Exclusives

A lot more work is needed before the second wave of unconventionals takes off across North America.

Volatile pricing, pipeline capacity concerns could hinder growth of Canadian oil sands production, but output still expected to rise.

Rick Lester, CEO of Opal Resources LLC

Rick Lester says tough questions about priorities need to be asked by companies in all stages of the energy business cycle.

Drilling pipe

Abundance of drilled but uncompleted oil wells will play key role when producers are ready.

With its technology business, NOV arguably touches more wellbores during the well construction process than any other company, analysts said.

Deepwater International

The emerging Paleogene play in the US Gulf of Mexico continues to offer increasing encouragement for major deepwater discoveries, with Chevron confirming a significant find.

Shell's CEO Ben van Beurden says, "there is a lot more to do" in its North American deepwater sectors. 

Exploration

A Pemex official told Reuters that forecast is dependent on new oil production coming from mature onshore fields, mature offshore fields, heavy oil offshore fields and deepwater natural gas fields.

Pemex, which has suffered from a prolonged oil rout, will sell some of its infrastructure assets to First Reserve, but will continue to use them and pay rent.

The first proposed farm-out will be focused on the Trion Field in the Perdido area near the U.S. border, three people familiar with the matter told Reuters. Trion has proven, probable and possible reserves of 305 million barrels of oil equivalent.

Auctions involving Mexico’s oil and gas blocks have been complicated by a sharp drop in crude prices, Reuters said.

In one encouraging sign for the oil and gas industry, Shell said on May 9 it restarted production at a reduced rate at its Albian oil sands mining operation in Alberta, adding it plans to fly staff in and out.

Production

The North American rig count ended the week at 507, up 10 from the previous week but down from the 1,001 rigs that were operating a year ago.

Analysts and producers have said U.S. crude prices of more than $50 were essential to triggering a well pad return. Some believe that number is higher.

The North American rig count—which had fallen from 993 a year ago to 493—had steadily declined since the downturn began in 2014.

Nimble U.S. shale producers, particularly those in the Permian where costs are lower and wells are close to refineries, can make money at $50, but many are still bleeding cash.

Crude oil's flirtation with $50 per barrel drive U.S. weekly rig count up for only second time in 2016.

Technology

Previously, Quesada was chief of staff to the minister at the Secretaria de Hacienda y Credito Publico, Mexico's treasury office, and at the Secretaria de Desarrollo Social, the ministry of social development.

Pemex said in a statement that military forces and local police had shut down part of a nearby highway and that it was analyzing the causes of the incident, Reuters reported.

U.S. drillers cut two oil rigs in the week to May 27, bringing the total rig count down to 316, the lowest since October 2009. However, the number of U.S. gas rigs increased by two to end the week at 87.  

Packers Plus Energy Services, Ian Bryant, unconventional, technology, North America, OPEC, Saudi Arabia, oil, gas, DUG Permian Basin

For shale players, better reservoir connections are crucial to unlocking economic barrels.

The number of oil rigs in the U.S. and Canada remained the same, holding at 318 and 16, respectively.