Oil

The 14-nation Organization of the Petroleum Exporting Countries (OPEC), which produces more than one-third of global crude oil output, reached a tentative agreement Wednesday to reduce output for the first time in eight years — to 32.5 million b/d from an August level of 33.24 million b/d.

Oil and natural gas executives told the Federal Reserve Bank (Fed) of Dallas that business activity increased during the third quarter, but there remains “persistent weakness” in employment and production, the latest energy survey indicated.

Stung by continuing oversupply wrought by the U.S. unconventional revolution, the 14-nation Organization of the Petroleum Exporting Countries (OPEC) reached a tentative agreement Wednesday to reduce output for the first time in eight years — to 32.5 million b/d from an August level of 33.24 million b/d.

U.S. production for both oil and natural gas wells is forecast to increase from September to October in only one of the seven key onshore regions — the Permian Basin — the U.S. Energy Information Administration (EIA) said Monday.

While not bullish on prices or a fast production recovery, Occidental Petroleum Corp. (Oxy) CEO Vicki Hollub said Wednesday the company expects to add two rigs in its extensive Permian Basin operations in the fourth quarter and possibly increase to as many as 15 rigs next year.

The U.S. Bureau of Land Management (BLM) in Colorado on Tuesday released the final supplemental environmental impact statement (SEIS) and proposed plan for the long-controversial Roan Plateau in Western Colorado that is highly coveted by producers and naturalists alike.

The collapse in crude oil prices has decimated net oil export revenues for the Organization of the Petroleum Exporting Countries (OPEC) over the last three years, and the decline is expected to continue into 2016, according to the U.S. Energy Information Administration (EIA).

The global oil and natural gas industry is beginning its long-awaited recovery, but crude oil prices likely will remain in the “$50 orbit” during the third quarter, energy expert Daniel Yergin said Monday.

World natural gas production grew last year but across every region — led by North America — prices slumped, with Henry Hub at its lowest level since 1999, as the continued surge in output swamped anemic demand, BP plc said Wednesday.