Permian Basin

A study linking seismic activity with oil/natural gas drilling activities got the attention of the newest commissioner on the Railroad Commission of Texas (RRC) on Thursday, and then his two colleagues jumped on the injection well-seismicity bandwagon Friday.

Record first quarter production was not enough to offset the steep decline in natural gas prices for EQT Corp., which saw its year-over-year earnings decline 10% and its costs increase with property impairment charges and rig termination fees.

Record first quarter production was not enough to offset the steep decline in natural gas prices for EQT Corp., which saw its year-over-year earnings decline 10% and its costs increase with property impairment charges and rig termination fees.

At midday Friday, after three hours of debate, Texas state Rep. Drew Darby (R-San Angelo) had fought back 10 amendments to his House Bill 40, which is intended to prevent municipalities from enacting ordinances that interfere with oil/gas drilling. HB 40 was passed to engrossment on a vote of 122-18 and faces one more vote in the House before passing to the state Senate.

At midday Friday, after three hours of debate, Texas state Rep. Drew Darby (R-San Angelo) had fought back 10 amendments to his House Bill 40, which is intended to prevent municipalities from enacting ordinances that interfere with oil/gas drilling. HB 40 was passed to engrossment on a vote of 122-18 and faces one more vote in the House before passing to the state Senate.

After opponents of legislation to limit how much Texas municipalities may regulate oil/natural gas drilling activities had been rallying for hours at the state capitol, the bill’s author pulled it from the House floor Tuesday because of discrepancies in a committee report on the legislation and for further consideration of amendments.

Oil and natural gas production from the nation’s seven most prolific shale and tight oil plays, which has been on the march for months, is expected to decline in May, according to the Energy Information Administration (EIA).

Some of the biggest U.S. operators have plans to defer 800-plus onshore wells, which account for close to 400,000 b/d of oil and 528 MMcf/d of natural gas production, but as oil prices slowly have inched up, there’s a real possibility even more production could ramp up this summer, according to Genscape Inc.

“Lower for longer” is a phrase applied quite a bit of late to oil prices, but it applies to drilling rigs, too. In a Thursday note on oilfield services companies, analysts at Cowen and Company called an early third quarter bottom of about 900 to the Lower 48 U.S. rig count. But don’t expect there to be a bounce from there as much has changed in the industry.