• 2 minutes U.S. Presidential Elections Status - Electoral Votes
  • 5 minutes “Cushing Oil Inventories Are Soaring Again” By Tsvetana Paraskova
  • 7 minutes United States LNG Exports Reach Third Place
  • 21 mins The Debate Starts : Remake Republican Party vs. Third Party
  • 2 hours Joe Biden's Presidency
  • 13 mins An exciting development in EV Aviation: Volocopter
  • 4 mins The World Economic Forum & Davos - Setting the agenda on fossil fuels, global regulations, etc.
  • 1 day Did I Miss Something?
  • 42 mins Biden's National Security Director vows to release report on Kadhoggi murder. Is it time to add to Brent futures long position ?
  • 3 hours https://www.prageru.com/video/whats-wrong-with-wind-and-solar/
  • 24 hours JACK MA versus Xi Jinping
  • 37 mins Investments worthy in versatile and clean natural gas
  • 2 days A Message from President Donald J. Trump - 5 minutes from The White House directly
The Biden Boom Is Coming And These Stocks Could Soar

The Biden Boom Is Coming And These Stocks Could Soar

With the Biden Administration likely…

Investors Growing More Bullish On Oil

Investors Growing More Bullish On Oil

Investors are becoming increasingly bullish…

Editorial Dept

Editorial Dept

More Info

Premium Content

A Problem In The Permian

1. Permian getting gassier

- As drilling slows down, Permian wells are becoming gassier. “The oil ratio is no longer sufficient to offset gas in older wells, so we’re seeing some increase in basin-wide” gas-to-oil ratios,” said Artem Abramov, head of shale research at Rystad Energy.

- In the Permian, the average well produces 2,000 cubic feet of gas for every barrel of oil. Gas is much less lucrative than oil. Later on in the lifetime of that well, the gas-to-oil ratio can climb to 5,000 cubic feet.

- The ratio grows worse when wells are drilled too close together. But the ratio is also higher in the Delaware sub-basin of the Permian, where recent drilling has been concentrated.

- The higher-than-expected gas-to-oil ratio has undercut the finances of some drillers, while also contributing to the region’s worsening flaring problem.

2. Shale equity sales plunge

- The amount of equity issued in 2019 from the shale industry fell to its lowest level in 13 years.

- “It seems to be fairly unloved as a sector,” Andy Brogan, Global Oil & Gas Sector Leader for Ernst & Young LLP, told Bloomberg.

- The value of shares issued in 2019 fell to $1.3 billion, the lowest level since 2006. In 2016, the industry issued $34 billion in shares.

- Debt issuance was flat at $44.5 billion in 2019, still at elevated levels compared to earlier this decade.

- There is little sign…





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News