RP Weekly Recap | October 26 – 30

Summary

In a spooky week in oil, Third Quarter results were released for some of the worlds largest and most powerful oil and gas companies and there were some surprising results. Low prices, reduced production, and slashed operating costs forced companies like ExxonMobil and Chevron to report massive losses while others like Shell and BP surprised investors and the world by turning a profit during a tumultuous third quarter.

COVID-19 Updates

COVID-19 Statistics

• Number of Cases (Worldwide): 45,271,674 (up from 41,923,630 last week)
• Number of Cases (USA): 8,964,815 (up from 8,428,640 last week)
• Statistics courtesy of Johns Hopkins

Financial & Economic Updates

US Oil Market News

• Department of Energy Issues Report on Benefits of U.S. Oil and Natural Gas: Providing Energy Security and Supporting Our Quality of Life (Link)  
• Trump Weighs Executive Order to Show Support for Fracking (Link) 
• Fracking Finally Gets The Attention It Deserves (Link)  
• U.S. Department of Energy: Oil and Gas Production to Account for 68% of Energy Consumption Over Next Two Decades (Link)
• ConocoPhillips Received Approval From The BLM to Begin Willow Project In Alaska (Link) 
• Mid-Con Energy Partners to Merge With Contango Oil & Gas (Link)  
• Gulf Of Mexico Drillers Shut In Two-Thirds of Production As Tropical Storm Zeta Nears (Link)
• San Antonio E&P, Lewis Energy, Filed For Nine Horizontal Drilling Permits With the Railroad Commission of Texas Over the Past Week After Months In Hibernation (Link) 
• North Dakota Seeks to Reallocate $16 Million in Federal Coronavirus Relief Toward Fracking (Link)  
• Federal Judge Denies Bid to Halt Work on Keystone XL (Link)  
• U.S. Commercial Crude Oil Inventories Rose 4.3 Million Barrels Prompting Oil Prices To Drop To $35/bbl (Link)  
• The U.S. Looks To Delay The World’s Most Controversial Pipeline Once Again (Link)

Global Market News

• BP Beats Third-Quarter Estimates and Swings Back to Profit on Improving Oil Demand (Link)
• Shell Surprises With Strong Profit, Dividend Hike (Link)
• Chevron Corporation Reported A Loss of $207 Million for Third Quarter 2020 (Link) 
• Exxon Fails To Raise Dividend For The First Time In 38 Years (Link)  
• OPEC Members Rebel Over Production Cut Extension (Link)  
• The E-Commerce Boom Offers a Lifeline for Oil (Link) 
• China Believes Natural Gas Demand Will Soar (Link)  
• Venezuela Refinery Explodes During Attack (Link) 
• Saudi Energy Minister Thinks Getting Rid Of Oil And Gas Is ‘Unrealistic’ – World Should Seek Other Options For Carbon Reductions (Link) 
• Why Libya’s Surge In Oil Exports Won’t Last (Link) **INTERESTING READ**

Employment Updates

• Chevron to Lay Off About 25% of Noble Energy Employees After Merger (Link) 
• Exxon Is Cutting 1,900 U.S. Jobs As Oil Prices Crumble Again (Link)  
• Colorado’s Oil Industry Lost Record Jobs to COVID-19 Downturn. Has it Finally Hit Bottom? (Link)
• Jobless Claims Fall to 751,000, but New Infections a Threat – the number of Americans seeking unemployment benefits fell last week to 751,000, the lowest since March but a figure that remains historically high and indicates the viral pandemic is still forcing many employers to cut jobs (Link) 

US Rig Count

• UP 9 from last week for a total of 296
• Down 64% from one year ago
• Statistics courtesy of Baker Hughes

RARE PETRO Updates

Content Updates – News Pulse – Podcast

• Our seventh installment of The Industry Leader Spotlight Podcast is available now! Be sure to check out our interview with the featured honoree on the 2020 Forbes 30 under 30 in Energy list, Ashley Zumwalt-Forbes HERE!
• Episode 3 (Enterprise Resource Planning) from our newest segment, the Modern Mobile Oilfield is available now! This series is a collaborative effort between world renowned author Geoffrey Cann and RP host Tavis Killian that will expand on topics covered in the book “Bits, Bytes, and Barrels”. This new segment is aimed at energy professionals at any level who are looking to better understand the future of a digital oilfield, and potentially implement these technologies into their company’s workflow. Be sure to watch or listen on all available platforms HERE! 
• A new episode of the Periodical Podcast is available now! Be sure to check out our discussion on the effects of a second wave of the coronavirus pandemic on global oil demand. (Link) 
• This week’s Periodical reveals a second wave of the coronavirus pandemic is tearing its way through Europe and there is no question whether or not the rest of the world will eventually follow. The surge in coronavirus cases in many major developed oil-consuming economies has rekindled fears that oil demand recovery is again off track, and market balancing is still further away. Luckily, those fears are misplaced as a second wave of shutdowns may not take as large of a dent out of global demand as individuals have begun to resume their day to day lives. Therefore, global oil demand recovery will not be derailed as fear of the virus is likely not going to keep people locked up anymore. Be sure to check out our opinion piece: Fearing The Second Wave HERE!  
• As Always, A New Monday Madness Podcast! (Link)  
• A NEW Basin Breakdown for the Month of September is available now! Be sure to check out the articles HERE and the podcast HERE!  

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