Seven New Permits -- WPX With Four; Enerplus With Three -- August 12, 2021

Disconnect: in the big scheme of things, crude oil is not all that "costly." But gasoline prices are soaring. There is a perception that gasoline prices are currently as high as (or higher than) when crude oil was over $100/bbl. If there is any truth to that, imagine what gasoline prices will be if crude oil goes to $100/bbl. The fact that the US is even seen by some as "begging" Saudi Arabia to pump more oil suggests analysts know what is coming before Labor Day. It is of note that Saudi Arabia appears not to be listening. 

Covid-credibility problem: CDC "always" posts weekday data by 4:00 p.m. ET, usually by 2:00 p.m. ET. It is now 6:32 p.m. ET and Thursday's data has not been posted. Coming just after the "Florida mistake" raises questions. Later: the data was noted at 7:05 p.m. ET to have been posted; data appears "accurate."

***************************************
Back to the Bakken

From S&P Global Platts: US oil rig count jumps fourteen to 617 w/w as companies sound upbeat note; link here. 

• the Bakken showed the biggest weekly change, up 3 to twenty-five
• geographically, the basin with the biggest weekly change was the Bakken Shale of North Dakota/Montana, which gained three rigs for a total 25.
• that is the highest activity level in that play, where the rig count has been fairly rangebound in recent weeks, since late April 2020.
  

Active rigs from NDIC data:

$68.90	8/12/2021	08/12/2020	08/12/2019	08/12/2018	08/12/2017
Active Rigs	23*	11	61	60	57

*From the daily activity report: 22 active rigs. Continental shows seven rigs vs eight the other day.

Seven new permits, #38477 - #38483, inclusive --

• Operators: WPX (4); Enerplus (3)
• Fields: McGregory Buttes (Dunn); Eagle Nest (Dunn)
• Comments:
• WPX has permits for four Hall wells in McGregory Buttes, NENE 14-148-94;
• the wells will be sited between 503 FNL and 567 FNL and between 1087 FEL and 1150 FEL;
• Enerplus has permits for three Fort Berthold wells in SESE 19-148-94;
• the wells will be sited between 751 FSL and 804 FSL and between 806 FEL and 859 FEL

Five permits renewedb:

• XTO (4): two Roberta permits and two Lyla permits, all in Williams County;
• Bruin: one Christine Joe permit in Williams County

One permit canceled:

• 37995, MRO, Frederick permit in Dunn County