Hart Energy

Industry leaders shared their perspectives on emerging plays and benches during the closing session of the DUG Executive Oil Conference in Midland, Texas. "While competition has increased in Utah oil country, Scout sees potential to grow further in the Uinta Basin." — Juan Nevarez, Executive Vice President at Scout Energy Partners "Operators are pushing the economic boundaries of Permian Basin drilling, like emerging Wolfcamp and Dean activity in the northeastern Midland Basin." — Steve Pruett, Founder and CEO of Elevation Resources "Activity continues to delineate additional benches in the Eastern Shelf of Scurry and Fisher counties, Texas. King Operating drilled the first horizontal Strawn wells on the shelf starting in 2015." — Jay Young, Founder and CEO of King Operating

Key Insights from the "Perspectives on Policy" Session at the Dug Executive Oil Conference! During this insightful session, industry experts shared their perspectives on the regulatory landscape affecting the oil and gas sector: "Government agencies like the FTC and EPA will target oil and gas companies less under a second Trump presidency." Brent Greenfield, Principal and Counsel at Cornerstone Government Affairs "In realistic terms, I think the way the methane tax is in place today, it gets a scalpel, not a sledgehammer." Dan Romito, Managing Director for Pickering Energy Partners

Exciting insights from the "Strategic Growth in the Midland Basin: Oxy" session at the DUG Executive Oil Conference! Thaimar Ramirez, President & General Manager of Oxy's Midland Basin Business Unit, shared valuable perspectives on Oxy's operations and strategy. Thaimar highlighted the Midland Basin's unique characteristics: "The Midland Basin has been a 'playground' for unconventionals and the play has benefited a great deal from innovation." She also emphasized the importance of cost management: "One of the biggest things I learned when I joined the team at the Midland Basin is that cost is key.

Zach Fenton, CEO of UpCurve Energy, said UpCurve has lowered its costs to drill a 2-mile well from $10.5MM in 2023 to around $9MM this year.

China's demand for oil has been declining as industries have been leaving the country, but the effect on global demand has been a wash. The industries have moved to India, Vietnam or other countries that now need the oil to operate, said Marshall Adkins, Head of Energy for Raymond James.

"I can see a world where the Woodford is a super exciting target," Will Hickey, Co-CEO of Permian Resources, said of the super-deep interval's liquids and gas mix.

Our expert speakers shared valuable perspectives on the evolving landscape of energy finance: ? Scott Wilson, SVP at West Texas National Bank: "Hedging is a key part of any deal you're talking about now. You just don't want the exposure, particularly with gas." ? Jeff Treadway, SVP at Comerica Bank: "You just see so much more thought put into acquisitions these days." Jeff highlighted the transformation in energy financing since the challenging periods of the mid and late 2010s. ? Art Krasny, Co-Head of Upstream Coverage and A&D at Wells Fargo: "Broadly speaking, the capital will flow to the best returns." Art emphasized the oil and gas industry's recent outperformance compared to broader public markets.

Pete Bowden, Global Head of Industrial, Energy & Infrastructure Investment Banking for Jefferies Financial Group, offered a thought-provoking perspective during the session "M&A in the Permian Basin: What's Next Post Mega-Deals?" Bowden emphasized the broader significance of oil and gas beyond transportation: "The world has lost sight on what the commodity is besides a transportation fuel."

Aaron Hunter, ConocoPhillips' Vice President for the Delaware Basin, provided insights into the power infrastructure challenges facing the oil and gas industry in New Mexico. "New Mexico power is about two to three years behind Texas in planning for the oil and gas industry's electrical needs."

Dan Pickering, Chief Investment Officer of Pickering Energy Partners, shared his perspective on the natural gas market. Highlighting the evolving landscape of energy demand, Pickering emphasized, "I'm watching LNG much more closely than I'm watching power." He also noted that the leaps in demand forecasts for LNG production are more clearly defined than the increasing power demand from AI data centers.