Archive // Breakevens

DJ Basin Challenges Impacting Drilling Decisions

February 8, 2019 | Matt Hagerty

The DJ Basin continues to face both regulatory and midstream challenges. In November, Colorado voters rejected a ballot initiative to increase well setbacks. Now, a lawsuit arguing Colorado’s forced pooling statute is unconstitutional further mires the outlook for development in...
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Breakeven Costs. The Devil’s in the Details.

February 6, 2019 | Kathryn Downey Miller

Earnings season is upon us. The tidal wave of new data from public E&P companies will soon provide new insights into production, capital budgets, infrastructure timing and year-end reserves. We expect more talk of capital discipline. Producers are also...
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DJ Basin: Is the Future Setback?

July 17, 2018 | Matt Hagerty

Over the past few years as the importance of shale hydrocarbons in the US has risen, a number of state and local governments have attempted to increase their involvement in oversight of US hydrocarbon development. Examples across the US...
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Rising Crude Prices Changing the Game for Wet Gas Well Economics

January 25, 2018 | Matt Hagerty

A WTI price at or above $65 per barrel undoubtedly has implications for producers in oil regions across the US, perhaps even testing their resolve after claims of efficiently and conservatively spreading capital across operations. But what are the...
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Is Bakken Upside Capped?

December 20, 2017 | Matt Hagerty

The recent announcement of Oasis Petroleum’s Delaware Basin acquisition marks another major Bakken producer re-positioning to focus its growth capital outside the Williston Basin. What do these shifts signal about the future of the Williston Basin? By choosing to...
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Making a Case for $60 Oil Destabilizing Gas Markets

December 12, 2017 | BTU Analytics

WTI prices have stabilized near $60 (for now) as OPEC agreed to extend cuts through 2018 and compliance with targets has been good thus far. Higher oil prices should improve cash flows for producers with liquids exposure, thereby enabling...
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Permian Stacked Pay Potential Validating Acreage Prices?

November 30, 2017 | Matt Hagerty

In 2015 and 2016, producers went on a buying bonanza snapping up Permian acreage. The prospect of stacked pay potential with ultra low break-even prices sent producers in a bidding frenzy. In the chase for the best acreage, prices...
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