Cheniere is building a connector to the Whistler pipeline to get gas over to its LNG plant to export it.
US natural gas production hits a new milestone, 100 Bcf/d. Who would have thunk it?
It shows how new technology and adapting markets can completely reshape an entire industry in a few years time.
I thought this was great news for mineral owners.
3 Likes
We have been getting quite a few calls lately wanting to buy surface estate next to compressor stations for “battery builds.” I think this has a lot to do with the new crypto mining and the need for computers and battery stations to run them.
2 Likes
Or the Chinese are infiltrating.
1 Like
They may also be for construction of centralized collection or processing facilities for multiple area wells. The gas is combined from all the wells and put into the gas pipeline for transport to the processing plant. Oil can also be combined for oil pipeline.
1 Like
Northern O&G buying 2800 acres of leases from Alpha Energy in Lea and Eddy County. works out to over $50,000 per acre.
RBN analysis of the potential for gas takeaway constraints across the Permian.
1 Like
Pioneer will start testing the Woodford and Barnett in the Midland Basin for gas.
While Waha was flirting with negative gas prices, gas at the Northern California hub spiked at $55/MMBtu last week. Apparently California needs some natural gas after all.
1 Like
Here are RBN’s top 10 blog articles for the year about energy security. To me, the main takeaway is this - if you try to mess with the forces behind the energy market, it almost always backfires and is seldom effective. Energy is just too ingrained in everything we do, eat, buy, make and spend to think a government body can dictate how it should be produced, transported or used.
5 Likes
Vitol buying Delaware Basin Resources.
Matador buying Advance energy Partners for $1.6 billion. The Advance acreage is mostly in Ward and Lea Counties. A flurry of deals recently.
Cheniere adding three more trains to its Sabine Pass LNG export terminal. Hoping to start construction by 2025 and in operation by 2032. Seems like a long term bet on the Haynesville and Permian.
2 Likes
Must read, Dallas Fed annual survey. Drilling break-even increased 11% due to inflation, now $61/bbl in Delaware Basin and $58/bbl Midland. Best part is the anonymous opinions of executives. Easy to subscribe & receive this by email.
https://www.dallasfed.org/research/surveys/des/2023/2301?utm_source=MarketingCloud&utm_medium=email&utm_campaign=23.03.29+Energy+Survey%2c+SWE+Chargers&utm_content=https%3a%2f%2fwww.dallasfed.org%2fresearch%2fsurveys%2fdes%2f2023%2f2301#tab-report
3 Likes
Thanks for posting this, Roy
Matador Resources discussed U-turn or “horseshoe” wells, in which a two-mile horizontal shaft U-turns 180 degrees in a one mile section.
See 1Q23 earnings presentation slide 8. These Matador wells are drilled but not completed until 2H23. Location is south Loving County right next to Pecos River, near Mentone. Matador said fewer than a dozen such u-turn wells have been drilled by others, four within 20 miles (of Mentone) and others in south Texas. Big savings in steel casing, two U-turn wells eliminates 50,000’ (ten miles) of vetical casing vz four regular one mile laterals. Completion process no different, they said the U-turn is less curved than the vertical-to-lateral turn in the heel.
2 Likes
Callon selling its Eagle Ford position and picking up acreage in Ward, Loving and Winkler Counties.
2 Likes
True Oil is going to start charging owners $10/check for a paper check if they refuse to do ACH.
1 Like