Topic: Delaware Basin

Ask-the-Analyst August 2019

Thursday 8/29Ask-the-Analyst: Todd Bush, Boyd Skelton, and Luke Smith. Which state uses the most #proppant? How much? Find out in the comments below tomorrow! #OilandGas #Energy #shaleTexas is the largest consumer of proppant. In Q4 2018 it accounted for a little more than half of all proppant consumption in the onshore US.Within Texas, the Permian basin region is the largest consumer, followed by the Eagle Ford.Friday 8/23Ask-the-Analyst: Todd Bush, Boyd Skelton, and James Jang, M.Sc.. What's the current status...

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Ask-the-Analyst June 2019

Thursday 6/27Ask-the-Analyst: Todd Bush, Boyd Skelton, and Tyler Webb. What is Westwood's forecasted HHP demand for the remainder of 2019? Find out in the comment section below! #OilandGas #Energy #shale #hhpWestwood is forecasting HHP demand to increase 5% from Q2'19-Q4'19 across the seven key Lower 48 basins, ending the year at roughly 15.7 million HHP.Tuesday 6/25Ask-the-Analyst: Todd Bush, Boyd Skelton, and Jonathon Clark. Up to date with #MidCon mine construction? Will these plans move forward in 2019?...

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West Texas inSANDity Continues in the Permian

Last week in Houston at the Frac Sand Supply & Logistics Conference, all signs pointed towards more sand per lateral foot, more mines in the Permian, and more trucks to deliver frac sand to the wellsite. Frac sand demand in the Delaware and Midland Basins is expected to increase. E&Ps have increased the proppant per lateral foot by 31% in the last year, with public E&Ps citing the transportation and logistics constraint as a concern, not frac sand supply. Regional replacement? Based on...

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Permian Sand Mines Add 35 Million Tons of Frac Sand By Summer 2018

During the first half of 2017, there were over 15 mines permitted or approved by Texas regulators. The sand rush of 2017 turned investor eyes towards the frac sand business.  Private capital supports many of the new companies entering the West Texas sand market. The Summer of Sand Frac sand companies aggressively leased and acquired positions in the heart of the Permian Basin in (and around) Winkler County Texas.The large public companies, like US Silica, Hi-Crush, and Fairmount Santrol announced mines coming online...

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Anadarko Divests in 2016 to Accelerate Activity in the Delaware and DJ Basins

On January 31, 2017, Anadarko Petroleum Corporation (NYSE: APC) announced its Q4 earnings as well as its full-year results for 2016. In 2016 Anadarko improved cost structure and advanced efficiency initiatives, resulting in a 50% reduction in capital investments relative to 2015.Specific highlights of 2016 cited in the announcement included the following: Value-Accretive Monetizations In Q4 Anadarko signed agreements to divest assets in the Marcellus Shale ($1.24 billion) and the Eagle Ford Shale ($2.3 billion). Both transactions are expected to close by the...

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Halcón Enters Southern Delaware Basin, Plans to Expand in Bakken

Halcón Resources Corporation (NYSE:HK) has announced agreements that will mark the company’s entry into the Southern Delaware Basin and released preliminary details on its planned activity for 2017, including expanded activity in the Williston Basin. New Deals Mark Halcón’s Entry Into Delaware Basin The company announced its entry into the Southern Delaware Basin through two key agreements:A purchase and sale agreement with a private operator to acquire 20,748 net acres in the Southern Delaware Basin (the "Pecos County Assets") for $705...

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Devon Energy Will Utilize 15 to 20 rigs in 2017 with STACK and Delaware Focus

Devon Energy (NYSE: DVN) released its preliminary 2017 outlook in December expressed the possibility of getting to 15 to 20 rigs in their drilling program with a focus in the STACK and Delaware basins. Devon will also focus on reducing their drilled but uncompleted count in the Eagle Ford down to about 40 in the first half of the year. The company is forecasting double digit U.S. oil growth with about a third of production hedged in 2017.Source: Devon Energy...

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Proppant Insights: The Battle for Frac Sand Market Share

The last quarter brought about activity across frac sand suppliers as providers continued moving towards the Permian Basin. For the last three quarters, Permian leads proppant demand. Due to the reporting lag in completions, expect the Q2 numbers to increase by another 10-20%.Since 2015 Q4, E&P companies in the Permian have consumed approximately 11 billion pounds of frac sand. Recent well reports show 1,200 - 1,500 pounds of proppant per lateral foot in the Delaware. A few E&P's are pumping nearly...

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