U.S. oil-producing region, by adding Maverick’s operations in Texas and Oklahoma. The combined company is expected to produce substantial amounts of oil equivalent daily, with Diversified’s CEO, Rusty Hutson Jr., continuing to lead the merged entity.
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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.

In the realm of oil and gas exploration and production, industry insiders often refer to “DUCs,” an acronym that stands for Drilled but Uncompleted wells. These are wells where the initial drilling phase has been finished, but they have not yet been made ready for production. This concept is crucial for understanding the strategic operations of oil and gas companies.

Why do DUCs Exist?

The reasons for maintaining DUCs vary. Primarily, they reflect a company’s financial strategy and market response tactics. Operators might drill wells but delay completion due to factors such as fluctuating oil prices, waiting for more favorable market conditions to maximize returns. Additionally, logistical challenges, such as a shortage of equipment or skilled labor, can also lead to wells remaining uncompleted.

The Strategic Importance of DUCs

DUCs serve as a sort of inventory. In periods when oil prices rise, companies can quickly complete these wells to increase production and capitalize on higher market rates. This approach allows operators to efficiently manage cash flow and maintain a flexible response to market volatility.

Implications of DUCs

From an investment perspective, the number of DUCs can be a significant indicator of future production. A high number of DUCs might suggest that a company expects to increase its output, anticipating higher oil prices or improvements in extraction technology.

Why DUCs Matter to Mineral Owners

For mineral owners, DUCs represent potential future income that isn’t yet being realized. The presence of DUCs on leased land can significantly impact the timing and amount of royalties they receive. When operators decide to complete these wells, production can commence, and royalty payments can potentially increase. Conversely, if a significant number of wells remain uncompleted, it can delay expected revenue for mineral owners.

Financial Impact of DUCs

The financial implications for mineral owners can be considerable. Operators might delay well completion due to market conditions, such as low oil prices, or logistical reasons like equipment shortages. While this might be strategically sound for operators, it can lead to unpredictable cash flows for mineral owners who rely on royalties from oil and gas production.

The Role of Mineral Management Companies

This is where mineral management companies, like Valor, become invaluable. With their expertise, they can provide mineral owners with insights and updates about the status of DUCs and potential completions. Companies like Valor use their sophisticated mineral management software, mineral.tech®, and analytics tools to monitor developments and inform mineral owners about changes that could affect their assets.

Valor’s proprietary mineral.tech® software platform enables detailed asset tracking and optimization, offering mineral owners real-time insights into their holdings. This can help mineral owners make informed decisions and plan financially with a clearer understanding of when their royalties might increase due to the completion of DUCs.

For mineral owners, staying informed about the status of DUCs on their leased land is crucial. It affects their financial planning and overall asset management strategy. Partnering with a seasoned mineral management company like Valor can provide the necessary insights and foresight to navigate the complexities of oil and gas production, ensuring that mineral owners maximize their returns and manage their resources effectively.

Contact

Ready to uncover the full potential of your mineral assets? Contact Valor today to learn how we can support and simplify your mineral management needs.

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.

October 21, 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 Regain Some Ground After 7% Loss Last Week
• Summary: Oil prices rebounded on Monday, recovering some of last week’s over 7% drop amid concerns about slowing demand in China and easing Middle East supply risks, with support from Saudi Aramco’s bullish outlook on China’s oil demand and geopolitical tensions.
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1. Texas Natural-Gas Pipeline Eases Bottlenecks, Paves Way for Higher Shale Output
2. Summary: The new Matterhorn pipeline has eased Permian gas bottlenecks, raising prices and boosting oil production, but may reach capacity within 12 to 18 months, causing renewed constraints in 2026.
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1. Supreme Court to Review Challenges to EPA Pollution Rules
2. Summary: The U.S. Supreme Court will hear appeals from Republican-led states and energy companies contesting whether lawsuits against the EPA’s smog control and biofuel waiver policies should be heard in local or national courts.
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1. Oil, Gas Companies Set To Spend More in 2025
2. Summary: Global investments in oil and gas by the 23 largest producers are set to rise over 60% by next year, driven by a slower-than-expected energy transition, with companies focusing on upstream production and consolidation while continuing to invest in low-carbon projects.
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• Another Major Oil Company Plans to Relocate from California
• Summary: Phillips 66 is planning to relocate, following Chevron’s move, potentially as as result of California’s increased regulations that have led to higher fuel costs and operational challenges, highlighting the tension between the state’s ambitious climate goals and their economic impact on the energy sector.
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• JP Morgan Says Peak Oil Demand Is Nowhere In Sight
• Summary: JP Morgan’s Christyan Malek dismissed predictions of peak oil demand, arguing that emerging market consumption will continue to drive global demand growth beyond 2024, while supply struggles to keep pace, leading to a tightening market and sustained higher oil prices throughout the decade.
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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.

September 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.

• Oil and Gas Fields Offshore U.S. Gulf of Mexico Come Back Online Following Hurricane Helene
• Summary: The Bureau of Safety and Environmental Enforcement (BSEE) is overseeing the return of oil and gas production in the Gulf of Mexico, with minimal facility evacuations and a temporary shutdown affecting a small fraction of production following Hurricane Helene.
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1. Oil Prices Set to Fall for Third Month Despite Middle East Conflict
2. Summary: Oil prices declined for the third consecutive month, influenced more by strong supply and weak demand concerns than fears of regional conflict escalation due to Israeli strikes in Lebanon and Yemen.
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1. Chesapeake to Rebrand as Expand Energy Upon Close of Southwestern Merger
2. Summary: The merger between Chesapeake Energy Corporation and Southwestern Energy, creating the largest U.S. natural gas producer named Expand Energy Corporation, is set to close in early October after clearing regulatory hurdles.
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1. US Drillers Cut Oil and Gas Rigs for Second Week in a Row
2. Summary: U.S. energy firms reduced the number of operating oil and natural gas rigs for a second consecutive week, indicating a potential slowdown in future output despite a quarterly increase in rig counts.
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• Colorado Proposes Groundbreaking Ban on Oil Drilling, Sparking National Debate
• Summary: Colorado lawmakers have introduced legislation to ban new oil drilling permits by 2028 and require existing wells to pause production annually for five months, potentially setting a precedent for other states. This initiative, part of a broader effort to address environmental and public health concerns, faces significant opposition from the oil and gas industry but could inspire similar measures nationwide as discussions about sustainable energy practices and the environmental impact of fossil fuels intensify.
• Read more

• California Gov. Gavin Newsom Signs Laws to Curb Oil and Gas Pollution Near Neighborhoods
• Summary: California Governor Gavin Newsom signed new laws to curb oil and gas pollution, granting local governments more power to regulate the industry and aiming for carbon neutrality by 2045.
• 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.

Welcome to our Valor Employee Spotlight series! In this edition, we’re thrilled to introduce Jennifer Dodgen, CPLTA, our Senior Manager of Division Orders. Jennifer is a vital member of the Valor family and we can’t wait for you to learn more about her!

Background and Experience

Jennifer Dodgen is a Certified Professional Lease and Title Analyst (CPLTA) with 19 years of experience in land management within the oil and gas industry. She began her career running title during the Barnett Shale boom in 2005. She later went on to work at XTO as a Division Order analyst, with a focus on releasing suspended funds and developing a strong foundation in owner relations.

Jennifer has served in various land management roles for several prominent Texas operators, including smaller family-owned companies, where she played a hands-on role in operations, land, and accounting. Her extensive experience is further enhanced by her academic achievements, including an associate’s degree in Business Administration, as well as the completion of the Education Program in Petroleum Land Management at Texas Christian University in 2008. Jennifer went on to receive her CPLTA designation in 2012. She has also been a member and board-level director of both the Dallas-Fort Worth Association of Lease and Title Analysts (DFW-ALTA) and the DALWORTH Association of Division Order Analysts.

Role at Valor

Given Jennifer’s vast experience, she is an incredible asset to the Valor team, supporting both our mineral and operator clients. Her day-to-day responsibilities typically involve land administration, division orders, owner relations, regulatory reporting for operators, and other land obligations. Jennifer’s expertise ensures that our clients receive top-tier service, and her dedication significantly contributes to the success of our operations. Jennifer has also played a huge role in helping discover large amounts of suspended funds for Valor’s mineral owner clients.

Jennifer’s Favorites

Outside the Office

Outside the office, Jennifer loves spending time with her husband at their cabin in Jacksboro and doing jigsaw puzzles nightly to wind down. With her daughter, being a senior this year, she is cherishing as much time with her as possible.

What Jennifer Loves Most About Valor

Jennifer loves the people at Valor, noting that having great colleagues creates a wonderful atmosphere. Even when the workload increases, the stress doesn’t, thanks to the strong collaboration within the team.

Jennifer is a remarkable example of the talent we have here at Valor. Stay tuned for more employee spotlights to learn about the incredible individuals who make Valor a great place to work!