- Tight Gas & Oil
- Gas Hydrates
Some of the top producers in the Bakken have significantly increased production amid the downturn, but E&Ps are shifting capex and rig plans from the region as the backlog of drilled but uncompleted wells surpasses 1,000.
After weeks of stirring the pot, opponents of the MarkWest Energy Partners LP (NYSE: MWE) merger with MPLX LP (NYSE: MPLX) lost the war but won $605 million in cash concessions from MPLX parent Marathon Petroleum Corp. (NYSE: MPC).
At a special meeting Dec. 1, MarkWest unitholders approved a strategic combination with MPLX. MarkWest and MPLX said 80% of units voted at the special meeting were in favor of the merger.
The transaction, expected to close Dec. 4, means MarkWest, the second-largest processor of natural gas in the U.S. and largest processor and fractionator in the Marcellus and Utica shale plays, will become a wholly owned subsidiary of MPLX.
Tall City said Nov. 30 it has sold substantially all of its E&P assets in the Permian to new comer Moss Creek, which was formed for the purposes of the deal.
Resolute will also work on the potential sale of its Reeves County midstream infrastructure assets to chip away at its more than $700 million of outstanding debt.
Since August, RSP Permian’s acquisitions have added net production of 3,500 boe/d, 277 net horizontal locations and 47,000 net effective horizontal acres while raising liquidity enough to offset overspending.
WPX Energy and Bill Barrett are among E&Ps actively divesting assets to pay off debt, pay for their own acquisitions or focus on core plays. Other companies are trying to buy, but continue to see private equity beat them out.
A challenging market in the Bakken Shale sees contractors cutting wages, bundling services and pursuing routine maintenance jobs. Contractors report a job mix that is 89% routine maintenance.
Diamondback Energy is changing its pace, slowing down after three years of meteoric growth to settle into a prolonged run of hard-knuckled, steadily efficient operations.
After purchasing Permian Basin acreage for $2.75 billion, WPX Energy is set on selling assets in the San Juan Basin, Kansas and the Piceance Basin as it clears the deck of debt.
The Northern Territory government has shot down Palatine Energy’s plans to extract tight oil in the Watarrka national park, a move company managing director David Falvey has described as profoundly disappointing.
Demand for pressure pumping services in the Bakken Shale is flat, the inventory of drilled but uncompleted wells is rising, and pricing is off 18% vs. August.
Noble gets a subpar price for some of its interest offshore Cyprus, including the Aphrodite natural gas discovery, while new regulations force the sale of offshore Israel licenses.