Upstream Updates - Friday, August 9, 2024

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Upstream Updates
August 09, 2024

| Today’s Upstream Updates

  • Oil prices find steady ground after a day of gains

  • I’ve been posting on X recently about the strong demand and appetite the debt markets have at the moment for energy paper. Yesterday, California Resources announced a $200 MM private placement (details below) and subsequently followed up with a release they had upsized the offering to $300 MM. Last month, PR upsized, Oxy traded at an extremely small spread and SM upsized. Call your bankers!

| Markets - Energy Prices

Product

Close

$ Change

% Change

WTI Oil

$76.59

+$0.40

+0.53%

Brent Crude

$79.50

+$0.34

+0.39%

HH Natural Gas

$2.130

+$0.003

+0.14%

XOP

$136.39

+$4.01

+3.03%

Note: pricing is as of time of publishing.

| Daily Energy News

  • Oil set for weekly gain on US jobs data and Mideast tension (Reuters)

  • Oil poised for weekly gain with eyes on Middle East (Bloomberg)

  • Is the era of US Shale growth over (OilPrice)

  • California Resources upsized private placement offering (Release)

  • Paris Olympics: the greenest games ever? (OilPrice)

  • Global oil demand needs to rise faster to absorb OPEC+ hike (Reuters)

  • Oxy’s Hollub on divestment plans, not a fire sale (Hart Energy)

  • Oxy delays output goals, focused on debt reduction (Reuters)

  • TX company seeks LNG import facility in Cook Inlet (KDLL)

  • Mexico’s govt to encourage oil partnerships (OilPrice)

  • From failed rail road company to Permian royalty giant (Hart Energy)

| X (Twitter) Energy - Insightful Posts

  • Guyana oil production growth sets it up to be a powerhouse (Link)

  • Band-aid of the future, electric band-aids (Link)

  • Natural gas production still trending near 5-yr highs (Link)

| Upstream Earnings - Releases & Presentations

| Monthly Upstream Deals

| Monthly Capital Markets Activity

  • Debt (8/8/24) - California Resources (CRC) - announced it is offering $200 MM of its 8.25% senior unsecured notes due 2029 and later upsized the offering to $300 MM. The Notes are being offered as additional notes under the indenture dated 6/5/24 and will have identical terms. Net proceeds will be used to purchase up to $300 MM of its 7.125% senior notes due 2026. CRC has commenced a tender offer for the 7.125% notes. 

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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 herei