Leslie Tipping

‘Tis the Season for Midstream Deals and Decisions in the Permian Jingle bells are ringing this week in the Land of Oil and Gas A-plenty where midstream operators are already unwrapping holiday gifts. Reese Energy Consulting today is following the latest from the Permian, starting with Midland, Texas-based rockstars Kinetik Midstream and E&P Permian Resources. Kinetik, which in short order has become the Delaware’s largest independent gatherer and processor, operates 4,600+ miles of natural gas and crude oil pipe, and six gas plants with another under construction and another one planned. The company in 3Q reported $83.7 million in net income—a 94% increase year over year—and fattened its stake in Diamondback Energy’s EPIC crude pipeline to 27.5%. Kinetik will now further expand its “super system” in a $180 million bolt-on deal for Permian Resources’ Delaware oil and gas midstream assets. Kinetik gains 60,000 gross acres dedicated by Permian Resources under long-term, fixed-fee agreements that include 150 MMCFD and an estimated 250 MBPD next year, 250 MMCFD of compression, and natural gas processing. For its part, Permian Resources is sticking to its guns to remain the Delaware’s lowest-cost operator. This, after announcing a third consecutive increase to its full-year production targets and 160.8 MBPD announced in 3Q. Rock on, rockstars. Energy Transfer meanwhile has gifted Permian producers with a FID on the formerly named Warrior natural gas pipeline project. Now known as the Hugh Brinson, the 400-mile pipeline will flow an initial 1.5 BCFD from the Waha Hub to its pipeline connection south of Fort Worth. Phase I completion is expected by year end 2026 to be followed by Phase II which will increase capacity to 2.2 BCFD. Jingle all the way. What do you think? Learn more about REC and our range of midstream services at https://lnkd.in/ewhkGFa. For more info about our online natural gas training courses, visit us at https://lnkd.in/ggd3UkJM.  

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‘Tis the Season for Midstream Deals and Decisions in the Permian Jingle bells are ringing this week in the Land of Oil and Gas A-plenty where midstream operators are already unwrapping holiday gifts. Reese Energy Consulting today is following the latest from the Permian, starting with Midland, Texas-based rockstars Kinetik Midstream and E&P Permian Resources. Kinetik, which in short order has become the Delaware’s largest independent gatherer and processor, operates 4,600+ miles of natural gas and crude oil pipe, and six gas plants with another under construction and another one planned. The company in 3Q reported $83.7 million in net income—a 94% increase year over year—and fattened its stake in Diamondback Energy’s EPIC crude pipeline to 27.5%. Kinetik will now further expand its “super system” in a $180 million bolt-on deal for Permian Resources’ Delaware oil and gas midstream assets. Kinetik gains 60,000 gross acres dedicated by Permian Resources under long-term, fixed-fee agreements that include 150 MMCFD and an estimated 250 MBPD next year, 250 MMCFD of compression, and natural gas processing. For its part, Permian Resources is sticking to its guns to remain the Delaware’s lowest-cost operator. This, after announcing a third consecutive increase to its full-year production targets and 160.8 MBPD announced in 3Q. Rock on, rockstars. Energy Transfer meanwhile has gifted Permian producers with a FID on the formerly named Warrior natural gas pipeline project. Now known as the Hugh Brinson, the 400-mile pipeline will flow an initial 1.5 BCFD from the Waha Hub to its pipeline connection south of Fort Worth. Phase I completion is expected by year end 2026 to be followed by Phase II which will increase capacity to 2.2 BCFD. Jingle all the way. What do you think? Learn more about REC and our range of midstream services at https://lnkd.in/ewhkGFa. For more info about our online natural gas training courses, visit us at https://lnkd.in/ggd3UkJM.  

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Diamondback Energy stands as a premier independent oil producer in the U.S., boasting prime Permian acreage across the #Midland, #Delaware, and #Central #Basin. Last year's production hit 263,000 bbl/d, with a projected 2024 full-year guidance of 275,000 bbl/d. February saw Diamondback's announcement of a $26 billion merger with Endeavor Energy Resources, LP, expanding their net #Permian acreage to 838,000 and potentially elevating combined production to 816,000 bbl/d. Don't miss this operator spotlight featuring Kaes Van't Hof, President and CFO of Diamondback Energy, where you'll gain insights on: • The Endeavor merger's strategic benefits from an insider's perspective. • Analysis of the merger's implications for Diamondback. • Diamondback's operational roadmap for 2024 and beyond. • Potential future M&A prospects. Register now to secure your spot! https://ow.ly/wjsF50R9uVa #SUPERDUG24

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Energy Transfer is yet again slaking its acquisition appetite by gobbling up another natural gas gatherer and processor to further expand its already formidable Permian footprint. The company announced May 28 that it has struck a $3.25 billion deal to buy WTG Midstream. In today’s blog, we’ll look at how the addition of WTG’s midstream holdings will enhance Energy Transfer’s asset lineup, including its ongoing NGL export and storage expansions. https://lnkd.in/gPjx6Pkf

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Non-OPEC+ oil production is set to rise by 1M bpd in 2024 and 1.6M bpd in 2025, potentially leading to a surplus of 700,000 bpd by 2025. Brent crude prices could dip to $80/barrel. #OilMarket #OPEC #Energy

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More Smokin’ Hot Deals to Be Had in the Lone Star State  Reese Energy Consulting today is following the latest buzz from the nation’s largest oil-producing state where the Texas horse trading continues among midstreamers and Eagle Ford producers. First up is Houston-based Phillips 66 (PSX), which operates a midstream powerhouse with 72,000 miles of crude oil, natural gas, and NGL pipelines, along with fractionation and gas processing—all of which serve its diverse business segment to include chemicals and refining. After a years’ long JV courtship, PSX last year acquired DCP Midstream for $3.8 billion to further beef up its NGL business following record fractionated volumes and growing export demand. The company will now add even more meat to its NGL bones in the Permian Midland with the pick-up of Pinnacle Midstream II LLC for $550 million. The deal includes the Dos Pico processing complex with 220 MMCFD of capacity, ample space for a second 220 MMCFD gas plant, and 80 miles of pipeline. In short order Houston-based WildFire Energy LLC has shrewdly executed its pure-play South Texas strategy to create the largest consolidated acreage position in the Eagle Ford. The company has now landed its fourth acquisition in three years, this time in a deal with Apache Corporation. The price was not disclosed but wraps up Apache’s non-core asset sale that fetched a total $750 million. Wildfire will gain 237,000 net acres, 11 MBOED, and interests in 465 wells. Pro forma, the company will operate 850,000 net acres, 50 MBOED, and more than 2,000 gross wells. What do you think? Learn more about REC and our crude oil, natural gas, and NGL consulting services at https://lnkd.in/ewhkGFa.

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Energy Transfer Announces Pipeline Project Connecting Permian Basin Production Supplies to Multiple Markets - Energy Transfer LP has announced a final investment decision for constructing a new intrastate natural gas pipeline connecting Permian Basin production to markets and trading hubs. - The pipeline, previously known as the Warrior Pipeline, is now renamed the Hugh Brinson Pipeline in honor of Hugh Brinson. - The pipeline aims to provide increased transportation capacity to meet the growing demand for natural gas. - Phase I of the project will include approximately 400 miles of 42-inch pipeline with a capacity of 1.5 billion cubic feet per day extending from Waha to Maypearl, Texas, expected to be operational by the end of 2026. - The construction will also include a 42-mile, 36-inch lateral known as the Midland Lateral to connect processing plants in Martin and Midland Counties. - Phase II plans to add compression to increase the pipeline's capacity to about 2.2 billion cubic feet per day, contingent on shipper demand. - The combined cost for Phases I and II is projected at approximately $2.7 billion, backed by long-term commitments from reputable counterparties. - The pipeline will connect shippers to Energy Transfer’s existing intrastate network and offer access to major hubs throughout Texas and beyond. - The project is expected to enhance Energy Transfer's position in supporting growth for power plants and data centers in Texas. - Energy Transfer LP operates one of the largest and most diversified energy asset portfolios in the U.S. with over 130,000 miles of pipeline. https://lnkd.in/gpfF6G32

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More Smokin’ Hot Deals to Be Had in the Lone Star State Reese Energy Consulting today is following the latest buzz from the nation’s largest oil-producing state where the Texas horse trading continues among midstreamers and Eagle Ford producers. First up is Houston-based Phillips 66 (PSX), which operates a midstream powerhouse with 72,000 miles of crude oil, natural gas, and NGL pipelines, along with fractionation and gas processing—all of which serve its diverse business segment to include chemicals and refining. After a years’ long JV courtship, PSX last year acquired DCP Midstream for $3.8 billion to further beef up its NGL business following record fractionated volumes and growing export demand. The company will now add even more meat to its NGL bones in the Permian Midland with the pick-up of Pinnacle Midstream for $550 million. The deal includes the Dos Pico processing complex with 220 MMCFD of capacity, ample space for a second 220 MMCFD gas plant, and 80 miles of pipeline. In short order Houston-based WildFire Energy LLC has shrewdly executed its pure-play South Texas strategy to create the largest consolidated acreage position in the Eagle Ford. The company has now landed its fourth acquisition in three years, this time in a deal with Apache Corporation. The price was not disclosed but wraps up Apache’s non-core asset sale that fetched a total $750 million. Wildfire will gain 237,000 net acres, 11 MBOED, and interests in 465 wells. Pro forma, the company will operate 850,000 net acres, 50 MBOED, and more than 2,000 gross wells. What do you think? Learn more about REC and our crude oil, natural gas, and NGL consulting services at https://lnkd.in/ebXT2mS. #energy #midstream #naturalgas #ngls #gasprocessing #reeseenergyconsulting

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The Uinta Basin is no Permian when it comes to drilling activity and production volumes, but the folks behind what may be the biggest M&A deal in Uinta history say the oil-production economics parts of the northeastern Utah play compare very favorably with the best of the Permian’s Delaware and Midland basins. In today’s blog, we discuss the plan by SM Energy and non-op specialist Northern Oil & Gas to acquire XCL Resources in a pair of deals valued at $2.55 billion. https://lnkd.in/gi5pSEJp

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With money being expensive, high ROI & IRR projects are in demand. Check out EAG's recent study on ReFracs in the Haynesville.

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Warren Martin, executive director, Kansas Strong: The KS Oil & Gas Resources Fund, reacts to the latest election results in regards to the energy industry. “I think the election will have major ramifications, maybe not on any other industry more than the oil and gas industry, because the oil and gas industry is the economic driver that drives inflation up or drives inflation down,” Martin said. “If you have access to cheap, reliable energy, inflation goes down. If you don't, inflation goes up. If you want to go back and look at how we got into this inflation mess in the beginning, go back and just look at the headlines of the stories that were leading up to where we are today.” Martin explains how Kansas is primarily an independent small operator oil and gas industry, and is concerned about the new methane regulations that would require and add heavy monitoring, regulation and tracking costs to their day to day. “Every single transmission line, every single tank battery everywhere,” Martin said. “There's a connection where oil or natural gas are connected from one place to another, there would have to be monitoring equipment that would be engaged in that proximity to be able to identify how much methane is being emitted from those sites we have study after study, showing that marginal wells have nominal to no methane emissions.” https://lnkd.in/graKGecM

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Another day, another M&A announcement -- what does it mean for ComboCurve users? "As majors continue the consolidation trend and double down on their core acreage, they'll continue to shed anything they deem as "non-core," presenting unique opportunities for smaller players. We will continue to see these smaller players shine as they move more quickly on growing their acreage positions. And as for ComboCurve users, they have the tools they will require when the need to be competitive and stay agile is at an all-time high as M&A is not slowing down," says VP of Customer Experience Allyson Kidwell, PMP, CSM. How are you seeing the effects of M&A's? Weigh in in the comments! https://lnkd.in/gWFD9c9U

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Great things happen when industry experts come together to collaborate. That was the case last week at the Society of Petroleum Engineers International Permian Basin Energy Conference. The session was moderated by B3's Brian Maxson and Hannah Chittenden of Diamondback Energy. Panelists included Jeffrey Thompson from Oxy USA, Cody Comiskey from Chevron, Annan Pascoe, PE from Deep Blue, Katie Smye from the Bureau of Economic Geology at the The University of Texas at Austin, Ted Wooten from the Railroad Commission of Texas. “Researchers have observed increases in pore pressures, by up to 1,000 psi in shallow injection strata in the Delaware Basin”, said Katie Smye. “We need more data,” said Cody Comiskey, an earth science advisor within Chevron's Mid-Con business unit’s applied reservoir management team. Policy and regulatory changes and operational changes will also be needed to address seismicity issues. “We need to think of the scale of the solution. It’s an all-of-the-above approach. Some options will be better than others, but we need to look at all options,” Comiskey said. “I do believe we can solve the seismicity issue with collaboration,” stated Jeffrey Thompson. Read the full article by Mella McEwen, Oil Editor at MRT (Midland Reporter-Telegram) to learn about the ideas and solutions discussed on the panel. https://lnkd.in/gtBCk4kb #b3insight #oilandgas #permianbasin #watermangement #producedwater #sustainability #seismicity #basinpressure

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Energy advocacy and education are vital for sound, long-term energy policy that supports both current and future growth. With surging demands from AI and data centers, every energy employee has an essential role in sharing our industry's story.   "Bad energy policy in Texas and the United States is what keeps me up at night. Over the last several years, we have come to appreciate the need for energy advocacy and the role all energy employees can play in this space." - Mike Howard   Read more insights from our Chairman & CEO and other private midstream executives on industry growth, opportunities and challenges ahead in Hart Energy's latest Midstream Business feature. #energyadvocacy #midstream #energyindustry

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Weekend trivia: who is Hugh Brinson? Energy Transfer has FIDed the Warrior... Midland Expesss... now called Hugh Brinson pipeline to provide additional gas takeaway capacity for the fast growing Permian Basin. However, unlike Blackcomb or enhanced compression on GCX, Hugh Brinson will deliver Permian gas to the Dallas Forth Worth area and then utilize Energy Transfer's existing infrastructure to deliver further to East Texas and beyond. BTW, Dallas Forth Worth is a leading data center growth region for Texas. Where do we go from here? Ask Woodmac's natural gas market experts (www.woodmac.com).

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