Growth in hydrocarbon production continues to impress the markets despite producer capital discipline. While U.S. producers have maintained strict capital control, production is still increasing at an extraordinary pace. For instance, Permian natural gas production has surged by ~3.5 Bcf/d from January 2023 through Q2 2024, with forecasts suggesting an… Read more »
Posts Categorized: Articles
Eagle Ford Revival – Moving out of Permian’s Shadow
It is easy to forget about Eagle Ford shale play when you have Permian hydrocarbon production growing at astounding rate supported by continued capital inflow and robust M&A activity. While U.S. majors are pouring billions of dollars into the Permian Basin, international energy companies are all-in on the Eagle Ford… Read more »
Is Double H conversion to NGLs a game changer for Bakken?
An in-depth analysis of Bakken NGL infrastructure reveals a complex landscape of growth, take-away limitations, and rapidly evolving competitive landscape. While crude oil production currently stands at approximately 1.3 million barrels per day (BPD)—still below pre-COVID peaks—natural gas output with high natural gas liquids NGLs content has surged to nearly… Read more »
Diluent Recovery Units are Enhancing Canadian Crude-by-Rail Economics
As discussed in our previous article, Crude-by-Rail in Western Canada is currently undergoing a significant transition following the completion of the Transmountain Pipeline Expansion (“TMX”), earlier this year, which temporarily eased pipeline constraints for crude producers. However, this relief is projected to be short-lived, as supply is expected to surpass… Read more »
Benchmarking NGL Egress From Permian
U.S. hydrocarbon production continues its impressive growth trajectory despite stringent capital discipline exercised by oil and gas producers in recent years. The Permian shale play stands out as a major contributor to this expansion, defying expectations and consistently boosting hydrocarbon output. Notably, even as natural gas prices in the region… Read more »
Relevance of Crude-by-Rail in Western Canada Post-TMX
The Western Canadian oil sands industry is undergoing a significant transformation. Favorable economics, improved producer netbacks and improved market access are all conducive for an upswing in crude oil production from Western Canada driven primarily by growing production from oil sands in Alberta. Historically, constrained crude take-away pipeline capacity has… Read more »