Six New Permits; Two Permits Renewed; One DUC Reported As Completed -- August 18, 2024

Locator: 47034B.

Market: US equity markets continue to fall / tread water. 

This is what's going on. Money managers -- for all those mutual funds -- are pulling money out of the market knowing that the Fed won't raise rates and they feel we've seen the highs for the first half of the year, if not for the entire year. These mutual funds are putting their profits into bonds to lock in high rates for six months, if not for the rest of the year. They need to do this because these mutual funds report their returns on a quarterly basis.

Me? I always remain fully invested in US equities. For the next two months, possibly the next three months, there should be a lot of stuff "on sale." No recommendation. See disclaimers.  Again, I have a rolling 30-year horizon.

Recession? Whatever happened to all that foolish talk about a recession in 2024? A cut now would only be symbolic; can't affect the economy either way for 2024. However, 20% market correction could certainly result in a few repercussions -- isn't this a presidential election year?

The DUC report: see below. Quite remarkable. The number of DUCs has stabilized -- actually increased slightly suggesting the operators don't need to maximize replacement wells to maintain 1.2 million bopd production. See notes on Jane Nielson from yesterday.

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Back to the Bakken

DUCs: monthly DUC update. Reader sent me the spreadsheet. For the life of me I couldn't get it to load correctly on my spreadsheet, so had to take a screenshot. This is the Bakken: drilled, completed, DUCs as of month indicated. The reader wrote: "DUCs up first time in 13 months on rise in natgas DUCs."

WTI: $82.57.

Active rigs: 39.

Six new permits, #40679 - #40684, inclusive:

• Operators: Slawson; Oasis (3), Hess, XTO
• Fields: Big Bend (Mountrail); Tioga (Williams); Beaver Lodge (Williams); and Hofflund (Williams)
• Comments:
• Slawson has a permit for a Shad Federal well, lot 1, section 2-151-92; 
• to be sited 540 FNL and 460 FEL;
• Oasis has permits for three Ongstad wells, NWNE 15-157-95, 
• to be sited 2580 FEL and between 447 FNL and 546 FNL;
• Hess has a permit for a BL-Blanchard well, NENW 27-155-96, 
• to be sited 331 FNL and 1980 FWL
• XTO has a permit for an HBU Lizette State well, NENW 16-154-95; 
• to be sited 910 FNL and 1669 FWL

Two permits renewed:

• Foundation Energy Management: two Ellison Creek Federal permits, Morgan Draw, Billings County;

One producing well (a DUC) reported as completed:

• 40358, 7 (no typo), Murex, EMU-Annis Jeannette 1H, Renville,

Reminder: I am inappropriately exuberant about the US economy and the US market, I am also inappropriately exuberant about all things Apple.

See disclaimer. This is not an investment site.

Disclaimer: this is not an investment site. Do not make any investment, financial, job, career, travel, or relationship decisions based on what you read here or think you may have read here. 

All my posts are done quickly: there will be content and typographical errors. If anything on any of my posts is important to you, go to the source. If/when I find typographical / content errors, I will correct them. 

Again, all my posts are done quickly. There will be typographical and content errors in all my posts. If any of my posts are important to you, go to the source.

Reminder: I am inappropriately exuberant about the US economy and the US market, I am also inappropriately exuberant about all things Apple.