The Williston Basin | July 2023

Field Overview

The Williston Basin is a large sedimentary basin along the eastern edge of the Rocky Mountains in western North Dakota, eastern Montana, and southern Saskatchewan, Can. The basin is characterized by thick sequences of sediments that underlie an area of about 110,000 square miles, and it is geologically closely related to the Alberta Basin in Canada. The first wells in the Williston were drilled in 1936, and by 1954, 80% of possible producing acreage had been leased.

State Drilling Statistics

Active Drilling Rigs in Basin – 35 (+1)
Total Rigs in North Dakota – 35 (+1)
Total Rigs in the United States- 664 (-10)
Total U.S. Rigs 12.4% YTD

Williston Top Producer

Top Producer – Continental Resources

Basin Highlights

Hess Increases Quarterly Distribution

Hess Midstream LP (NYSE: HESM) (“Hess Midstream”) said July 24th that the general partner’s board of directors approved a quarterly cash payment of $0.6011 per Class A share for the quarter ending June 30, 2023. In comparison to the first quarter of 2023, the payout indicates a roughly 2.7% increase in the quarterly distribution per Class A share for the second quarter of 2023. In order to meet its goal of at least 5% growth in annual payments per Class A share through 2025, Hess Midstream has increased its payout level per Class A share by approximately 1.5% in addition to the quarterly increase of 1.2%. “We continue to use our financial flexibility to deliver consistent and ongoing return of capital to our shareholders and have increased our distribution level for the second time this year,” said Jonathan Stein, Chief Financial Officer of Hess Midstream

Oilfield deals clip oil and gas budgets & drilling

Lynn Helms, director of the North Dakota Department of Mineral Resources (DMR), stated on July 14th that “Growth is slower than one would think at $74 (per barrel) oil.” Oil and gas deals have been reducing drilling budgets in North Dakota, the third-largest oil producing state in the United States, and are likely to reduce future production. 2,000 less barrels per day (bpd) were produced in North Dakota in May compared to April, according to figures from the state’s Industrial Commission, which manages oil and gas resources while drilling rig counts have remained relatively flat month-over-month into July even as oil prices have risen.

Top Producers

Rig Count

North Dakota Oil Production

North Dakota Natural Gas

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PETRO Engineering, PLLC via the following sources unless otherwise
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www.eia.gov
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