Some costs falling, but don’t expect a 2023 response from E&Ps
Over the last few quarters, executives at U.S. upstream operators have grown accustomed to analysts asking about cost inflation. It’s an inevitable part of every conference call. During the late July to mid-August earnings season for Q2, the question shifted to possible deflation, with companies across America’s shale patch making small note of an improved […]
Could a new form of concrete be a key to the energy transition?
Researchers at the Massachusetts Institute of Technology (MIT) have developed a new material using ubiquitous materials – cement and carbon black – that could form the basis for a novel energy storage system, the university reported. The researchers published their findings July 31 in the peer-reviewed journal Proceedings of the National Academy of Sciences. The […]
Navigating energy transition investments: A guide for private equity companies
The global energy landscape is undergoing a significant transformation, driven by the imperative to mitigate climate change and transition to a more sustainable future. As the world shifts towards cleaner and renewable energy sources, private equity companies are presented with a unique opportunity to invest in the energy transition. However, evaluating the success of such […]
Valaris to finally buy long-waiting drillships amid 90%+ utilization
Valaris Ltd. will issue $350 million in 8.375% senior secured second-lien notes due 2030 as it prepares to buy two newbuild drillships currently in South Korean shipyards, more than 10 years, two mergers and one bankruptcy after the rigs were originally ordered. The offshore driller will exercise its option to buy both rigs with a […]
Transocean’s $518MM contract off Mexico reflects revived market
Transocean Ltd. secured a 1,080-day contract for a high-specification seventh-generation ultra-deepwater drillship in the Mexican sector of the Gulf of Mexico (GOM) at one of the highest day rates the company has commanded in years. The contract will contribute $518 million in backlog, excluding revenue for mobilization and demobilization, meaning the drillship will collect roughly […]
After Patterson-UTI dove in, will others enter the M&A pool?
As others look to specialize, Patterson-UTI Energy Inc. has seized the opportunity to become a diversified U.S. onshore oilfield services company. Patterson-UTI agreed in July to acquire drill bit designer and manufacturer Ulterra Drilling Technologies LP, just weeks after the announcement that it would merge with fracker NexTier Oilfield Solutions Inc. These moves could be […]
IRA incentives expected to put green hydrogen in the black
Generous incentives are set to give a jolt to the green hydrogen sector, though it could be a limited-time offer. The 2022 U.S. Inflation Reduction Act’s 45V PTC, a clean hydrogen production tax credit, meaningfully bolsters economics and drives positive returns for green hydrogen generation projects, Enverus Intelligence® | Research (EIR) concludes in its latest hydrogen report. […]
Refracs & recompletions drive jump in Barnett activity
During 2022, the number of horizontal wells completed and brought online in the Barnett Shale rose to its highest point since 2014. Operators in the North Texas play reported 360 completions brought online during the year to state regulators, up from 314 in 2021, according to Enverus Foundations. The O.G. of the shale patch, the […]
Hurricanes can bring catastrophe to Gulf of Mexico, but hiccup more likely
About Enverus Intelligence PublicationsEnverus Intelligence Publications presents the news as it happens with impactful, concise articles, cutting through the clutter to deliver timely perspectives and insights on various topics from writers who provide deep context to the energy sector. The summer heat has arrived early for much of the Southern U.S., bringing with it the […]
The great 2023 Haynesville rig release is upon us
Sub-$3.00/MMBtu Henry Hub prices are not good for the returns of Haynesville operators, especially in an inflationary environment. Rig levels in the Ark-La-Tex region at the start of the year seemed unsustainable, but remained stubbornly high in Q1, according to Enverus Foundations data. The rig count in the region peaked at 96 in January and […]