
U.S. drops 20 rigs from last week to the current week’s total of 390.
Over the past two weeks, major shale players have announced budget reductions of millions of dollars.
North American oil and gas producers have cut their 2020 spending by nearly 34%, or about $41.6 billion, from their original estimates, according to data compiled by Reuters.
Well starts across the major U.S. shale plays have been the most dramatically affected. According to Enverus, Bakken well starts began falling in February and dropped 12% sequentially in March. Back-to-back sequential declines also occurred in March in the Permian (5%) and Eagle Ford (10%).
Numbers from Oklahoma’s SCOOP/STACK were more peculiar. The Niobrara has managed 1% increases in the last two months, while the SCOOP/STACK fell by 33% in February compared to January, but rose 17% in March.
Over the past 3-4 weeks, Louisiana (Haynesville), Pennsylvania (Marcellus), Ohio (Marcellus and Utica) have had the least significant declines in rig count.
April data is incomplete but currently showing greater-than-50% drops in well starts in all of these plays. According to Enverus Rig Analytics, the U.S. rig count is down by 38% in the last month and 62% in the last year.
Hess, EOG Resources, Oxy USA, Marathon, Devon and Cimarex are among the many that have announced cuts or reductions to their programs.
Weekly
Trends
Recommended Reading
Continental Resources Signs JV to Explore Shale Oil, Gas in Turkey
2025-03-12 - Early evaluations from the joint venture between Continental Resources, Türkiye Petroleum and TransAtlantic Petroleum suggest ultimate recoverable reserves could reach 6 Bbbl of oil and 32 Tcf to 65 Tcf of gas.
VAALCO Acquires 70% Interest in Offshore Côte D’Ivoire Block
2025-03-03 - Vaalco Energy announced a farm-in of CI-705 Block offshore West Africa, which it will operate under the terms of an acquisition agreement.
TotalEnergies Enters 10-Year LNG Supply Deal with Indian E&P
2025-02-12 - Commencing in 2026, TotalEnergies will supply Gujarat State Petroleum Corp. with 400,000 tons of LNG, amounting to six cargoes per year, to terminals on India's west coast.
Apollo Funds Acquires NatGas Treatment Provider Bold Production Services
2025-02-12 - Funds managed by Apollo Global Management Inc. have acquired a majority interest in Bold Production Services LLC, a provider of natural gas treatment solutions.
Encino's Owner Mulls $7B Sale, IPO of Utica E&P, Sources Say
2025-02-04 - CPP Investments is considering a sale or IPO of Encino Acquisition Partners following January’s IPO of fellow Utica Shale E&P Infinity Natural Resources.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.