Over the past several weeks, we have spoken with many industry contacts close to the Permian Basin frac sand mining scene. Our channel checks have revealed insights on geology, plant progress, challenges, and contracting activity. In a two part series starting today and concluding next week, we are chronicling some …
Read More »E&Ps Actually Underspent Budget In Every Major US Onshore Play During 1Q17
We actively monitor spending patterns for approximately 50 public independent operators. With virtually all of their 1Q17 results disclosed over the past week or two, we can now report some detailed insights on what their spending during the first quarter of the year means for the rest of 2017. There’s a lot …
Read More »Frac Hits Challenge E&P Teams, Impact Completion Workflows, And Require Investment In Learning
In a piece several weeks ago, we detailed how Range Resource handled material frac interference in their Terryville field (see point 5). Since then most of the E&P universe has reported earnings. On conference calls, we heard more concern related to frac communication, and learned more about how E&Ps are dealing with it. …
Read More »Sharing Our Cheat Sheet For 1Q17 Reporting Season: Key Themes For 8 Oilfield Sectors
Earnings season begins Friday morning. Here’s our cheat sheet of just the most important themes and trends to listen for as management teams discuss the outlook. We’ve broken down the cheat sheet by US onshore E&P, majors, completion service providers, frac sand miners, onshore drilling, offshore drilling, and diversified oilfield services, …
Read More »$6.2 Billion Worth Of Oilfield IPOs Are Evidence Of A Race To The Bottom
It won’t come as a surprise to most of our readers that a slew of O&G IPOs are coming to market. Instead of rubbing our hands together with excitement, perhaps we should be wringing them in worry. We are now monitoring about 20 US onshore oilfield IPO deals collectively sized at …
Read More »Key Borrowing Base Survey Is Out. Findings Include Banker Amnesia & Loosening Purse Strings
Along with many others in the industry, we actively monitor the Haynes & Boone Spring borrowing base re-determination survey each year. Released this week, the law firm’s latest survey suggests that bankers have shrugged off the capital destruction left by the downturn’s 120 O&G bankruptcies. There’s a lot more to this …
Read More »U.S. Land To Offshore: Hold My Beer While I Send It [Guest Post]
Note: Each Friday in March, we are passing the keyboard to one of our readers to share perspective from the field. We hope you enjoy the thoughts these hand-picked contributors have to share. This week, former sell-side analyst Jeffrey Spittel joined us with a terrific look at the division in …
Read More »Encana’s 64-Well Monster – A Permian One-Off Or The Pad Of The Future?
Traveling down W FM Road 1787 south of Odessa before Hwy 349, a well-worn dirt road wide enough for two-way traffic cuts off the main road. About two miles down this dirt road lies a monster. This is the site of Encana’s Davidson multi-well pad – a Permian phenomenon. It is the …
Read More »Just When Everyone Thought Deepwater Was Dead… A Twitch.
This past weekend, we read a half dozen transcripts of earnings calls from the oil majors and national oil companies (NOCs). The big guys are all whistling the same tune. They are successfully re-engineering pending deepwater projects to fit $50 oil (and below). They are ready to clear their final investment decision …
Read More »Operators Overheard Getting Grilled About Service Cost Inflation In Vail Last Week
In Vail Colorado last week, Credit Suisse hosted most of the publicly traded upstream industry for the firm’s annual energy summit. Between runs down the slopes, oilfield C-suites talked 2017 prospects with their investors. While service companies were in the next room over talking excitedly about raising prices, E&P management teams …
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