Valor | Energy Connection – Oct. 13, 2025

October 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.

• US drillers cut oil and gas rigs for first time in 6 weeks, Baker Hughes says
• Summary: For the first time in six weeks, the U.S. oil and gas rig count fell, dropping by two to 547 as of October 10, a total now 7% below the prior year. The decline was driven by oil rigs, which fell four to 418, while gas rigs rose two to 120; both the Texas and Permian rig counts also hit their lowest levels since September 2021. Despite this, the EIA projects 2025 crude output will rise to 13.5 million bpd and that gas output will increase to a new record of 107.1 billion cubic feet per day.
• Read more

1. US oil production growth is stalling
2. Summary: U.S. oil output is beginning to flatten as operators slow drilling and shift focus toward efficiency. With prices near $63 per barrel, producers are exercising capital discipline, causing rig counts to ease across the Lower 48. Analysts anticipate modest declines through Q4, which could tighten supply and support prices into 2025. This near-term slowdown reflects a cautious approach among operators seeking stability amid market uncertainty.
3. Read more

1. EIA adjusts U.S. oil forecast after producers set a record in July
2. Summary: Following a record 13.6 million barrels per day (b/d) in July, the EIA increased its forecast to 13.5 million b/d for both 2025 and 2026. The report expects stable U.S. output and growing LNG exports to offset softer prices, helping maintain balance in global supply. Despite current drilling slowdowns, the outlook remains positive, with U.S. production positioned for consistent strength and long-term resilience across the energy sector.
3. Read more

• Natural gas prices hinge on EIA report and 50-day average
• Summary: On October 9, U.S. natural gas futures stabilized near the 50-day moving average of $3.284, trading at $3.360 after a nearly 5% drop, as traders awaited the weekly EIA storage report. Analysts forecast a +77 Bcf injection, below the 94 Bcf 5-year average, but bearish factors include high production at 106.8 Bcf/d (+4.7% y/y) and U.S. inventories 5.0% above their five-year average. The outlook remains neutral to bearish, capped by warmer weather forecasts and flat LNG demand, with the market’s direction hinging on the EIA data.
• Read more

• Exxon restarts gasoline unit after brief Beaumont outage
• Summary: ExxonMobil restarted the 120,000-barrel-per-day gasoline-producing unit at its 612,000-bpd Beaumont refinery two days after a malfunction-induced shutdown. The brief outage at one of the largest U.S. refineries was watched closely, as an extended disruption could have impacted gasoline supplies with inventories near their five-year average. The market reaction was muted, suggesting traders expect a quick normalization, but the incident highlights the razor-thin margin for error in the U.S. refining system.
• Read more

1. Energy markets recover slightly on geopolitical calm
2. Summary: On Monday, October 13, energy markets saw a mild recovery as easing geopolitical tensions lifted sentiment, with WTI crude climbing to $59.81 and Natural Gas trading around $3.12. WTI remains in a bearish trend below its 50-day EMA of $61.55, while Brent crude struggles near $63.57, also below its 50-day EMA of $65.22. Natural Gas found support at $3.06 and is considered oversold, but a sustained rebound depends on bulls reclaiming the $3.20 level, with its 50-day EMA at $3.29 acting as overhead resistance.
3. Read more

1. Chevron expands India hub to boost digital and AI capabilities
2. Summary: Chevron’s Engineering and Innovation Excellence Centre (ENGINE) in Bengaluru, its largest tech hub outside the U.S., supports global operations with a $1 billion investment over four to five years. The center has hired over 1,000 people, surpassing its initial goal of 600 professionals by the end of 2025, with over 10% being university hires. The ‘AI-first’ workforce uses technologies like AI and IoT to support global energy operations, reduce emissions, and cut down subsurface data processing from months to just weeks now.
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.