| Today’s Upstream Updates

• Oil traded lower on surprise build in crude products, API

• Bullish market sentiment continues to support natural gas price

• Matador - Ameredev deal review below

| Markets - Energy Prices

Note: pricing is as of time of publishing.

| Morning News - Energy 

• Oil prices fall after API reports surprise build in crude (oilprice)

• EIA expands coverage of production with regional forecast (EIA)

• World faces oil glut by end of decade per IEA (Washington Post)

• TX may need to double power generation within 6 years (NBCDallas)

• How Saudi Aramco plans to win the oil endgame (Economist)

• Warren Buffet continues to add to his Oxy position (Yahoo Finance)

• Ukraine cuts deal for US gas to clip Russian energy influence (Release)

| Noteworthy from Energy X (Twitter)

• Questions on EIA weekly crude inventory reporting (Link)

• Wallstreet says its time to buy oil stocks (Link)

• Europe sees lowest LNG inflows since early 2022 (Link)

| Deal Review - Matador Acquires Ameredev

• Matador Resources agreed to acquire Ameredev II for $1.905 billion

• Ameredev is backed by EnCap Investments

• This marks the second deal Matador has completed with an EnCap portfolio company as they acquired Advance in 2023 for $1.6 billion

• Deal adds significant inventory in an active area

| Monthly Upstream Deals

| Monthly Capital Markets

• Debt 6/03/2024 - Diversified Energy (DEC) announced it has closed on an ABS refinancing. The $610 million principal notes with net proceeds of $592 million (net of fees, expenses and interest reserve) carry a blended fixed coupon of 7.28%. Proceeds to refinance existing ABS and reduce borrowings on Company RBL. Financing is also part of the Oaktree WI purchase. DEC noted the offering was oversubscribed with over $1.7 billion in orders from 18 investors (Link).

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Disclaimer - The information provided in this newsletter is for informational purposes only and should not be construed as investment advice. The contents and references herein do not constitute a recommendation to buy, sell, or hold any securities. Readers are encouraged to conduct their own research and consult with a qualified financial advisor before making any investment decisions based on the information provided herein. The authors and publisher of this newsletter are not liable for any actions taken by readers based on the information contained herein.