1-30-26

Texas Energy Report NewsClips

Friday January 30, 2026

Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall

 

Good morning! Here are today’s Texas Energy Report NewsClips

Oil prices slipped on Friday on signs the U.S. may engage in dialogue with Iran over its nuclear programme, reducing concerns of supply disruptions from a U.S. attack, though prices were on track for large monthly gains as tensions have increased.

West Texas Intermediate crude dropped $1.25 to $64.17 a barrel after gaining 3.4% to settle at its highest level since September 26 in the previous session.

Brent crude futures fell $1.10 to $69.61 a barrel by 0707 GMT after rising 3.4% to close at its highest point since July 31 on Thursday. The March contract expires later on Friday. The more active April contract slid $1.29 to $68.30.

Middle East tensions and oil prices have increased this week due to a U.S. military buildup in the region. U.S. President Donald Trump urged Iran on Wednesday to make a deal on nuclear weapons or face an attack but on Thursday said he was planning to speak to the country’s leaders. Tehran responded to his earlier comments by saying it would strike back hard.

“Prices eased after last night’s rally as the market reassessed geopolitical risks in the Middle East,” said LSEG senior analyst Anh Pham, adding neither a U.S. attack nor the closure of the crucial Strait of Hormuz waterway has actually materialized.

Top Stories

 

Bloomberg – January 29, 2026

Coterra, Devon Are in Advanced Talks on Combination*

Coterra Energy Inc. and Devon Energy Corp. are in advanced talks about a combination, according to people familiar with the matter, in what would be one of the largest oil and natural gas deals in years. The companies could announce a deal in the coming days, said the people, who asked to not be identified because the talks are private. No final decision has been made and the timing could change or talks could fall through, the people added. Coterra rose as much as 4.6% in New York on Thursday, giving the company a market value of about $22 billion. Devon rose as much as 3.7% for a market value of roughly $26 billion.

Representatives for Coterra and Devon didn’t immediately respond to requests for comment. Bloomberg News first reported the talks earlier this month. The discussions illustrate how big drillers are eager to consolidate after a relatively slow 2025. The deal would strengthen their positions in Permian Basin of West Texas and New Mexico, the country’s largest and most productive oil field, giving them more scale to better compete with rivals such as Exxon Mobil Corp. and Diamondback Energy Inc.

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Journal of Petroleum Technology – January 29, 2026

ExxonMobil Plans Three New CCS Startups in Texas and Louisiana This Year

ExxonMobil said it expects to start up three new carbon capture and storage (CCS) projects in Texas and Louisiana this year, following the successful startup of its first commercial CCS project in 2025. In July, ExxonMobil began operations at a CCS facility designed to transport and inject up to 2 mtpa of CO₂ from the world’s largest ammonia complex operated by CF Industries in Donaldsonville, Louisiana. CF Industries is using the project to produce what it markets as low-carbon ammonia, making the facility eligible for US tax credits tied to the permanent storage of CO₂.

The US supermajor also highlighted on 26 January that it signed contracts with AtmosClear and Lake Charles Methanol II to transport and store up to 2 mtpa of CO₂ emissions cumulatively from their respective projects in Louisiana. These agreements bring ExxonMobil’s CCS client list to six customers representing about 9 mtpa of contracted CO₂.

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The Wall Street Journal – January 29, 2026

Caterpillar Sales Jump, Fueled by Power & Energy for Data Centers*

logged a jump in sales in the fourth quarter, boosted by strength across all three of its primary segments. The maker of mining and construction machinery on Thursday posted a profit of $2.4 billion, or $5.12 a share, compared with $2.79 billion, or $5.78 a share, a year earlier. Stripping out certain one-time items, earnings were $5.16 a share. Analysts surveyed by FactSet expected adjusted earnings of $4.71 a share. Total sales and revenues rose 18% to $19.13 billion, compared with Wall Street models for $17.85 billion.

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Midland Reporter-Telegram – January 29, 2026

Upstream M&A rebounds to $65 billion, but Permian Basin lags*

Upstream merger and acquisition activity rebounded as 2025 drew to a close, ending the year with $65 billion in activity. The fourth quarter saw $23.5 billion in announced deals. The Permian Basin, however, was left out of that wheeling and dealing. With the exception of the $7.7 billion SM Energy acquisition of Civitas Resources, the top five deals of the quarter were outside the Permian.

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Reuters – January 29, 2026

Demand at largest US electric grid hovers near winter record*

The largest U.S. electric grid on Thursday operated near record levels for demand amid frigid temperatures as weather forecasters predicted another Arctic blast over the weekend. The PJM Interconnection, which manages the flow of electricity for 67 million people in 13 Midwest and Mid-Atlantic states and Washington, D.C., reported electric demand at about 140 gigawatts in the morning hours. The grid’s all-time winter record for demand is 143.7 GW, set in January 2025.

Earlier in the week, PJM said that record would be smashed on Friday, predicting 148 GW of demand. PJM now says Friday will not be a record-setting day, with a demand forecast of about 142 GW. PJM and electric grids in New York and New England have had to navigate congested high-voltage lines throughout their territories. Temperatures hovering above 0 degrees Fahrenheit (-18 Celsius) this week have caused power line overloads from a surge in electricity demand. Meanwhile, power plant outages in PJM’s territory surged to more than 20 GW earlier this week as cold disrupted gas-fired turbines and boiler equipment at coal-fired generators.

 

The Latest TERse Tips

The arrival of a US aircraft-carrier strike group in the Middle East has given President Donald Trump new, more forceful options to carry out his threats to attack Iran, but the choices carry serious risks of retaliation from Tehran — at the same time, Trump’s shifting messages about his goals, removing Iran’s leaders, punishing the regime for its deadly crackdown on protesters or extracting a new nuclear agreement, have raised questions about just what the mission would be, or whether the threat may be an effort to force Tehran to negotiate — Bloomberg*

Trump threatens tariffs on any country selling oil to Cuba, backing Mexico into a corner — Associated Press/NBC News — and CNN reports Havana prepares people for war

Arctic Cold Fuels Violent Dawn Price Swings as Midwest Natural Gas Supply Tightens — Natural Gas Intelligence

Project partners behind Galveston LNG Bunker Port LLC are working with shipbuilder Tote Services LLC to secure a fleet of bunkering vessels for the small-scale marine fueling project — Natural Gas Intelligence*

The Port of Corpus Christi and its customers moved 203.4 million tons through the Corpus Christi Ship Channel in 2025, declining marginally by 1.5 percent over 2024 (206.5 million tons) — see the press release

Driving an electric vehicle? A powered-up charging station is the new garage essential — don’t waste your EV’s charge by driving to a charging station, power up quickly right at home — Dallas Morning News*

The historic volatility witnessed in US natural gas futures over the past week caught out some money managers who use algorithmically driven trading strategies — gas futures doubled in a matter of days as Arctic weather gripped much of the country and sent demand for the fuel soaring. The turmoil inflicted losses on speculators who’d been betting prices would decline, including some market players known as Commodity Trading Advisers, or CTAs, according to analytics firm Kpler Ltd. — Bloomberg

Trinidad and Tobago expects gas production at Venezuela’s offshore Dragon field to start in the final quarter of 2027, energy minister Roodal Moonilal said, adding that there is no indication that recent developments in Venezuela have impacted the project’s prospects — Argus Media

Trump administration must release EV charger funds, court rules — and With Vineyard Wind ruling, four of five offshore wind projects win relief from Trump freeze — Utility Dive

Texas oil ops recovering after storm, but shut-ins to impact deliveries — Energy Transfer is expected to restore service to its Mid Valley crude pipeline today — QET

 

Oil & Gas Texas

 

Inside Climate News – January 28, 2026

New Lawsuit Claims ‘Catastrophic Impacts’ From Permian Basin Injection Wells

A Permian Basin landowner alleges in a lawsuit that saltwater injection wells contributed to well blow-outs that caused extensive pollution on his property. Billy Wayne Meister Jr. filed the lawsuit in December in Crane County, Texas, district court. Meister alleges that the eight oil and gas companies named as defendants have failed to properly operate produced water injection wells, and also failed to properly plug old oil wells, and then abandoned them. The lawsuit alleges that these failures have led to “catastrophic impacts” on his property.

Produced water, also known as brine or saltwater, is a waste product of oil and gas drilling that contains high levels of chlorides and other harmful constituents. It is typically injected deep underground into disposal wells. In January 2022, a geyser of produced water erupted through an old well on Meister’s property in Crane County. It took months to control and plug. He subsequently documented “fissures” in the land through which produced water was flowing from underground.

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Argus Media – January 29, 2026

Valero ramps up Venezuelan oil purchases: Update

US independent refiner Valero has ramped up purchases of Venezuelan crude and expects it to be a major heavy feedstock this quarter, the company said today. Valero has purchased Venezuelan crude from the three authorized sellers, said vice president of crude and feedstocks supply and trading Randy Hawkins on a fourth-quarter earnings call.

The Venezuelan oil is expected to make up “a pretty large part” of Valero’s heavy crude diet as the company moves into February and March, Hawkins said. The refiner did not disclose pricing but said that heavy crude differentials in general were favorable. Venezuelan crude is replacing various other grades, including heavy crude from Latin America and western Canada, Valero said.

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BNAmericas – January 28, 2026

Baker Hughes eyes Venezuela oil rebound

US oilfield services company Baker Hughes is looking to increase its activity in Venezuela to help return its ailing Latin American business to growth. Revenue from the Houston-based company’s oilfield services business in Latin America fell by 7%, from US$661 million in 4Q24 to US$613mn in 4Q25. Globally, revenue from the business dropped by 8% to US$3.6bn.

In an earnings call on Monday, chief financial officer Ahmed Moghal cited “continued softness” in Mexico as one reason for the decline. In 2025, oil production in Mexico fell from 1.8 million barrels per day (b/d) to 1.6 million b/d, mainly due to a financial crisis at state oil company Pemex.

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Houston Chronicle – January 29, 2026

Rich, bored and isolated: Why Texas oil country loves OnlyFans*

Loving County — a county bordering New Mexico with a population of 48 people, according to 2024 estimates —  topped the list for per capita OnlyFans spending with more than $13 million per 10,000 people.  Oilfield workers come from across the region, often staying in temporary housing communities close to production sites dubbed “man camps.” Aside from any amenities included in these camps, there can be little else for the out-of-town workers to do without traveling to the more-populated towns.  Because the county has tens of thousands of oil workers passing through, the population disparity led to sky-high per capita stats.

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Texas Lawbook – January 21, 2026

Energy Transfer’s Sam Hardy Reflects on ‘Verdict of A Lifetime’

For months in 2016 and 2017, protestors in Morton County, North Dakota, delayed Energy Transfer Partners’ plans to complete construction of the 1,172-mile Dakota Access Pipeline. As the days ticked by, the financial hit Energy Transfer was absorbing grew. The midstream energy company eventually responded with a lawsuit against those they said were responsible for funding the sometimes-violent protests that caused the five-month delay: climate activist group Greenpeace, whose allegedly defamatory statements about ET had inflamed protestors.

The deputy general counsel and head of litigation for Energy Transfer, Sam Hardy, took the job March 2022, about two years after the state court lawsuit was filed. One of his first assignments was to hire outside trial counsel.

 

Oil & Gas National & International

 

Associated Press – January 29, 2026

Venezuela’s acting president signs oil industry overhaul, easing state control to lure investors

Venezuela’s acting President Delcy Rodríguez on Thursday signed a law that opens the nation’s oil sector to privatization, reversing a tenet of the self-proclaimed socialist movement that has ruled the country for more than two decades.

The reform will undoubtedly be her government’s signature policy as it positions the oil sector – Venezuela’s engine – to lure the foreign investment needed to revamp a long-crippled industry. Rodríguez enacted the measure less than a month after the brazen seizure of then-President Nicolás Maduro in a U.S. military attack in Venezuela’s capital, Caracas.

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S&P Global Platts – January 29, 2026

Venezuela’s oil industry could recover by 2030 with US supervision, reforms

Venezuela’s oil and gas landscape is currently the world’s least attractive, but its industry could make some recovery by 2030 if US supervision leads to improved infrastructure and legal reforms, an S&P Global Energy CERA analysis found.

The report, “Venezuela: Outlook for rebuilding a failed petro-state,” ranked Venezuela last out of 112 rated jurisdictions for the attractiveness of its oil and gas investment climate. The country is “characterized by a capacity-depleted national oil company (NOC), dilapidated infrastructure, a lack of contractual sanctity, widespread corruption and violence against oil sector personnel and facilities,” the analysts wrote.

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Reuters – January 28, 2026

Kuwait readies $7 billion pipeline deal as Gulf turns to foreign capital*

Gulf governments are stepping up infrastructure deals with foreign investors, with Kuwait set to ​launch an oil pipeline network stake sale as soon as February in a deal that could raise up to $7 billion, three sources with knowledge of the ‌matter said. The shift comes as oil prices, down more than 25% in two years, sit below levels needed to fund the Gulf’s diversification plans. Governments are now offering investors access to assets once off limits – from pipelines to power plants – to bring in pension funds, private equity firms and infrastructure specialists.

“The national transformation plans underway in the Gulf are bold and ambitious. It can’t be all funded from within,” said Bader Mousa Al-Saif, assistant professor of history at Kuwait University and associate fellow at UK policy institute Chatham House. “Luring international markets in has been multi-directional and multi-sourced – coming from all parts of the ‌Gulf and using all levers at hand to finance their way through.”

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Miami Herald – January 27, 2026

U.S. official: Cuba resold much of the oil it received from Venezuela*

Mexico’s president Claudia Sheinbaum is under increasing pressure over oil shipments to Cuba, which she said involve both paid contracts and humanitarian donations. The reselling of the oil while the Cuban population endures daily electricity cuts is “further proof that the illegitimate Cuban regime only prioritizes enriching itself all while the Cuban people suffer the consequences of their corrupt nature and incompetence,” a State Department official told the Miami Herald.

Venezuela provided Cuba with about 70,000 barrels per day of crude oil and refined products worth as much as $1.3 billion from approximately late 2024 through late 2025, the official said, citing information from a previously undisclosed analysis by the U.S. government.

 

Utilities, Electricity & Renewables

 

Power Magazine – January 29, 2026

NERC Warns Long-Term Grid Reliability Risks Mounting from Surging Demand, Lagging Resources

The North American electric grid faces intensifying reliability risks over the next decade as demand growth driven by data centers and artificial intelligence threatens to outpace resource additions, according to the 2025 Long-Term Reliability Assessment (LTRA) released Jan. 29 by the North American Electric Reliability Corporation (NERC).

The annual 10-year reliability assessment from North America’s Electric Reliability Organization (ERO, which serves as a snapshot of adequacy for 2026-2035 based on industry projections compiled in mid-2025, projects that summer peak demand could surge by 224 GW—69% more than the 132 GW projected in the previous LTRA 2024 (released in 2025). Winter demand could surge even more, by 245 GW, a 65% increase from last year’s 149 GW growth projection. “Compound annual growth rates (CAGR) for summer and winter peak demand are the highest since NERC’s tracking started in 1995,” the report notes.

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San Antonio Express-News – January 29, 2026

Hill Country Texans brace for next fight over planned 200-mile power line

A growing coalition of Hill Country landowners and residents is gearing up for the next phase of a fight over a proposed extra-high-voltage transmission line they say threatens the San Saba River and surrounding ecosystems. The Friends of San Saba, an organization fighting the electric development, met on January 22 to discuss their strategy and legal options against Oncor and the Lower Colorado River Authority, both of which are working together on plans to build power lines as part of a project called the Bell County East to Big Hill 765-kV Transmission Project. Oncor is the largest electric company in Texas, while the Lower Colorado River Authority is a public utility.

The proposed development is part of a statewide effort to support the “unprecedented load growth” in the Permian Basin region “to meet current needs for reliable power and support continuing development and economic growth,” according to the project’s website. Per preliminary plans, nearly 200 miles of power lines would run through portions of the Hill Country, including Bell, Burnet, Lampasas, Llano, Mason, Menard, San Saba, and Williamson counties, among others. The project is also backed by the Electric Reliability Council of Texas.

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The Wall Street Journal – January 29, 2026

Tesla to Invest $2 Billion in Elon Musk’s xAI, Cancel Two EV Models*

Tesla reported a 61% drop in profit for the fourth quarter after losing its edge as the world’s leading electric-vehicle maker and said it would invest $2 billion in Elon Musk’s private artificial-intelligence firm, after shareholders’ views were mixed on the move. The company said it entered into an agreement on Jan. 16 to invest in xAI’s Series E funding round. Tesla shareholders had previously voted down a proposal that asked the board to invest in the startup, with more “no” votes and abstentions than “yes” votes.

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Texas Tribune – January 29, 2026

Texas’ power grid weathered another winter storm. Is it ready for the future?

Three weeks shy of five years since a winter storm overwhelmed Texas’ power grid and left millions freezing in the dark, Texans experienced another weekend of barren grocery shelves, closed schools and an intense focus on the integrity of its electrical grid. Gov. Greg Abbott, state emergency management officials and the Electric Reliability Council of Texas CEO assured Texans at a news conference in the days before this year’s storm that the grid was prepared to handle increased demand over the weekend as snow, sleet and freezing rain was forecast to fall on large swaths of Texas.

The state did see localized power outages and a handful of deaths from exposure and accidents. The power grid remained stable throughout the period of intense demand, but with one big caveat: experts say this year’s storm was much less severe than Uri in February 2021.

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Financial Post – January 29, 2026

Texas Data Centers, Crypto Miners Reduced Power During Storm

Electric Reliability Council of Texas Chairman Bill Flores said Thursday that some data centers and cryptocurrency miners voluntarily curtailed power use during the recent winter storm that strained the state’s grid and others across the country. Data centers supporting artificial intelligence and other industrial sites are driving rapid growth in electricity demand in Texas and elsewhere, contributing to higher residential utility bills and forcing grid operators to make difficult decisions about who receives power. Texas slashed its live power-demand projection for the recent storm by 13% after it began. ERCOT has taken a more conservative approach to procuring supplies following the state’s deadly 2021 grid disaster.

“The last image a crypto miner or hyperscaler wants is they had all their lights running and their processors going the same time some school was getting its lights cut off,” Flores said in an interview Thursday on the sidelines of Baker Hughes’ annual meeting in Florence, Italy. “I think you have a group of large loads in Texas that want to be cooperative and understand the value of working with the grid operator in the state.”

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Houston Chronicle – January 29, 2026

Texas is leading the nuclear renaissance. And we’re just getting started: Gabe Avritscher, Texas A&M University*

But there’s no cause for panic. Our state has already positioned itself as a global leader in energy innovation and abundance. And as state leaders in Texas map out our energy future, stakeholders are increasingly investing in the modernization and expansion of nuclear energy infrastructure. Texas, of course, knows energy — all sorts of energy. For over a century, energy production has been the backbone of our state’s flourishing economy. Not only does Texas account for nearly half of America’s oil and gas production, but thanks to the state’s pro-market policies, we also lead the nation in the generation of renewable energy.

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Utility Dive – January 29, 2026

US coal generation jumped 31% during Winter Storm Fern: EIA

The U.S. electric grid leaned heavily on fossil fuels during Winter Storm Fern, with coal generation in particular jumping 31% for the week ended Sunday, the U.S. Energy Information Administration said Tuesday. Beginning Friday, Fern brought snow, ice and frigid temperatures to a swath of the U.S. from Texas to New England. Coal generation has surged in the second half of January, from a mid-month low of around 70 GWh/day to about 130 GWh/day, according to EIA data. During the week of Fern, gas generation in the Lower 48 also increased 14% from the previous week while generation from solar, wind, and hydropower declined.

“Grid operators can call upon the coal fleet to increase electricity generation in extreme weather events and other times when demand surges or output falls from other generation sources, a pattern also evident in severe cold snaps in February 2021 and January 2025,” EIA said. The U.S. Department of Energy on Saturday and Sunday issued emergency orders to keep some generation sources running during Winter Storm Fern, regardless of emissions limits, in New England, Texas and the Mid-Atlantic. Additional 202(c) waivers were issued Monday as cold temperatures remained and the outlook turned arctic.

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S&P Global Platts – January 29, 2026

Data center opposition gains momentum as power demand spikes

As power-hungry data centers continue to proliferate across the US, so too does local opposition. From the suburbs of Northern Virginia to the banks of the Columbia River, communities are voicing deep concerns over data centers, often centering on their energy, environmental and affordability impacts.

Many projects continue to advance, promising significant community benefits, including jobs and tax revenue. But the digital infrastructure boom, with its massive appetite for electricity, is increasingly encountering local resistance and has become a controversial issue ahead of US midterm elections in November.

 

Regulatory

 

Grist – January 21, 2026

The consequences of Trump’s war on climate in 7 charts

Upon returning to office 12 months ago, Trump immediately declared an “energy emergency” and promised to “unleash American energy.” He packed his cabinet with oil executives and climate skeptics who have since rolled back the climate initiatives and protections of presidents Obama and Biden while accelerating fossil fuel development.

From dismantling regulations designed to cut emissions and tame pollution to repealing the country’s most ambitious climate action, Trump has reveled in reversing years of progress. He has withdrawn from both the Paris Agreement and the U.N. Framework Convention on Climate Change and undercut scientific research at every opportunity.