| Today’s Upstream Updates

• The Energy Institute recently released their annual world energy report

• Historically, this report was put together by BP who turned it over to the Energy Institute a few years ago

• It’s a terrific report that provides an independent look at world energy

• Here is a link to the report and I’ll hit just a few quick highlights (Link)

  • World energy consumption up 2% over 2022

  • Renewables’ share of primary energy consumption reached 14.6%, an increase of 0.4% over 2022

  • Fossil fuels remain the primary energy source at 81.5% though that declined 0.4%

  • Global natural gas use remained constant year over year

  • US LNG overtook Qatar as the largest exporter

  • Global natural gas demand rose 0.02%

| Markets - Energy Prices

Note: pricing is as of time of publishing.

| Morning News - Energy 

• Oil up as demand expectations offset dollar strength (Reuters)

• Chevron-Hess may stall to 2025 as Exxon claims Guyana (WorldOil)

• Mitsui USA acquires Eagle Ford acreage (Release)

• Shale efficiency boost not guarantee of strong future growth (OilPrice)

• Renewable project stalled by transformer shortage (OilPrice)

• India’s LNG surge supports Asia imports in June (Oil & Gas)

• EU adopts new sanctions against Russia, including LNG (Oil & Gas)

• US jet fuel output rises above pre-COVID levels (Reuters)

• Consolidation reshapes top 100 private producers list (Hart Energy)

• Aethon brings on 4th monster Haynesville wildcat well (Hart Energy)

| Noteworthy from Energy X (Twitter)

• US LNG source gas and exports chart (Link)

• Climate activists interrupt PGA Tour golf tournament (Link)

| Monthly Upstream Deals

| Monthly Capital Markets

• IPO Equity 6/17/24 - Tamboran Resources (TBN) launched its initial public offering of 6,500,000 shares of common stock. IPO is expected to price between $24 and $27 per share. Underwriters will have a 30-day option to purchase 975,000 shares at the IPO price, less the underwriting discount. TBN shares will be listed on the NYSE.

• Debt 6/13/2024 - Crescent Energy (CRGY) announced the pricing of $750 million senior notes due 2033. Notes will pay an interest rate of 7.375% per year and were priced at par. Proceeds will be used to fund the cash portion of the consideration of the previously announced merger with SilverBow Resources. Should the merger not happen, CRGY will redeem the notes for their full value and unpaid accrued interest (Link).

• 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).

| Partnerships

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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