“On the operational side, it’s all about timing,” said Bernadette Johnson, vice president of market intelligence for Drillinginfo Inc. “How far we need to move all these molecules to get to the coast.”
During a break at the Midstream Finance Conference in Dallas, Johnson also told Steve Toon, editor-in-chief of Oil and Gas Investor, that while the Permian Basin is “ground zero” for bottlenecks, takeaway capacity is an issue in several areas across the industry. In the NGL space, a lack of pipelines has spurred price volatility for ethane and others.
The annual DUG Permian Conference and Exhibition got off to an early start on April 15, one day before the main event with simultaneous pre-conference sessions focused on three increasingly important discussions when it comes to the Permian Basin: sand, water and minerals.
With deal volume down, investors sidelined and volatility all about, getting deals across the finish line is getting harder and harder.
Immediately southeast of the Haynesville, the eastern Louisiana Austin Chalk is making headlines from the great interest gained by EOG Resources Inc., ConocoPhillips, Marathon Oil Corp. and others, including one of the first to lease, PetroQuest.