HEW-TEX INDUSTRY NEWS ROOM
Water remains a big issue in the arid Permian Basin of West Texas where for every barrel of oil produced, another four to 10 barrels of saltwater — the remnants of an ancient inland sea — come out of the ground.
Over the past week, six companies filed 20 drilling permits to develop saltwater disposal, or injection, wells in the West Texas shale play.
Denver oilfield water company Felix Water led the pack by seeking permission to drill 13 injection wells on its Pbar SWD lease in Loving County. Occidental Petroleum-owned APC Water Holdings is seeking to develop another three saltwater disposal wells in Reeves County. Read more…
Bloomberg.com: By Anthony Dipaola - Updated on
Saudi Arabia’s King Salman Bin Abdulaziz named his son Prince Abdulaziz as the country’s energy minister, replacing Khalid Al-Falih, who led three years of active OPEC diplomacy to forge a global alliance with producers such as Russia to limit production in order to prop up prices. Will this change the policy, or will it affect Saudi Aramco’s plan for an initial public offering?
Who is the new minister in charge?
Prince Abdulaziz served as deputy petroleum minister for a dozen years and most recently as minister of state for energy since 2017. He is an older half-brother of the influential Crown Prince Mohammed bin Salman, though the pair aren’t believed to be close and are quite far apart in age. Prince Abdulaziz’s years in the ministry prepare him for the top role.
Oil prices ticked higher on Thursday amid a sharp decrease in U.S. crude inventories and investor hopes of progress in resolving the U.S.-China trade feud.
Global benchmark Brent crude gained 16 cents, or 0.2%, to $60.86 a barrel. U.S. West Texas Intermediate (WTI) crude added 4 cents, or 0.1%, to $56.30 a barrel.
U.S. crude, along with gasoline and distillate inventories, fell last week. Crude stocks dropped 4.8 million barrels, which was more than the 2.5 million barrel draw analysts had expected, the Energy Information Administration said.
Net U.S. crude imports, however, rose last week by 934,000 barrels per day. Read more…
Liquid helium has helped build billion-dollar industries and generate multiple Nobel Prizes. Now our supply is running low.
NYTIMES.com: By Dr. DiVerdi is a chemistry professor. - Sept. 4, 2019
Liquid helium is a quiet engine of American research and business. It is essential to a broad range of technologies, from cutting-edge quantum computing to M.R.I. scanners in hospitals. It has fostered the development of billion-dollar industries, fueled essential lifesaving medical tools, supported work leading to more than 5,000 patents and helped generate multiple Nobel Prizes. In short, it is crucial to innovation. Read more…
Midland’s Concho Resources said Tuesday it will sell its more mature Permian Basin assets in New Mexico for $925 million to the Houston startup Spur Energy Partners.
Concho, which has struggled financially of late, will use the funds to cut down on debt and initiate a share buyback program to help appease Wall Street, while Spur Energy will keep building its foothold in the Permian’s northwestern shelf, which is outside of the booming Delaware Basin in New Mexico.
Concho said it’s starting a share repurchase effort of up to $1.5 billion to help boost the company’s stock. The sale includes about 100,000 gross acres producing 25,000 barrels of oil equivalent a day. Concho will keep its large presence in the Delaware Basin in New Mexico. Read more…
PERMIAN BASIN, Texas – Many Americans don’t know that over the last few years the US has become an energy super-power and that much of the growth comes from a remote region in Texas that you’ve probably never heard of.
20 years ago, big oil was pulling out of the Permian Basin. Today it’s the reason the US is the top oil and gas producing country in the world.
Irving oil company Pioneer Natural Resources is betting on its leases in the eastern end of Permian Basin.
Pioneer filed for eight drilling permits over the past week to develop horizontal wells on seven leases split between Midland and Upton counties.
Located in an area of the Permian known as the Midland Basin, the wells target the Spraberry formation down to depths of 10,531 feet.
During a recent investors call, Pioneer Natural Resources Chief Executive Scott Sheffield said the western end of the Permian, known as the Delaware Basin, is being drilled “too aggressively.” Read more…
HOUSTON - Western Midstream Partners (WES) announced that Michael P. Ure has been named president & Chief Executive Officer and Craig W. Collins has been named senior vice president & Chief Operating Officer of WES. Mr. Ure previously served as Senior Vice President of Business Development for Occidental and Mr. Collins is returning to WES having previously served as senior vice president & Chief Operating Officer of its predecessor, Western Gas Partners, LP from 2017 to 2018. Mr. Ure and Mr. Collins are succeeding Robin H. Fielder and Gennifer F. Kelly, respectively, in connection with the recently completed acquisition of Anadarko by Occidental. Jaime R. Casas, senior vice president, chief financial officer & treasurer, and John D. Montanti, vice president, general counsel & corporate secretary, will remain in their current positions.
“Occidental sees great value and opportunity in the excellent WES asset base and is committed to value-enhancing opportunities for both companies,” said Vicki Hollub, president and CEO of Occidental. Read more…
New laws could pump billions of dollars into Permian Basin’s rapidly growing water recycling industry
Houston Chronicle - Business / Energy
Whether by pipeline tanker, truck or hose, more water is moving around the arid Permian Basin than crude oil at any given moment.
Water has become the lifeblood of the modern energy industry with hydraulic fracturing using high-pressured slurry of water, sand and chemicals to unlock oil and gas from shale formations in Texas and across the country. In the arid Permian Basin, the nation’s most productive oil field, drilling and fracking operations consume more than 195 million gallons of water per day in West Texas and southeastern New Mexico — enough water to fill nearly 300 Olympic-sized swimming pools.
All this has made water and water management in the Permian a big business that’s only expected to get bigger, following the recent enactment of three laws in Texas and New Mexico, the two states encompassing the sprawling oil basin. The laws, which essentially clarify water rights issues and encourage the reuse of water, could pump billions more dollars of investment into the region’s rapidly growing water recycling industry. Read more…
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