Texas Energy Report NewsClips
Monday October 6, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Top Stories
The Wall Street Journal – October 5, 2025
OPEC and Allies Agree to Boost Oil Production*
The Organization of the Petroleum Exporting Countries and its allies agreed on a restrained oil output increase on par with earlier moves, a bet that the group can eke out more revenue without causing a crash in prices. Eight OPEC+ members led by Saudi Arabia said they would boost production by 137,000 barrels a day in November, the same as the output increase in October, the group said after an online meeting Sunday. The cartel wants to regain market share lost to U.S. shale producers, Brazil and Guyana, and to rein in other OPEC members that routinely exceed production quotas. Lower oil prices also would please President Trump, who repeatedly has called for lower gas prices at the pump.
The move builds on earlier decisions by the Vienna-based cartel to unwind a layer of production quota curbs totaling roughly 1.65 million barrels a day, which was first implemented in 2023. An earlier layer of production curbs, totaling 2.2 million barrels a day, already had been fully rolled back in September, a year ahead of schedule. Brent crude futures dropped $4.90 last week as traders positioned for a larger-than-expected production increase. By going with a more restrained increase of 137,000 barrels, the cartel “stepped carefully after witnessing how nervous the market had become,” about the possibility of even larger production increases, said Jorge León, head of geopolitical analysis at Rystad Energy, who formerly worked for the cartel. “The real test will come when fundamentals and politics shift again.”
____________________________
Yahoo! News – October 3, 2025
Chevron puts $2 billion Colorado pipeline assets for sale, sources say
Chevron is selling a collection of pipeline assets in the Denver-Julesburg shale basin that are likely to fetch more than $2 billion, people familiar with the matter said. Investment bankers at Bank of America have been working in recent weeks to solicit potential interest in the infrastructure, which was largely inherited from the oil major’s acquisition of Noble Energy in 2020 and its subsequent full takeover of Noble’s midstream business a year later, said the sources, who asked not to be named because the talks are private.
Collectively, the assets generate around $200 million of earnings before interest, taxes, depreciation and amortization (EBITDA), some of the people added. Based on sales of similar assets, Chevron can expect to fetch upwards of $2 billion. A sale is not guaranteed, and Chevron could ultimately retain some or all of the assets, the people cautioned.
____________________________
KIII – October 3, 2025
Corpus Christi water curtailments could start in 2026, industry warns of job losses
Corpus Christi officials say water curtailments could begin as soon as November 2026 if drought conditions persist, raising concerns for South Texas’ oil and gas industry. Last year, the oil and gas industry made up 38% of Texas’ gross domestic product (GDP) and contributed $27 billion in tax revenue to the state. Locally, the industry includes one of the nation’s largest petroleum ports and employs about 12,000 workers locally, but it relies heavily on water for refining, drilling and production. Those jobs typically pay $120,000 or more, or three times the area’s median income.
“When it comes to water, these issues are some of the most serious that we’ve faced,” said Todd Staples, president of the Texas Oil and Gas Association. “Both homeowners and businesses alike depend on a reliable water supply. The fact that these needs might not be met could have extreme consequences for the operations at these facilities.” Railroad Commissioner Jim Wright, one of the state’s top oil and gas regulators, said water shortages would ripple beyond industry, threatening exports and employment across the region.
____________________________
Politico – October 3, 2025
Trump attack on green energy projects hits Republican districts*
Related: The Energy Department will announce more project cancellations this fall that will likely affect projects in GOP-held districts and states, Energy Secretary Chris Wright said late Thursday. “As this fall goes on, you’ll see cancellations in red and blue states,” the secretary said in an interview with CNN. “We’ve got to save Americans money.” — Politico*
The Trump administration’s actions to terminate more than $7.5 billion in energy grants in blue states — pitched by officials as a strike against the “Left’s climate agenda”— is poised to hit more than two dozen Republican districts. Just last month, Rep. Gabe Evans (R-Colo.) toured United Power’s Mountain Peak natural gas peaking plant. It’s part of a move away from coal.
“This investment will help provide more reliable, safe, and affordable energy for #CO08,” Evans wrote on social media in September. The Department of Energy canceled a $6 million grant for the rural electric cooperative Wednesday. His office, along with numerous other Republican offices contacted for this story, did not respond to requests for comment. DOE’s termination Wednesday of 321 financial awards worth roughly $7.56 billion was touted by White House Office of Management and Budget Director Russell Vought as retribution against Democrats for the government shutdown and a chance to dismantle the “Green New Scam” — the Republican pejorative for Democratic legislation passed during the Biden era.
____________________________
Bloomberg – October 3, 2025
Singer’s Elliott Escalates Battle With Texas Private Equity Firm*
Paul Singer’s Elliott Investment Management escalated a legal fight with a Texas-based private equity firm it has accused of charging excessive expenses. Stronghold Investment Management is being accused of improperly overcharging expenses to oil and gas-focused private equity funds that Florida-based Elliott had invested in and refusing to liquidate two of the pools in breach of an earlier agreement, according to a lawsuit made public Wednesday in Delaware Chancery Court. Stronghold has continued acquiring assets and ran up “excessive expenses,” Elliott alleged.
In earlier court filings, Stronghold has denied that it overcharged Elliott and has argued that it has sufficiently accounted for costs. The private equity firm has touted returns delivered to Elliott on a $532 million investment across several Stronghold-affiliated funds. Elliott made back its money and stands to potentially make another $379 million, a Stronghold attorney told a judge in May as part of a separate case. Representatives for Stronghold didn’t respond to a request for comment on the lawsuit.
In March, Elliott filed a complaint seeking access to internal Stronghold company records to investigate the expenses it said were inflated by tens of millions of dollars. A judge has been weighing whether to grant Elliott access to those records. In its new complaint, Elliott asked the judge to award the funds damages and to order a receiver to oversee the wind down of the partnerships.
____________________________
Reuters – October 6, 2025
Oil prices rose around 1.5% on Monday after OPEC+ announced a more modest monthly increase in production than expected, tempering some concerns about supply additions, though analysts expect near-term gains to be capped by a soft demand outlook.
West Texas Intermediate crude was at $61.77, up 89 cents, or 1.5%.
Brent crude futures rose 91 cents, or 1.4%, to $65.44 a barrel by 0315 GMT
“The price jump has primarily been boosted by OPEC+’s decision for a lower-than-expected production hike next month as the group intended to buffer the recent slump in oil markets,” said independent analyst Tina Teng.
On Sunday, the Organization of the Petroleum Exporting Countries plus Russia and some smaller producers said it would raise production from November by 137,000 barrels per day (bpd), the same modest monthly increase as in October, amid persistent concerns over a looming supply glut.
The Latest TERse Tips
Governor Greg Abbott has appointed Tonya Miller to the TCEQ for a term set to expire on August 31, 2031 — she’s a director at the Texas Water Development Board. She previously worked as vice president of wholesale power strategic projects and optimization for the Lower Colorado River Authority — see the press release
Citadel is in advanced talks to purchase Haynesville Shale natural gas assets from Comstock Resources — these are described as non-core legacy properties located in East Texas and Louisiana, and a potential sale could be valued around $500 million — Citadel has been actively acquiring assets in the Haynesville Shale this year — Hart Energy*
Entergy Arkansas announced it will power Google’s planned $4 billion technology investment in Arkansas — see the press release
Ares Management on Monday announced its $1.1 billion, all-cash acquisition of Meade Pipeline, a 40 percent owner of a major natural gas pipeline in the Northeast, the Central Penn Line — Texas Law Book
Energy Department Announces $625 Million Investment to Reinvigorate and Expand America’s Coal Industry — see the press release
Lamb County Electric Co-Op’s 29-year President Dallas McCurry has passed away at 93 — see his obituary
Tesla set a new sales record in the third quarter in a surprise reversal of the steep declines that have plagued the electric-vehicle maker this year — The Wall Street Journal*
Texas REPs are making measurable progress in building Brand Trust, but new data show that a handful of companies are standing out for how they connect with and support customers — these and other findings are from the Cogent Syndicated Texas REP Trusted Brand™ study from Escalent — see the press release
Developers have begun to clear land for a massive AI Data Center in Hopkins County — the over 16,000-acre development is being led by MSB Global Services, based out of the Houston area — KLTV
Fitch Ratings has assigned a ‘BB+’ instrument rating to CenterPoint Energy, Inc.’s fixed-to-fixed rate reset junior subordinated notes due 2056 — the notes are CNP’s unsecured obligations and will rank junior and subordinate in right of payment to the prior payment in full of CNP’s existing and future senior indebtedness — Fitch
Ukraine’s New Strategy for Keeping the Lights On Through a Winter of War — Top-secret sites house rows of batteries designed to support power grid during bombardments — The Wall Street Journal*
.
Oil & Gas Texas
Oil Price – October 3, 2025
US Oil, Gas Drillers Pause Amid Oil Price Drop
The total number of active drilling rigs for oil and gas in the United States stayed the same this week, according to new data that Baker Hughes published on Friday. The total rig count in the US stayed the same at 549 according to Baker Hughes, down 36 from this same time last year.
The number of active oil rigs fell in the week, according to the data, to 422. Year over year, this represents a 57-rig decline. The number of gas rigs rose by 1 to 118 active rigs, which is 16 over this time last year. The miscellaneous rig count rose by 1 to 9. The latest EIA data showed that weekly U.S. crude oil production rose in the week ending September 26, from 13.501 million bpd to 13.505 million bpd. Average weekly oil production in the United States is now 57,000 barrel per day under where it was at the beginning of the year.
____________________________
Politico -October 3, 2025
Supreme Court to hear Exxon fight over losses from Cuban Revolution*
A decades-old conflict between Exxon Mobil and Cuba over the seizure of the oil major’s Cuban assets by Fidel Castro’s government is coming before the Supreme Court. The dispute, Exxon v. Corporación Cimex, was granted Friday ahead of the start of the Supreme Court’s new term, which begins Monday.
Exxon, with the backing of the Trump administration, has asked the justices to clarify whether federal law now allows the company to seek compensation from the Cuban state-owned holding company Corporación Cimex, or if it must meet certain requirements under another law to pursue legal action against a foreign entity. Exxon alleges the Cuban government has never provided compensation for the $70 million (in 1960 dollars) of oil and gas assets that were seized following the Cuban Revolution. “Like the thousands of other victims of the Castro regime, Exxon has been waiting since the early 1960s to receive compensation,” the company wrote in its 2024 Supreme Court petition.
____________________________
Midland Reporter-Telegram – September 30, 2025
Report: Future natural gas resources hit record*
Members of the American Gas Association’s Potential Gas Committee celebrated the committee’s 60th anniversary by reporting record future natural gas supply. The committee rolled out its 60th anniversary report to show a 507 trillion cubic feet (Tcf) or 16% increase in technically recoverable domestic natural gas resources compared to the previous biannual report. According to the report, the U.S. currently has 3,871 Tcf of total technically recoverable natural gas resources, combining traditional gas and coalbed gas. Shale gas accounted for 58% of total natural gas resources. The total U.S. future natural gas supply, including both reserves and resources, stands at a record 4,562 Tcf.
The Potential Gas Committee assesses 90 geologic provinces encompassing seven geologic areas with the cooperation and teamwork of geologists from around the nation to provide a meaningful appraisal of the U.S. long-range natural gas supply.
The Atlantic area dominates with 1,432.9 Tcf or 39% of U.S. gas resources. The Gulf Coast, including Gulf offshore, was second with 709.5 Tcf or 19% of supply. The Mid-Continent, which includes the Permian Basin, holds 591.5 Tcf in recoverable resources or 16% of U.S. supply. The other four areas include the Rocky Mountains with 544.4 Tcf or 15%, Alaska with 357.7 Tcf or 10%, the Pacific with 50.5 Tcf or 15 and North Central with 16.7 Tcf or less than 1% of supply.
____________________________
Midland Reporter-Telegram – October 2, 2025
Christi Craddick runs for Texas comptroller, vows audits and transparency*
After almost 13 years on the Railroad Commission, Christi Craddick looks back on an agency much improved in terms of efficiency and transparency. Now she is looking to translate that success to another state agency: the comptroller’s office. She is running for Texas comptroller to succeed Glenn Hegar, now chancellor of the Texas A&M University System. She will face Acting Comptroller Kelly Hancock and former state Sen. Don Huffines in the March 2026 primary.
The agency “needs to be more transparent. (Texans) need to know where the money comes in and where it goes out,” she said during a visit to her native Midland. Her campaign motto is “audit everything,” and she vowed to restore audit practices put in place by former comptrollers John Sharp and Susan Combs. Craddick pledged to create a task force within the comptroller’s office to review local city and school district budgets. She also pledged to launch a Local Government Efficiency Task Force to review city budgets, school districts and special-purpose entities across Texas.
____________________________
KRIS – October 1, 2025
Flint Hills Resources celebrated the commissioning of new $53M solar farm
Flint Hills Resources commissioned a new 27-megawatt solar installation at its Corpus Christi West refinery, marking the first project of its kind in Texas. The $53 million facility features 56,728 solar panels across 100 acres and will provide approximately 28% of the refinery’s power needs.
The solar installation can generate enough electricity to power more than 5,100 homes annually under optimal conditions. The project aims to enhance power supply, lower production costs, improve operational efficiency, and reduce emissions from the utility grid at the refinery.
____________________________
Fort Worth Report – October 3, 2025
New water resources needed for North Texas. Here’s a look at how Tarrant plans to tap them
Tapping additional reservoirs and out-of-state resources are among the new strategies North Texas water suppliers are exploring as they plan now for local needs through 2080. Large reservoirs remain the most viable option to help the area tap billions of gallons of water over the next few decades, officials said.
Moving such large supplies of water from East Texas or beyond means starting as early as 2030, as it takes decades to develop plans, navigate potential land disputes and obtain permits, water resource engineering director Rachel Ickert told Tarrant Regional Water District board members during a summer meeting.
Oil & Gas National & International
The Wall Street Journal – October 5, 2025
How China Secretly Pays Iran for Oil and Avoids U.S. Sanctions*
U.S. sanctions make it nearly impossible to pay Iran for its oil. China has figured out how to do it anyway, in an arrangement that has largely been secret. The hidden funding conduit has deepened economic ties between the two U.S. rivals in defiance of Washington’s efforts to isolate Iran. The barter-like system works like this, according to current and former officials from several Western countries, including the U.S.: Iranian oil is shipped to China—Tehran’s biggest customer—and, in return, state-backed Chinese companies build infrastructure in Iran.
Completing the loop, the officials say, are a Chinese state-owned insurer that calls itself the world’s largest export-credit agency and a Chinese financial entity that is so secretive that its name couldn’t be found on any public list of Chinese banks or financial firms. The arrangement, by sidestepping the international banking system, has provided a lifeline to Iran’s sanctions-squeezed economy. Up to $8.4 billion in oil payments flowed through the funding conduit last year to finance Chinese work on large infrastructure projects in Iran, according to some of the officials. Iran exported $43 billion of mainly crude oil last year, according to estimates by the U.S. Energy Information Administration. Western officials estimate that around 90% of those exports go to China.
____________________________
S&P Global Platts – October 2, 2025
California opens door to E15 gasoline sales, aiming to cut pump prices
California Governor Gavin Newsom signed legislation allowing the sale of E15 gasoline in the state, saying the move could lower fuel prices by up to 20 cents/gal “without adding environmental harm.” Prior to the signing, California—the largest motor fuel market in the US—was the only state in the US where sales of gasoline blended with 15% ethanol were prohibited. Assembly Bill 30, which passed unanimously through both chambers of the state legislature, allows the immediate sale of the fuel.
“Thanks to our work with the legislature, we have averted billions of dollars in higher costs at the pump by avoiding the kinds of severe gasoline price spikes we saw a few years ago,” Newsom said in a statement. “While we continue the critical work to stabilize our state’s fuel market, we’re cutting red tape to provide consumers with more options as we continue our transition to cleaner transportation.”
____________________________
The Guardian – September 27, 2025
Trump brags of ‘massive’ oil deal in Pakistan – but drilling has not found any
The newfound camaraderie between the US and Pakistan was on full display this week as Donald Trump welcomed Pakistan’s prime minister, Shehbaz Sharif, and the country’s powerful army chief, Asim Munir, into the Oval Office, heralding them both as “great leaders”.
Having been cold-shouldered by successive US presidents, this was the first time a Pakistani prime minister had been invited to Washington in more than six years. It was also the unprecedented second time this year that Munir – who holds no official government role – held an intimate meeting with Trump, which many took as a telling signal of where the power to cut deals really lies in Pakistan.
Utilities, Electricity & Renewables
KPRC – October 3, 2025
CenterPoint Energy customers to see $2 increase in their bill
If you are a CenterPoint Energy customer, your bill is about to go up. Customers will see an increase of $2 over the next 15 years. This is for CenterPoint to recover the costs associated with damage to the company’s infrastructure from recent storms, like Hurricane Beryl, the 2024 derecho, and the January 2025 winter storm. The $2 surcharge comes following a proposed rate increase CenterPoint Energy presented before the Public Utility Commission of Texas (PUCT). After negotiations, the PUCT approved the proposal, clearing the way for the rate increase.
To put things into context, CenterPoint said the recent storms caused nearly $1.5 billion in damages to it’s infrastructure. The company says the proposal which they presented to the PUCT allows them to spread out their repair and recovery costs, which is lower than it would be if the company had used traditional financing.
____________________________
The Wall Street Journal – September 29, 2025
Why Your Electric Bill Keeps Rising: Mario Loyola*
Electricity rates are climbing across the U.S. Many blame the boom in artificial-intelligence data centers for driving electricity demand, which could increase 25% by 2030. Soaring demand ought to be good news—it signals a flourishing economy. In an efficient market, it would trigger a construction boom in reliable and affordable power sources. But it hasn’t because of artificial constraints on generation capacity. The green-energy lobby points to the massive deployment of subsidized solar capacity in recent years, arguing that renewables have been able to handle rising data-center demand in places like Texas.
But that model isn’t scalable. Grid operators must back up intermittent wind and solar with dispatchable sources that they can dial up and down. Utility batteries also have limitations: Most last only a few hours before they have to be recharged. To meet demand, the U.S. would need massive new dispatchable power generation—coal, natural gas and nuclear—that could run as long as needed. But the U.S. retired almost 10 gigawatts worth of such plants in 2024, enough to power up to 7.5 million homes.
The vast deployment of subsidized solar and wind in America’s power sector today imposes hidden costs and undermines investment in reliable power sources. The Inflation Reduction Act’s subsidies force dispatchable power sources offline intermittently, making it nearly impossible for them to recoup costs. As a result, most new energy project proposals in the U.S. are now solar, even though grid operators are already struggling with the solar they have. The One Big Beautiful Bill Act trims green-energy subsidies after 2028, but until then they will remain, entrenching a powerful renewables lobby. The Obama-Biden war on fossil-fuel power, especially coal plants, has combined with renewable subsidies to poison the investment horizon for the power sources we most urgently need.
____________________________
Utility Dive – September 30, 2025
The Solar Energy Industries Association reports that Texas installed the most solar capacity in the first quarter of 2025 nationally, followed by Florida. This growth can largely be attributed to utility-scale solar projects, and represents a national trend.
As utilities manage increasingly large portfolios of renewable energy, the financial risks of inaccurate forecasting become amplified and impossible to ignore. Forecasting errors can lead to overproduction or underproduction, forcing operators to incur losses by either selling excess energy at a lower price, or buying additional energy at a higher price. In worst-case scenarios, shortfalls can trigger costly penalties, which can further compound losses.
____________________________
The Guardian – September 27, 2025
Powerful lithium batteries in written-off EVs now hot property at salvage auctions
Written-off vehicles typically earn little attention, with the main buyers usually being auto wreckers seeking parts or car enthusiasts hunting for restoration projects. But at salvage auctions across Australia, a new type of buyer is emerging, and they are interested in one thing: the high-powered batteries inside electric vehicles.
The demand for secondhand EV batteries is surging, with buyers repurposing them for everything from solar storage units to off-grid energy systems that can replace diesel generators. Brendon Green, the general manager of automotive solutions at Pickles, says the auction house is selling about 100 salvaged EVs every month, and interest is surging.
____________________________
Bloomberg – October 3, 2025
BlackRock’s GIP Wins Approval of $6 Billion Allete Deal*
BlackRock Inc.’s bet on owning and investing in power utilities took a major step forward after Minnesota regulators approved a more than $6 billion acquisition of Allete Inc. The Minnesota Public Utilities Commission on Friday voted unanimously to approve a deal from BlackRock’s Global Infrastructure Partners to take the Allete utility private with a few key conditions. Duluth, Minnesota-based Allete has said the deal provides crucial access to long-term capital and limits its exposure to volatile public markets.
“We are bringing real value to Minnesota power customers,” Minnesota Public Utilities Commission Chair Katie Sieben said shortly before the vote. GIP-managed funds and Canada Pension Plan Investment Board are leading the acquisition. Allete shares were up 0.7% to $67.20 at 1:16 p.m. in New York Friday. GIP declined to comment.
Allete said in a statement that the deal is expected to close late this year. The company said that the final agreement includes commitments such as reducing the return on equity from 9.78% to 9.65% post close, with a future limit on ROE of 9.78% through the end of 2030. The acquisition is part of the rush to make money off a massive surge in electricity demand driven by data centers, new manufacturing and overall electrification of everything from cars to heating. BlackRock, helped by its deal to buy GIP, has been ramping up its bets on utilities and energy firms that are profiting off that surge in demand.
____________________________
Politico – September 30, 2025
Red states probe tech companies’ renewable energy claims*
Sixteen Republican state attorneys general are launching an investigation into what they say are misleading claims by major tech companies that they are solely powered by renewables. In a letter last week to Microsoft, Meta, Google and Amazon, the states said the tech giants are using “environmental accounting gimmicks” to claim 100 percent reliance on renewables. The state attorneys general said such claims could threaten the electrical grid as utility companies seek to close coal and natural gas plants in bids to attract tech development.
“When big tech companies claim to use 100 percent renewable energy, they pressure utilities to move away from fossil-fuel-generated baseload power to attract or retain big tech data center development,” the letter said. Led by Austin Knudsen of Montana, the state attorneys general accused the four companies of engaging in a “shell game” by purchasing unbundled “renewable energy certificates” (RECs) and claiming the “renewable” attribute of energy that is used by someone else as their own energy use. RECs have allowed companies like Amazon to match their increasing demand for power with renewables.
____________________________
Inside Climate News – September 29, 2025
This hasn’t been a kind year for developers looking to break ground on renewable energy projects. On President Donald Trump’s first day in office, he issued a memorandum halting approvals, permits, leases and loans for both offshore and onshore wind projects.
The One Big Beautiful Bill Act, which passed in July with exclusively Republican support, accelerated the phaseout of tax credits promised under the Inflation Reduction Act for wind and solar projects. Subsequent guidance from the U.S. Treasury Department further constrained eligibility rules. And as bipartisan permitting reform takes center stage in Congress, critics have expressed doubt over whether a technology-neutral bill would still benefit renewable energy development under the current administration.
Regulatory
Albuquerque Journal – October 2, 2025
Department of Energy terminates $135 million in funding for New Mexico projects
The Department of Energy is terminating 10 energy project grants in New Mexico, cutting off about $135 million in federal funding and raising concerns the decision could have severe consequences for the state’s economy. The agency announced it terminated 321 awards for 223 projects in 16 states, a funding total of $7.56 billion, because they did not “adequately advance the nation’s energy needs, were not economically viable and would not provide a positive return on investment of taxpayer dollars.”
Energy Secretary Chris Wright said many financial awards were rushed through in the final months of the Biden administration with “inadequate documentation by any reasonable business standard.” The projects were already approved and funded by Congress. The 16 states where projects were cut all voted for Democrat Kamala Harris in the presidential election last year. Ten of those awards totaling $135 million were for New Mexico-based projects, according to a detailed list provided by Democratic Sens. Ben Ray Luján and Martin Heinrich of New Mexico.
____________________________
KTEN – September 25, 2025
California Legislature passes two watered-down bills to regulate data center water use, energy costs
California lawmakers started the year signaling they were ready to get tough on data centers, aiming to protect the environment and electricity ratepayers. Nine months later, they have little to show for it. Of four data center bills in play, two never made it out of the Legislature, including one that would have required data centers to publicize their power use and another that would have provided incentives for them to use more clean energy.
Two others are on Gov. Gavin Newsom’s desk, but in substantially reduced form. One mandates disclosure of water use by data center operators, although now in a way that may elude public access. Another originally aimed to protect energy customers from shouldering infrastructure costs driven by data centers but now merely lets regulators figure out if that is happening.