Sunday, August 11, 2019

Notes From All Over, Part 2 -- August 11, 2019

Break-even prices. This is from a WSJ article from late 2018. One would assume the numbers were based on data from 2Q18 and 3Q18. They wouldn't have the data from 4Q18 although I doubt there would have been much change. [See comments.]

From the linked article:
Estimates by consulting firm R.S. Energy Group peg break-evens excluding land costs and overhead at about $37 for the Permian Basin of West Texas and New Mexico, $42 for the Eagle Ford in South Texas and $47 for the Bakken in North Dakota. 
But companies require much higher oil prices in order to come out ahead if more of those necessary expenses are taken into account, the consulting firm’s data show. All-inclusive break-evens are about $51 in the Permian, $57 in the Eagle Ford and $64 in the Bakken, according to R.S. Energy.