The recent dramatic decline in oil prices was precipitated by an unprecedented drop in demand due to the COVID-19 pandemic played out against a backdrop of an already slightly oversupplied oil market. Oil prices have...more
Over the last couple of weeks oil prices have improved significantly from the historic lows of April and WTI futures prices are approximately $40/bbl for the rest of 2020. For the now, the supply/demand balance is improving -...more
Find how the coronavirus (covid-19) pandemic will likely spell out a new era
for the oil and gas industry.
...more
Find out why the recent collapse in oil prices will likely accelerate the number of "orphaned" wells needing to be plugged by the Texas Railroad Commission (TRCC)....more
In the wake of an unprecedented sell-off in the crude oil market, the only response to balancing global markets is to reduce supply.
How many times can you say "unprecedented?" The COVID-19 pandemic has resulted in a...more
Find out why the outlook for natural gas supply alongside electricity demand could support prices amid the COVID-19 pandemic.
...more
The collapse in global economic activity due to the coronavirus (COVID-19) pandemic has led to an unprecedented reduction in crude oil demand. With additional excess supply caused by the OPEC/Russia production quota battle...more
The coronavirus (COVID-19) pandemic is creating a great deal of uncertainty, disrupting daily life, impacting public health and causing short- and long-term economic repercussions. This is no different for the energy...more
Have the underlying metrics behind preparing reserve reports proved to be overly optimistic for oil and gas companies seeking capital by way of reserve-based lending (RBL)? By Steve Hendrickson Reserve-based lending (RBL) has...more
Find out why the global oil price war, triggered by Saudi Arabia and Russia's refusal to curb production to stabilize prices during the coronavirus (COVID-19) outbreak, reinforces the need for structural change....more
3/13/2020
/ Coronavirus/COVID-19 ,
Energy Market ,
Energy Sector ,
Exploration and Production Assets ,
Global Economy ,
Global Market ,
Oil & Gas ,
Oil Prices ,
Russia ,
Saudi Arabia ,
Strategic Planning
Let's be frank. The institution of a fracking ban would simply be bad policy for the U.S. oil and gas industry. In quantifying this position, I want to highlight a paper that was published in January by Michael Lynch of the...more
Find out why low natural gas prices are likely to persist through 2020.
We are through what is typically the coldest part of winter, yet find ourselves with Henry Hub natural gas prices below $1.90/MMBtu. What's going...more
Nearly two decades ago, the SARS epidemic began in China and spread to at least 20 other countries. Although it killed almost 800 globally, the economic impacts were felt mostly in China. This time, although the expanding...more
Last week, I moderated a panel ("M&A Outlook: Consolidations, Acquisitions and Divestitures") at the IPAA Private Capital Conference at the JW Marriott in Houston, TX. The attendance was quite good and a number of additional...more
1/30/2020
/ Asset-Backed Securities ,
Capital Investments ,
Corporate Governance ,
Corporate Restructuring ,
Environmental Social & Governance (ESG) ,
Exports ,
Foreign Exchanges ,
Hydrocarbons ,
Industry Consolidation ,
Investors ,
Oil & Gas ,
Private Equity ,
Trade Conference
What are the top upstream oil and gas trends to look out for in 2020?
Although recent events in the Middle East are still volatile, it seems the oil price rally is over for now. Prices are more or less back to where they...more
Unconventional reservoirs present challenging problems for reservoir engineers tasked with predicting the future performance of undrilled and recently completed wells. In conventional reservoirs, there are many analytical...more
A key factor in the economic development of unconventional resources is determining optimal well spacing. As development of unconventional play progresses, wells naturally become spaced closer together. Operators are...more
Steve Hendrickson, President of Ralph E. Davis Associates, was recently featured in a radio broadcast on Marfa Public Radio offering commentary on Apache Corp.'s announcement that it intends to put a hold on natural gas...more