1. When the Going Gets Tough, the Financing Gets Creative 

    It is no secret that the energy industry has gone through massive fundamental changes over the past decade. Some of the consequences of these changes are yet to be realized. With the advent and rapid adoption of shale drilling, massive amounts of debt were raised to put the technology to work in pla…Read More

  2. The Other Side of the Coin – High Grading Acreage and Well Productivity

    This summer, a popular theme in the industry, when speaking about macroeconomic trends, is the question of well productivity declining. The basic theory is in two parts. The first comes from the last commodity price collapse of 2014, when producers decided to drill only their most productive acreage…Read More

  3. The Impact of a Potential Industry Slowdown

    We have spoken before about institutional money (Wall Street) pulling back from investing and making loans in the oil and gas space. This is due to a need for producers and ancillary companies to operate with positive profit margins. Before the finance pullback, you did not necessarily need to be pr…Read More

  4. Traditional Bank Finance Becoming Unattractive and Unavailable for E&P

    Independent producers and mineral aggregators have always been in the market for unique finance solutions. Recently, however, traditional banking alternatives have become less attractive. In March, law firm Haynes and Boone LLC released their Spring 2019 Energy Roundup. In it, they discuss the shift…Read More

  5. Oil Prices Are on the Move – Discussing Supply, Demand, Iran and OPEC

    United States oil prices are rallying thanks to an unexpectedly large draw (12mm barrel draw versus a 2mm barrel forecast) in oil inventories this week. Not to be forgotten, Iran and the Middle East weigh heavily on the mind of global crude traders as well. Touching $59.93 today, the U.S. benchmark…Read More

  6. Bottlenecks on the Horizon

    I am writing this from the Florida Keys right now waiting for the wind to die down so I can go fishing offshore. Generally, when that happens, the only thing that brings solace is a cold bottleneck. Unfortunately, the bottlenecks that we will be focusing on today can bring a lot of pain to oil and g…Read More

  7. West Texas Gas Prices Under Pressure

    I am not an optimist, but hopefully one day I will be. With West Texas gas prices still under pressure, the timing of new natural gas pipelines from the Permian remains critical. This increased take away gives the optimist hope. However, questions remain if this will be enough to offset the increase…Read More

  8. What Does ARC Offer and How Do These Products Fit Your Needs?

    Advance Royalty Payment (ARP) and Volumetric Production Payment (VPP) These products give a royalty owner (ARP) or a working interest owner (VPP) a payment upfront for a specific amount of production that will be produced in the future. These products have been designed for those who need a large am…Read More

  9. Mild Weather Working Its Magic on U.S. Natural Gas Prices and Storage Inventories

    Jose the Magician was doing his act when he tells the audience, “I will disappear on the count of three!”  “Uno!”  “Dos!”  …and he disappeared…without a “Tres." This reminds us of current spring weather natural gas demands — it has disappeared without a trace. Energy trading …Read More

  10. Major Factors of Onshore Production

    Q. Why did the man fall into the well? A.  He didn’t see that well. Makes us laugh every time. On the theme of wells, as you have read in our recent posts, oil producers continue to drill, baby, drill. That brings online the usually valuable, but sometimes nuisance issue of natural gas and how to…Read More