.The Texas Energy Report

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.The Texas Energy Report

Texas Leads the Charge: Alex Mills

By Alex Mills

Texas is leading the charge in making America more energy secure, according to new study released this month.

“The United States is now producing more oil and natural gas than any country in the world, and American oil and natural gas production volumes are at record highs,” the study published by Texans for Natural Gas said.

“The United States is poised to export more energy than it imports for the first time since the 1950s; during the past decade the U.S. energy trade deficit fell by $363 billion, while the non-energy trade deficit rose by $343 billion,” the study said.

Texas is the leading producer of oil and natural gas, accounting for 40 percent of U.S. oil production and 25 percent of the nation’s natural gas production.

The Permian Basin, the largest oil producing region, recently surpassed Saudi Arabia’s Ghawar as world’s top producing oilfield. The Eagle Ford Shale of South Texas is the second highest producing oilfield in the U.S.

The report also said Laredo surpassed Los Angeles as the nation’s top trade port in March, and the Houston-Galveston Port District became a net export of crude oil and petroleum production last year….
 

Texas Drilling Permits and Completions Statistics for June 2019

June 10, 2019

AUSTIN –– The Railroad Commission of Texas (Commission) issued a total of 1,001 original drilling permits in June 2019 compared 1,230 in June 2018. The June 2019 total included 905 permits to drill new oil or gas wells, 10 to re-enter plugged well bores and 86 for re-completions of existing well bores. The breakdown of well types for those permits is 240 oil, 69 gas, 613 oil or gas, 74 injection, zero service and five other permits.

In June 2019, Commission staff processed 632 oil, 182 gas, 61 injection and two other completions compared to 914 oil, 158 gas, 48 injection and four other completions in June 2018. Total well completions processed for 2019 year to date are 5,050; down from 5,574 recorded during the same time period in 2018. …
 

RRC Drilling Permits Through July 3rd

July 7, 2019

Permit applications approved by the Railroad Commission of Texas for June 27 through July 3 for Districts 7C, 8 and 8A.

The numbers in parentheses indicate the number of permits approved for that leasehold —

Advance Energy Partners, LLC, AEP 226-34 Unit, Ward, new drill.

Anadarko E&P Onshore, LLC, Silvertip 76-10 Unit H, Loving, new drill (4).

Apache Corporation, Mohican Unit, Reeves, new drill (2).

Aqua Terra Permian, LLC, Augustus SWD, Midland, new drill….
 

OPEC agrees to continue oil production quotas

July 5, 2019

By Alex Mills

World oil markets have flipped upside down with the main exporters of oil making concessions to the new kid on the bloc: independent producers of oil from shale in the United States.

Evidence of this dramatic turnaround appeared in December 2016 when the 14 members of the Organization of Petroleum Exporting Countries decided they must cut their production to offset an oversupply of oil on the international Brent market causing prices to decline from near $100 per barrel in 2014 to $40.

Saudi Arabia, the world’s largest exporter at the time, even went to Russia, which produced as much oil as the Saudis, and negotiated an agreement that Russia would participate in reducing its production, too.

The new arrangement was loosely called OPEC+.

Meanwhile, oil production in the U.S. surged from just 5 million barrels per day (b/d) in 2007 to 12 million b/d today. The additional production reduced the need for so much imported oil in the U.S., and it added to the surplus of oil on the international markets.

The reduction in production by OPEC+ – set at 800,000 b/d from OPEC members and 400,000 b/d from Russia and other non-OPEC countries – did ease the oversupply, and prices slowly increased….