CFOs And COOs Are Earning Their Pay -- June 13, 2017

I think this may be the biggest untold story coming out of this month's Director Cut. For the operators in the Bakken, the CFOs and the COOs are earning their pay.

COOs: despite taking more wells out of production, operators increased overall crude oil production in the Bakken. COOs would have called the shots, deciding what wells to shut in / take out of production.

CFOs: meanwhile, more wells are being drilled but not completed. These wells cost money to drill and yet they won't generate any cash flow until they are completed. The CFOs have to "find the money" to drill new wells while operating cash flow remains a challenge.

I'm really quite impressed. I would love to hear from those in the field the observations they made and the thoughts they had regarding this month's North Dakota crude oil production data (April, 2017).

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Another Midstream Assets JV In The Permian Basin

Data points from Reuters:

• WPX Energy
• privately held Howard Energy Partners
• oil gathering and natural gas processing infrastructure in the Permian Basin
• pipeline is designed to move 125,000 bopd
• natural gas plant: 400 million cf/d initial capacity
• WPX will receive $300 million upfront in cash from Howard Energy