Recent developments in artificial intelligence (AI), machine learning (ML), cloud computing, and other technologies are leading to rapid implementation in various industries around the world. These developments have only been possible due to recent increases in computing power and availability of vast datasets needed to train AI programs. This along with improved algorithms for training […]
2024 Midstream Outlook: Business as usual
The midstream industry had a favorable year in 2023, witnessing higher investment, M&A, and notable progress in infrastructure development. Looking forward to 2024, we expect a mixed but business as usual outlook for the midstream industry. Key trends to keep an eye on are the following: The Permian takeaway capacity outlook remains a difficult balancing […]
Optimizing crude oil pipeline capacity with drag reducing agents
The U.S. built a little over 3,000 miles of crude oil pipeline capacity during 2018 to 2020 to reach 84,816 miles in 2021, transporting 1.2 billion barrels of crude oil that year. No significant oil pipeline capacity additions have been made since and U.S. oil production averaged 11.9 million barrels per day in 2022 that […]
Fueling consolidation in the fuel logistics market
The global shift towards low-carbon energy to address greenhouse gas emissions and climate change has prompted major energy companies to transform their operations. This is driving growth in demand for cleaner fuels and their delivery logistics. As a result, we are seeing significant interest in M&A activity in the fuel distribution and logistics segment. Superior, […]
Sugar rush to candy crush: Struggling U.S. natural gas prices
Henry Hub gas prices averaged $6.45 per MMBtu in 2022 rising from $3.89 in 2021, driven by increased demand from Europe and the gradual re-opening of China. Prices have since fallen 62% to average $2.46 in 2023. The global LNG sugar rush resulted in LNG prices to rise to over $32 per MMBtu in 2022 […]
New growth opportunities in compressor markets
Compressors are used in a wide range of applications in the oil and gas, energy, and petrochemical industries. The growing hydrogen, carbon capture, biofuels, and other energy transition markets present new opportunities for compressor companies. Many of these industries are being built from the ground up, offering years of growth for compressors and related equipment […]
NGL frac: Is it worth the worry?
For roughly two years, NGL fractionation capacity utilization rates have been over 90%. Roughly 820,000 barrels per day (bpd) of new fractionation capacity is coming online in the next two years. Will this amount be enough to relieve the constraints in the Mont Belvieu-Texas Gulf Coast? What other options are available? This blog will cover […]
Potential unleashed: More gas pipeline takeaway capacity in Haynesville
The Haynesville Basin is set to see three new pipeline projects in 2023. Two of them will be to enhance the capacity of preexisting pipelines, while the other one will be an entirely new pipeline. If everything goes as anticipated, these three projects will cumulatively increase the play’s gas takeaway capacity by 2.35 billion cubic […]
2023 Midstream Outlook: Reaching new limits
The oil & gas midstream industry faced multiple challenges in 2022: an increase in demand for American LNG from Europe, growing emissions and ESG pressures, volatile margins and markets, and rising gas and oil production. In 2023, we expect similar challenges and dynamics that will test midstream markets again. Some of these challenges and dynamics […]
Strength in numbers: Increasing the Permian’s gas takeaway capacity
The Permian Basin is set to see five new pipeline projects in the coming next year. Three projects will expand existing pipelines’ capacity, while the other two involve the construction of new pipelines. If everything goes according to plan, these five new pipelines will collectively add 4.18 billion cubic feet per day (Bcf/d) to the […]