Shell’s Permian business includes ownership in approximately 225 000 net acres with current production of around 175 000 boe/d.
Most US shale producers are being conservative in their production and capital guidance, as priorities remain around protecting balance sheets and generating free cash flow, according to GlobalData.
According to GlobalData’s latest report, ‘Bakken Shale in the US, 2021 – Oil and Gas Shale Market Analysis and Outlook to 2025’, Bakken Shale accounted for a mere 11% of oil and 2.8% of natural gas production in the US Lower 48 for 2020, which is a drop from 12% for crude oil and 3% for natural gas in 2019.
The two companies have agreed to develop 20 oil wells in the Bajada del Palo Oeste block, located in the Vaca Muerta shale play in Argentina.
The new facility is part of the company’s planned expansion into the northeast (Marcellus and Utica) market.
Applied Petroleum Technology has ramped up its presence in Houston to support US operators involved with shale oil as well as companies engaged in offshore E&P in the Gulf of Mexico.
The acquisition will add 1 billion ft3/d equivalent of gas production to EQT Corp's current net production.
The transaction includes the transfer of approximately 450 000 net acres in the Fox Creek (Kaybob) and Rocky Mountain House (Willesden Green) areas, along with related infrastructure, currently producing around 30 000 boe/d from more than 270 wells.
Unless an effective COVID-19 vaccine is made available, the uncertainty in global energy demand will continue to weigh down oil prices, and delay shale industry recovery.
Rystad Energy is forecasting peak oil demand to arrive earlier and at a lower level than previously thought, leading to reduced E&P investments.