What’s going on in West Texas? The M&A market is heating up while our team is in Calgary covering the 24th World Petroleum Congress with Hart Energy LIVE, and this is your A&D Minute powered by BOK Financial Securities.
Vital Energy is spending over $1.1 billion to extend its drilling runway in the Permian Basin, agreeing to acquire three private E&Ps with assets in the Midland and Delaware basins, and bulking up on drilling inventory that analysts say was sorely needed.
Kimbell Royalty Partners is also growing in the Permian, adding royalty interests in the Delaware and Midland basins as well as in the Midcontinent in a $455 million cash deal. The acreage offers exposure to major operators like EOG, Occidental, ConocoPhillips and Pioneer Natural Resources.
And here in Canada, Murphy Oil closed on sales of non-operated assets in the Kaybob Duvernay and Montney plays, and plans to take proceeds from the Canadian sales and put the money to work on new developments in Vietnam and the Ivory Coast.
That’s your A&D Minute powered by BOK Financial Securities with Hart Energy LIVE at the 24th World Petroleum Congress. Watch new episodes every Wednesday with our A&D Watch newsletter. Sign up at hartenergy.com/deals.
Recommended Reading
Enverus: Permian Gains Will Sustain US Oil Production Through 2030
2024-05-09 - Crude output gains from the Permian Basin will keep U.S. oil production relatively flat entering the 2030s, offsetting declines from mature oily basins, according to Enverus Intelligence Research.
Gulfport Plans Liquids-rich Program After ‘Strong’ Ohio Oil Tests
2024-05-01 - Appalachia gas producer Gulfport Energy continues to report “strong oil production” from a two-well Hendershot pad drilled in eastern Ohio last year. Gulfport plans to develop additional liquids-rich opportunities this year as natural gas prices hover near record lows.
Decoding the Delaware: How E&Ps Are Unlocking the Future
2024-05-01 - The basin is deeper, gassier, more geologically complex and more remote than the Midland Basin to the east. But the Delaware is too sweet of a prize to pass up for many of the nation’s top oil and gas producers.
Chevron CEO: Permian, D-J Basin Production Fuels US Output Growth
2024-04-29 - Chevron continues to prioritize Permian Basin investment for new production and is seeing D-J Basin growth after closing its $6.3 billion acquisition of PDC Energy last year, CEO Mike Wirth said.