Our Blog
Whiting Writes Off Kodiak
“Rigzone” reports that Whiting Petroleum, the largest oil producer in North Dakota, has written off $2.57 billion in assets. $870 million of this write off relates to the 2014 purchase of Kodiak Oil for $1.55 billion. The write down of the Kodiak assets is surprising to many industry observers, as these were largely prime acreage… Read More
Operators at Risk
“Rigzone” reports a sharp increase in the number of companies on the B3 Negative List published by Moody’s Investor Service. The list includes those companies that Moody’s considers speculative and high-risk for the long term. The number of companies on the list has increased to 223 over the last three months. This is an 8%… Read More
High Stakes for Domestic Operators
In a recent blog (https://rudyenergy.com/risk-to-independents-exaggerated/ ) I cited an article in “World Oil”, which, based on analysis by consulting group Wood Mackenzie, contended that domestic operators were largely immune to the impact of fall reserve revaluations by lenders. Now, “Rigzone” reports the investment firm Raymond James (RayJa) has reached the opposite conclusion. RayJa contends that… Read More
Oxy Sells Bakken Acreage
“Rigzone” reports that Occidental Petroleum Corp. is selling roughly 300,000 acres in North Dakota’s Bakken shale. While Oxy is not strapped for cash, the sale will enable the company to remain cash neutral during the current industry downturn and concentrate on other plays. The Bakken assets were sold for $500 million to a private equity… Read More
Eagle Ford Gas
Apparently the Eagle Ford shale of South Texas is a microcosm of the domestic energy industry. “World Oil” reports that the same “retreat to the core” strategy is playing out in Karnes County as has been the case across the nation. As prices drop and funds become scarce, shale operators are devoting their remaining cash… Read More
