Tuesday, September 28, 2021
70.9 F
Fort Worth

17 energy companies announce investment in Permian Basin

🕐 2 min read

In an op-ed in the Midland paper on Sunday, a group of 17 energy related companies, including Irving’s Pioneer Natural Resources, say they have committed more than $100 million in the Permian Basin in a bid to increase private sector involvement in the area.

Calling themselves the Permian Strategic Partnership, the groups said they have come together “to strengthen the communities where we live and work,” according to the Op-Ed column in the Midland Reporter-Telegram.

“The Permian is poised to provide energy the world needs, create tens of thousands of local jobs and generate billions in state and local tax revenues. But this potential can only be fully realized if we simultaneously address significant infrastructure challenges and preserve the quality of life that makes so many want to live and work here,” the group said in the article published in the newspaper.

Total oil production in the region is expected to more than double in the coming years. At that point, the Permian would be an oil-producing super-power trailing only Saudi Arabia, Russia, and the combined output of all other U.S. producing regions, according to the Op-Ed.

The U.S.’s Energy Information Administration expects Permian regional production to average 3.3 million billion per day in 2018 and 3.9 million b/d in 2019. Although favorable geology combined with technological and operational improvements have contributed to the Permian region becoming one of the more economically favorable regions for crude oil production in the United States, recent pipeline capacity constraints have dampened wellhead prices for the region’s oil producers. Lower wellhead prices in the region are contributing to slower growth in Permian crude oil production in 2019 compared with 2018.

While the production growth, linked to new methods such as fracking, has been strong, the area has been hit with a variety of issues that have limited growth, such as a lack of affordable housing and labor. 

In the Op-Ed, the organization said it has reached out to the Permian Basin community and surveyed the needs of the area. The group says the results show residents and leaders are seeking safer roads, better schools, quality health care, affordable housing and a trained work force.

“As employers, we want workers to move here with their families, build careers, and become a part of the community,” according to the Op-Ed.

The Permian Strategic Partnership said the group plans to open an office and announce leaders and staff members in what is expected to be a multi-year effort.

The companies involved in the organization are:

Anadarko, Apache, Chevron, Cimarex, Concho, Devon, Diamondback, Encana, Endeavor, EOG Resources, Halliburton, Occidental, Parsley, Pioneer, Schlumberger, XTO Energy and Shell.

Related Articles

Our Digital Sponsors

Latest Articles

Not ready to subscribe?

Try a few articles on us.

Enter your email address and we will give you access to three articles a month, to give us a try. You also get an opportunity to receive our newsletter with stories of the day.

Get our email updates

Stay up-to-date with the issues, companies and people that matter most to business in the Fort Worth.

  • Restaurants
  • Technology
  • and more!

FWBP Morning Brief

FWBP 5@5

Weekend Newsletter

  • Banking & Finance
  • Culture
  • Real Estate