Tag: financial markets

Global proved oil/gas reserves decline for 2nd straight year

Global proved oil/gas reserves decline for 2nd straight year

So far in 2017, capital expenditures remain lower than same period in 2016 Annual reports of 68 publicly traded oil companies indicated that their aggregate proved liquids reserves declined in 2016 for the second consecutive year, according to the U.S. Energy Information Administration. The decline in proved reserves was heavily concentrated in a few companies […]

US oil producers boosted investment in Q4 2016

US oil producers boosted investment in Q4 2016

Financial hedging for producers reduces effect of a fall in revenue if prices decline Capital expenditure for 44 US onshore-focused oil production companies increased $4.9 billion (72%) between Q4 2016 and Q4 2015 based on their public quarterly financial statements, according to the US Energy Information Administration. This increase in investment spending was the largest year-over-year increase […]

U.S. oil drilling increasingly focused in Permian Basin

U.S. oil drilling increasingly focused in Permian Basin

EIA’s most recent forecasts show production will increase in Permian, 2Q of 2017 US drilling activity is increasingly concentrated in the Permian Basin, which spans parts of western Texas and southeastern New Mexico, according to the US Energy Information Administration. The Permian now holds nearly as many active oil rigs as the rest of the United […]

By November 15, 2016 0 Comments Read More →
Short positions in US crude oil futures held nine-year high

Short positions in US crude oil futures held nine-year high

Increased short positions may indicate current futures prices to generate positive returns from US drilling projects Short positions in West Texas Intermediate crude oil futures contracts held by producers or merchants totaled more than 540,000 contracts as of Oct. 11, 2016, the most since 2007, according to data from the US Commodity Futures Trading Commission. […]

By October 24, 2016 0 Comments Read More →
American refiners losing profit edge over international competitors

American refiners losing profit edge over international competitors

US crude oil production declines, beginning  on a year-over-year basis in Dec. 2015, contributed to tighter crude oil market in North America Earnings per barrel of crude oil and other inputs processed by refiners that operate mainly in North America were lower in the second quarter of 2016, according to the US Energy Information Administration. […]

By September 9, 2016 0 Comments Read More →
US oil companies closer to balancing capital investment with operating cash flow

US oil companies closer to balancing capital investment with operating cash flow

Oil companies included in analysis are 39 public US producers operating only onshore fields Although the crude oil price decline since 2014 has led to significant reductions in operating cash flow for US oil companies, their immediate financial situations are improving.  As oil companies’ spending falls and crude oil prices increase, the need for oil […]