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Permalink Reply by Gale 19 hours ago

Skip Peel,

  So is the article you posting saying these 4 oil companies have merged? Recently our leases with Chevron is now with TGNR, we received no notice and would not have know until the ck came if I had not gotten notice on Energy Link.  I am aware there are wells still in Chevrons name but most of those are plugged much older wells. Kinda curious as to what’s going on. My mineral rights are in the Beckville Field with some under the town of Beckville and some in Carthage as well. The largest bulk is out the Hwy from Beckville to FairPlay at and around Youngblood Cemetery. 
   I’ve not been on the site in awhile but thought I would come see what’s been posted. Thanks for all you do on here Skip! 

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Permalink Reply by Skip Peel - Mineral Consultant 13 hours ago

Gale, you're welcome.  My discussion is about the competition to buy mineral rights in the Haynesville Play.  As the play matures and more mineral companies are looking to acquire Haynesville mineral rights, the competition and the purchase offers have increased.

What you are experiencing are two things that are part of the long history of the oil and gas industry.  Large O&G companies, especially the majors like Chevron, sell off assets as they mature and the value begins to decline or the seller thinks they have better prospects to invest that money in.  We are also in a wave of consolidation where the larger O&G companies buy up the assets that look most promising for their future growth and profit.  The Haynesville Shale is a good example of this.  When the Haynesville Play in Louisiana and Texas began there were well over two dozen companies involved. Now there are fewer than ten that are the significant producers.  The sale of the Chevron's Haynesville assets was announced some months ago but it is not something that those outside the industry would likely notice because our local media doesn't cover it.  Where once even the smallest of Ark-La-Tex newspapers and to a lesser extent early television stations had staff and reporters that knew the O&G business and followed and reported on it closely, now the focus is on other news and staffs have little or no knowledge of the business.  The Haynesville Shale came along at a time that the traditional oil and gas business was in a steeping decline that started back in the 1980's  when the price of oil fell to levels that were uneconomic for many if not most companies.  The majors survived but many independents large and small went out of business.

From Wikipedia, the free encyclopedia

The 1980s oil glut was a significant surplus of crude oil caused by falling demand following the 1970s energy crisis. The world price of oil had peaked in 1980 at over US$35 per barrel (equivalent to $134 per barrel in 2024 dollars, when adjusted for inflation); it fell in 1986 from $27 to below $10 ($77 to $29 in 2024 dollars).^[2][3] The glut began in the early 1980s as a result of slowed economic activity in industrial countries due to the crises of the 1970s, especially in 1973 and 1979, and the energy conservation spurred by high fuel prices.^[4] The inflation-adjusted real 2004 dollar value of oil fell from an average of $78.2 in 1981 to an average of $26.8 per barrel in 1986.^[5]

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