E&P Activity

E&P Activity At A High, E&P Efficiency Slows

The new pipeline capacity will cause WTI to rise as shipping costs are lowered materially.

Q2 hedge fund letters, conference, scoops etc

Davidson submits:

E&P Activity at a high, E&P Efficiency stalls a little. The data for these indices have a 2mo lag. Key to this data is the recent stall in US Crude Production which had recently fallen from 12.3mil BBL/Day to 12mil BBL/Day which recovered the last 2wks. Couple this to the news that pipeline capacity was being rushed to come on line in July 2019 and labor demand remained high and the trends make sense.

Key observations:

1) Limited takeaway capacity stalled field production and raised demand for labor to finish pipelines causing overall Activity to rise while stalled production resulted in a dip in Efficiency

2) Two pipelines just came into operation for the Permian which has dominated much of the employment/drilling/production data-Activity/Efficiency indices should continue to rise.

EPIC Midstream ships first crude on new Permian pipeline to Gulf Coast

https://www.reuters.com/article/us-epiccrude-pipeline-startup-exclusive/epic-midstream-ships-first-crude-on-new-permian-pipeline-to-gulf-coast-idUSKCN1V527Q

E&P Activity

E&P Activity


X
Saved Articles
X
TextTExtLInkTextTExtLInk

The Life and Career of Charlie Munger

Charlie is more than just Warren Buffett’s friend and Berkshire Hathaway’s Vice Chairman – Buffett has actually credited him with redefining how he looks at investing. Now you can learn from Charlie firsthand via this incredible ebook and over a dozen other famous investor studies by signing up below:

  • Learn from the best and forever change your investing perspective
  • One incredible tidbit of knowledge after another in the page-turning masterpiece of a book
  • Discover the secrets to Charlie’s success and how to apply it to your investing
Never Miss A Story!
Subscribe to ValueWalk Newsletter. We respect your privacy.

Are you an intelligent investor?

ValueWalkPremium is a website and newsletter for smart investors like yourself. We focus on the latest hedge fund industry news much of which is not in the public domain and obtained via our sources.

We also have 10 years of resources on how to use this information to better your investment process.

Sign up for  today for only a few dollars a day and get a 3 day no obligation trial with a targeted 20% discount coupon code.

Cancel anytime during trial and you are never charged.

Limited time offer: For first 50 subscribers

0