Project Consultants in the Oil and Gas Industry
In the Permian Basin and Beyond

Fossil fuels are going to be around for a while!

Many who have been heavily invested in fossil fuels over the last several decades are floundering. Just remember that there are a huge number of vehicles that will continue to need oil products. There are about 210 million licensed drivers in the United States.

Hold that thought! Gas and oil are definitely going to be around for a while. The transition from fossil fuels to renewable energy sources could take several decades to complete. OK, you say... how can I profit from that idea? I've got some ideas and I'm here to share them with you.

Permian Rock Inc. offers a unique approach in that we will simply assess your needs. We want to help and the process to get started is as simple as a phone call or message to this website.

We look forward to being of service.

Charles Murray
CEO, Permian Rock Inc.

Events in the Oil & Gas Industry

Rand Corporation Board of Trustees

July 15, 2015 It has been about two years since my first cousin, Karen Elliott House, became Chairman of the Board of Trustees of the RAND Corporation. Two other trustees were named to the board; Richard Danzig, former U.S. Secretary of the Navy succeeded Karen as Vice Chairman. Also elected to the RAND board was Kenneth Feinberg. Mr. Feinberg served as special master for TARP executive compensation, a role where he was popularly called the 'pay czar.' Mr. Feinberg recently served as the government appointed administrator of the BP Deepwater Horizon Disaster Victim Compensation Fund. Ambassador Philip Lader, former ambassador to the Court of St. James's(1997-2001) was also appointed to the board at that time.
We West Texans are rather proud of Karen's accomplishments. She was publisher of the Wall Street Journal from 2002 to 2006. She won a Pulitzer prize in 1984 for her coverage of the Middle East. She is the author of the 2012 book 'On Saudi Arabia: Its People, Past, Religion, Fault Lines-and future.'
Ken R. Feinberg-BP-Horizon Settlement Czar, Chuck Hagel-Former U.S.Secretary of Defense and Malcolm Gladwell-noted author have recently become Rand Trustees.

Charles Murray

Oil Prices Could Rise by 35% Later This Year
A prescient analyst at Citigroup thinks oil, recently at $44 a barrel, could head to $60 as demand increases.
By GENE EPSTEIN July 8, 2017 1:15 a.m. ET
The price of crude oil could touch $60 a barrel before the end of this year, as demand exceeds supply. That forecast would have been aggressively bearish as recently as three years ago, but with West Texas Intermediate trading last week at $44, $60 would mean a price jump of 35%.
Citigroup senior energy analyst Eric Lee, featured in Barron’s as anticipating the bear market when the price was over $100, has become a short-term oil bull at current levels. In his view, traders have had difficulty interpreting the effect on... ...READ MORE

Competitive Landscape In The Permian Basin
The Permian Basin (Fig. 1) as of 2016-2017 is to the oil industry as internet as in 1998 is to information technology. "The Permian Basin has now become the crown jewel of the world's oil and gas industry," said Scott Sheffield, Chairman of Pioneer Natural Resources (see here). The oil and gas industry invested over $28 billion into land acquisitions in the Permian Basin in 2016, more than tripling what was spent there in 2015 (see here).
The Permian Basin has been hot in the oil industry in the last couple of years while the industry was going through a rough patch (OIL), because its unique geological conditions in combination with available surface facilities make it possible for many operates to achieve breakeven at or even below $40/bbl of oil prices. ...READ MORE

Land Rush in Permian Basin, Where Oil Is Stacked Like a Layer Cake
HOUSTON — Domestic oil production remains in a deep two-year slump, but a rash of multibillion-dollar deals are flashing sparks of recovery in the shale fields of the Permian Basin straddling Texas and New Mexico.
Exxon Mobil announced on Tuesday that it was acquiring 275,000 acres in New Mexico from the Bass family of Fort Worth for up to $6.6 billion in stock and cash. The deal came one day after another oil producer, Noble Energy, agreed to pay $2.7 billion to buy Clayton Williams Energy, giving it 120,000 oil-rich acres nearby in West Texas. ...READ MORE

An already-hot Permian basin continues to draw crowds
West Texas’ Permian Basin has held the hottest oil land in the United States for about two years. And it’s not slowing down. Last week, another energy firm bought in. Denver-based PDC Energy bought 57,000 acres from New York-based private equity asset manager Kimmeridge Energy for $1.5 billion, or about $21,000 per undeveloped acre.
This year, companies have spent $27 billion on oil exploration and production mergers and acquisitions in the lower 48 United States, according to market analysts Wood Mackenzie. Of that, $12 billion, or almost half, has gone to assets in the Permian.
“Things are definitely getting hotter in the Permian Basin right now,” said WoodMac analyst Ben Shattuck. “You’ve got a substantial asset base that you can drill at today’s prices and still make money on.” ...READ MORE

US crude rises 5.2% this week, closing at $46.54, as global appetite for oil looks healthier.
Oil prices edged higher in volatile trading on Friday as signs of strengthening demand was offset by still-high global stocks and concerns about economic growth.
Benchmark Brent and U.S. WTI crude oil contracts were on track for weekly gains, but fluctuated between intraday gains to losses amid conflicting signals on the supply-demand picture.
Brent crude futures, the international benchmark for oil prices, were up 52 cents, or 1.1 percent, at $48.94 per barrel at 2:35 p.m. (1835 GMT). U.S. West Texas Intermediate (WTI) crude futures rose 46 cents, or 1 percent, $46.54. ...READ MORE

Trump pitches US natural gas to European leaders, suggests Russian gas holds them hostage
President Donald Trump on Thursday pitched U.S. energy exports to Europe as an alternative to supplies from Russia, a nation he suggested had held the region hostage in the past.
Trump made the comments in Warsaw, Poland, where he attended a meeting of the Three Seas Initiative, an effort by 12 Central and Eastern European nations to increase trade, infrastructure and energy ties.
"Let me be clear about one crucial point. The United States will never use energy to coerce your nations, and we cannot allow others to do so," Trump said at a press conference flanked by European leaders. "You don't want to have a monopoly or a monopolistic situation."
Trump did not name Russia directly, but his message was clear to the assembled leaders. ...READ MORE

Noble and the Permian Basin: Is It Still a Hot Favorite in 2017?
Key Permian player According to Noble Energy’s (NBL) press release to announce its acquisition of Clayton Williams Energy (CWEI), NBL will hold the second-largest Southern Delaware Basin acreage position once the deal closes. The Delaware Basin is a subbasin in the Permian Basin.
On January 9, 2017, NBL added approximately 7,200 net acres to its Southern Delaware Basin position. The name of the seller wasn’t specified.
It looks like the Permian will continue to see a lot of interest this year, given NBL’s recent acquisition of CWEI. Strengthening oil prices (USO) could also be a factor. ...READ MORE

Midland Reporter-Telegram:

Permian rig count is 373, up 4
Midland County adds 1 rig for a total of 14. As a whole, the United States’ rig count was unchanged at 952 this week, but the nation’s most active basin saw increased activity. ...READ MORE

Home Page
About Us