Monday, May 11, 2026

Jump to Today

Next Day

The Afternoon Take

Energy Market Briefing

Listen

0:00 / 1:13

☀️Morning Wire7:00 AM CST

The Morning Take

Energy Market Briefing

Read Analysis →

Oil Prices

Oil Prices Surge Past $98 Amid Geopolitical Tensions

Oil prices rallied sharply in morning trading, with West Texas Intermediate (WTI) crude topping $98 per barrel. The front-month WTI contract was at $98.01, a gain of $2.59 or 2.71%, according to live price data. The global benchmark Brent crude rose to $103.98, up $2.69. The price surge is largely attributed to renewed geopolitical instability. According to a Rigzone report from May 8, markets remained volatile amid fresh clashes in the Gulf and uncertainty over Iran's response to a US peace proposal. This ongoing tension continues to inject a risk premium into crude markets, supporting prices. For Bakken producers, the higher WTI price directly boosts the value of their crude. The Bakken differential, the discount at which Bakken crude trades compared to WTI, was recorded at -$3.42. This implies a Bakken wellhead price of approximately $94.59 per barrel based on the current WTI price. The stronger outright price environment improves...

☀️Morning Wire·May 11

Rig Report

North Dakota Rig Count Holds at 23 Amid National Uptick, State EOR Push

North Dakota's active drilling rig count remained unchanged at 23 on Monday, May 11, 2026, according to Bakken Wire live data. No rigs were added, removed, or moved location since the previous day. The count has now held steady at 23 rigs for the past week, matching the level reported on May 4. Compared to a month ago, the state's active fleet is down by one rig from the 24 reported on April 11. This period of relative stability in drilling activity comes as state leaders launch a major new initiative aimed at the future of Bakken production. According to Bing News, North Dakota leaders recently unveiled an enhanced oil recovery (EOR) plan targeting the Bakken formation. A separate report from the same source detailed that the initiative involves a $157 million push, with the U.S. Department of Energy providing $36 million in funding. The goal of the program is...

☀️Morning Wire·May 11

Daily Activity

No New Bakken Permits Filed Monday

North Dakota's oil and gas regulators reported no new permit applications for drilling or completing wells in the Bakken on Monday, May 11, a common occurrence following a weekend and ahead of the Memorial Day holiday period. The state's Department of Mineral Resources (DMR) did not process any new Applications for Permit to Drill (APDs), confidential well status reports, or sundry notices in its daily activity report for Monday. The agency also reported no new well completions. A lack of new filings on a Monday is not unusual, as the DMR's daily report typically captures paperwork submitted during the previous business day. Weekend submissions are minimal, and activity often slows in the days leading up to a major holiday like Memorial Day. The DMR's daily report is a key metric for operators, royalty owners tracking regulatory activity in the Williston Basin. While Monday showed no new activity, permit filings can...

☀️Morning Wire·May 11

Operator News

Devon Energy and Coterra Energy Complete $58 Billion Merger

Devon Energy Corporation and Coterra Energy Inc. have completed their $58 billion merger, according to a statement from Devon. The announcement, posted on Devon's website, was reported by Rigzone on May 8, 2026. The completion solidifies the creation of one of the largest independent exploration and production companies in the United States. Both companies hold substantial assets in North Dakota's Bakken formation, a cornerstone of U.S. oil production. For the Bakken region, the merger represents a significant consolidation of operational control and acreage. Large-scale mergers often lead to streamlined operations, combined technical expertise, and increased capital allocation power. The new entity is expected to be a dominant force in the Williston Basin. Such consolidations can influence local drilling strategies, midstream contracts, and employment within the basin. The combined company's approach to managing its Bakken portfolio will be closely watched by service companies, mineral owners, and state regulators. The deal's completion...

☀️Morning Wire·May 11

Global Markets

Global Geopolitical Tensions Inject Risk Premium into Oil Markets

Geopolitical tensions are re-emerging as a key driver in global oil markets, with two developments this week adding a supply risk premium that could benefit Bakken producers. According to Rigzone, oil traders are adding back this premium after U.S. President Donald Trump rejected Iran's peace response, as noted by Naeem Aslam, CIO at Zaye Capital Markets. Separately, Rigzone reported that Ukraine said it struck two major fuel-producing facilities and an oil pumping station in Russia. This attack on refining infrastructure, reported on May 8, contributes to concerns about global supply stability and potential disruptions. For operators in the North Dakota Bakken formation, these events underscore the market's sensitivity to geopolitical risk. The "risk premium" is a price component added by traders when future supply appears uncertain due to political or military events. An increase in this premium typically provides upward support to crude oil benchmarks, including West Texas Intermediate (WTI),...

☀️Morning Wire·May 11

Global Markets

Morgan Stanley Warns Oil Buffers Could Deplete Before Hormuz Reopening

Global oil market buffers that have prevented prices from soaring could run out before the Strait of Hormuz reopens, putting the market in a "race against time," according to Morgan Stanley. Reduced crude imports into China and soaring U.S. exports have so far partly offset the massive supply disruption from the chokepoint's closure, the investment bank said. However, Morgan Stanley analysts warned that if the Strait remains closed through the end of June, these buffers will be exhausted, potentially causing Brent Crude prices to spike. The bank stated that a reopening in June, with U.S. and Chinese buffers still partly intact, is its base case. If the closure runs into late June or July, "Brent flat price has to do work it has so far been able to avoid." Despite the warning, Morgan Stanley kept its price forecasts unchanged, expecting physical Dated Brent to average $110 per barrel in Q2...

☀️Morning Wire·May 11

Operator News

Global Oil News Roundup: Hormuz Tensions, Aramco Profits, Equinor Gas

Geolocation data for ships in the Persian Gulf showed erratic signals, indicating increased signal interference following fresh attacks by Iran on neighboring countries, according to Rigzone. Such escalating tensions in the Strait of Hormuz, a critical global oil chokepoint, typically introduce volatility and risk premiums into global crude markets. Separately, Saudi Aramco reported a net income of $33.59 billion for the first quarter, adjusted for nonrecurring items, Rigzone reported. The result was higher than the prior quarter and Q1 2025, driven by higher oil prices and largely stable production. Strong earnings from major international producers underscore the continued global demand supporting current price levels. In other operator news, Equinor has started gas production at its Eirin field in the Norwegian North Sea, according to Rigzone. The field supports Norway's capacity to export natural gas to Europe. For Bakken operators and royalty owners, these developments highlight the interconnected nature of the...

☀️Morning Wire·May 11

Pipeline & Infrastructure

Global Energy, Geopolitical Headlines Frame Bakken Context

The head of the International Energy Agency has called on Canada to accelerate the development and export of its energy resources, according to a report from Rigzone. The statement, made on May 9, highlights ongoing international pressure to bring more supply to global markets. For Bakken operators, a faster pace of Canadian energy development could influence midstream dynamics and competition for market access in North America. Separately, geopolitical tensions involving Iran continue to create market uncertainty. Rigzone reported on May 8 that Iran had still given no indication whether it would accept a U.S. peace proposal, following a deadline issued by the Trump administration. While not directly involving North Dakota, prolonged instability in the Middle East typically supports firmer global crude oil prices, which can benefit Bakken producers. These developments arrive as the Bakken formation continues as a cornerstone of U.S. onshore oil production. The region's output is sensitive to...

☀️Morning Wire·May 11

🔆Midday Wire11:00 AM CST

The Midday Take

Energy Market Briefing

Read Analysis →

Listen

0:00 / 1:24

Oil Prices

Oil Jumps Above $98 as Mideast Tensions Flare

Oil prices surged sharply higher on Monday, with U.S. benchmark West Texas Intermediate (WTI) crude crossing the $98 per barrel threshold. The rally was triggered by heightened geopolitical risk after U.S. President Donald Trump rejected Iran's response to a U.S. peace proposal, dashing hopes for a swift end to Middle East conflicts. As of midday Monday, May 11, WTI crude was trading at $98.01 per barrel, a gain of $2.59 or 2.71% for the session. The global benchmark Brent crude was at $104.06, up $2.77 or 2.73%. According to live price data, the Bakken crude differential narrowed to -$3.42 per barrel versus WTI. The price spike follows President Trump's public rejection of Iran's demands, which included recognition of sovereignty over the Strait of Hormuz, war reparations, and the lifting of all U.S. sanctions. "I don't like it – totally unacceptable," Trump stated in a Truth Social post, as reported by...

🔆Midday Wire·May 11

Regulatory

Federal Funding, Global Demand Highlighted in Monday Energy News

North Dakota is receiving $36 million in federal money for enhanced oil recovery projects, according to a report from Bing News. The funding was announced by Senator John Hoeven, who stated the investment will lead to more oil production in the state. Enhanced oil recovery techniques, such as carbon capture and storage or advanced injection methods, can increase output from existing wells in formations like the Bakken. Separately, Texas oil regulator Wayne Christian praised record port activity and rising output in his state, Rigzone reported. Christian cited the conflict in Iran as a reminder of the world's reliance on Texas oil and gas. While specific to Texas, this commentary underscores the continued global demand for U.S. energy production. For Bakken operators, the federal funding represents a potential boost for projects aimed at extending the life and productivity of mature fields. Such investments can improve economics for operators and royalty owners...

🔆Midday Wire·May 11

Global Markets

Global Jet Fuel Crisis, Oil Price Risk Premium Pressure Airlines, Impact Bakken Demand

A deepening global jet fuel shortage and renewed oil supply risk premiums are tightening the aviation fuel market, presenting a complex demand picture for Bakken crude producers. The pressures are highlighted by a significant drop in passenger traffic at a major European hub and the collapse of a U.S. airline. According to OilPrice.com, passenger numbers at London's Heathrow Airport fell 5% in April to 6.7 million, with traffic to the Middle East down 50% due to the ongoing regional conflict. While transfer traffic rose 10%, airline executives are expressing severe concerns. Tony Fernandes, CEO of Air Asia, stated last week, "I thought I’d seen it all with Covid … but having seen jet fuel go up almost three times — this is much worse." The report notes jet fuel supplies have hit record lows as the war blocks crucial shipping lanes. The strain has reached the U.S. market, with OilPrice.com...

🔆Midday Wire·May 11

Global Markets

Global Volatility Boosts Majors' Trading; ND Launches $157M Recovery Push

BP, Shell, and TotalEnergies earned between $3.3 billion and $4.75 billion more in first-quarter 2025 trading compared to the fourth quarter of 2025, according to a report by OilPrice.com citing Financial Times estimates. The surge was driven by extreme market volatility from the war in Iran. The European majors outperformed U.S. rivals Chevron and ExxonMobil in trading, with the American firms more directly exposed to production losses in the Middle East, OilPrice.com reported. All three European companies posted "exceptional" trading results: BP more than doubled profits year-over-year, TotalEnergies raised its interim dividend by 6%, and Shell beat consensus estimates. Separately, North Dakota has launched a $157 million initiative aimed at improving Bakken oil recovery, according to Bing News. The Department of Energy is providing $36 million toward the effort. State officials aim to double output recovery rates from the formation. In drilling activity, North America added two rigs week-on-week, according...

🔆Midday Wire·May 11

Operator News

Global Operator Roundup: Enbridge Profit Beats, Perenco Drills, Iberdrola Invests

Enbridge Inc. reported quarterly profits that exceeded analyst estimates, according to Rigzone. The company's higher earnings from its natural gas operations partially offset a decline in its liquids pipelines segment. As a major midstream player with significant assets in North America, Enbridge's financial health is a key indicator for the infrastructure that serves crude oil and natural gas producers, including those in the Bakken. Separately, Perenco has raised its oil production capacity in Congo-Brazzaville, Rigzone reported. The increase follows positive results from the Tchibouela East campaign. Perenco Congo has now started a new five-well drilling campaign on the Masseko field, designed to increase production and test a new geological horizon. This type of targeted drilling campaign to boost output from existing fields mirrors common operational strategies employed by Bakken operators seeking to maximize recovery. In a major international investment announcement, Spanish utility Iberdrola plans to invest $10 billion in Brazil...

🔆Midday Wire·May 11

Pipeline & Infrastructure

Global Tensions, Profits Rise as Bakken Looks On

Geolocation data for some ships in the Persian Gulf showed erratic signals Monday, indicating increased interference amid escalating regional tensions. According to Rigzone, the illogical locations and speeds followed fresh attacks by Iran on neighboring countries, highlighting risks to a critical global oil transit chokepoint. For Bakken producers, instability in the Middle East typically supports global crude benchmarks, which can improve the economics for North Dakota's light sweet oil. Separately, Saudi Aramco reported a rise in first-quarter profit, demonstrating resilience amid the crisis. Rigzone reported the state oil giant's adjusted net income reached $33.59 billion, up from both the prior quarter and Q1 2025. The increase was attributed to higher oil prices and largely stable production. Strong financial results from major international producers like Aramco can influence global investment sentiment and capital flows into the energy sector, including U.S. shale plays like the Bakken. In other pipeline and global supply...

🔆Midday Wire·May 11

Production Data

Oil Price Rally Meets Stagnant Rig Count in North Dakota

North Dakota's oil industry faces a familiar dynamic as strong crude prices clash with a persistently low rig count, suggesting near-term Bakken production will remain stable at best. West Texas Intermediate crude traded at $98.01 per barrel on Monday, a gain of $2.59, while the Bakken's differential to the benchmark held at a competitive -$3.42, according to live Bakken Wire data. Despite the favorable pricing environment, the number of active drilling rigs in the state was reported at just 23. Historically, the rig count is a leading indicator of future oil production, with a lag of several months between new drilling and sustained output from completed wells. The current count of 23 rigs is far below the boom-era levels that once exceeded 200 and remains in a range that has typically supported a production plateau. This indicates operators are maintaining capital discipline, focusing on completing drilled but uncompleted wells (DUCs)...

🔆Midday Wire·May 11

Workforce & Community

Bakken Rig Count Holds at 23 as Oil Prices Surge Past $98

The active drilling rig count in North Dakota held steady at 23 on Monday, May 11, 2026, as global oil prices surged, providing a strong revenue backdrop for Bakken shale operators. West Texas Intermediate (WTI) crude settled at $98.01 per barrel, a gain of $2.59, while the international Brent benchmark rose to $104.06. The current rig level, a key indicator of future oil production and employment, remains significantly below the boom-era peaks but reflects a stabilized pace of activity. The high price environment, with Bakken crude priced at a $3.42 discount to WTI, supports drilling economics but has not yet triggered a sharp increase in new well permits or rig mobilization. For Bakken workforce and communities, this dynamic suggests a period of consistency rather than rapid expansion. Direct oilfield employment, including drilling, completion, and production crews, is closely tied to the rig count. A stable count near two dozen rigs...

🔆Midday Wire·May 11

🌅Afternoon Wire4:00 PM CST

Oil Prices

Oil Prices Surge Over 3% Amid Supply Concerns, Narrow Bakken Differential

Oil prices rallied sharply on Monday, with both major benchmarks climbing more than 3% amid tightening global supply signals. West Texas Intermediate (WTI) crude for June delivery settled at $98.38 per barrel, a gain of $2.96 or 3.1%. The international benchmark Brent crude rose $3.05 to $104.34 per barrel, according to live price data. The price surge provided a direct boost to Bakken crude prices. The Bakken differential, representing the discount at which Bakken crude trades compared to WTI at the Cushing, Oklahoma hub, narrowed to -$3.42 per barrel. This means Bakken crude was priced at approximately $94.96 per barrel. A narrower discount improves netback prices for producers in the Williston Basin. Natural gas prices also saw a notable increase, rising $0.17 to settle at $2.93 per MMBtu. Market analysts pointed to ongoing geopolitical tensions and supply discipline from major producers as key drivers. While not explicitly detailed in today's...

🌅Afternoon Wire·May 11

Rig Report

North Dakota Rig Count Falls to 21 as Two Rigs Go Down

The number of active drilling rigs in North Dakota fell to 21 on Monday, May 11, down by two from the previous day, according to live rig data from Bakken Wire. No new rigs were added, while two were released and one rig changed location. Two rigs were released from service in Mountrail County. EOG Resources released the H & P 259 rig from location 158-91-34, and Slawson Exploration Company released the T&S Drilling 2 rig from location 157-91-16. The sole rig move recorded was by Hess Bakken Investments II, which moved the Nabors x24 rig to a new location in McKenzie County (152-95-11). The current count of 21 rigs represents a decline from recent activity levels. One week ago, on May 4, 2026, North Dakota reported 23 active rigs. The count is also down by three from the 24 rigs active one month ago on April 11, 2026. The...

🌅Afternoon Wire·May 11

Pipeline & Infrastructure

Judge to Vacate $28M DAPL Protest Judgment as Settlement Finalized

A federal judge has indicated he will vacate a nearly $28 million judgment against the U.S. government, clearing the way for North Dakota to finalize a settlement over costs incurred during the Dakota Access Pipeline protests. According to Bing News, U.S. District Court Judge Daniel Traynor signaled his intent during a hearing on Friday, May 8, 2026. The move allows the state and federal government to conclude a lawsuit filed by North Dakota in 2019. The state argued that the federal government allowed protesters to camp on federal land near the Standing Rock Sioux Reservation in 2016 and 2017, leading to millions spent on law enforcement and cleanup. Judge Traynor had ruled in favor of North Dakota in April 2025, ordering the federal government to pay $28 million. Attorneys for both parties stated during Friday's hearing that North Dakota is still expected to receive a payment, though the final settlement...

🌅Afternoon Wire·May 11

Regulatory

Federal DAPL Protest Settlement Near as ND Receives $36M for EOR

A federal judge signaled Friday that he will vacate a nearly $28 million judgment against the federal government related to Dakota Access Pipeline protest costs, allowing North Dakota and the federal government to finalize a settlement agreement, according to Bing News. U.S. District Judge Daniel Traynor ruled in April 2025 that the federal government must pay $28 million for allowing protesters to camp on federal land during the 2016-2017 demonstrations near the Standing Rock Sioux Reservation. The state argued this led to millions spent on law enforcement and cleanup. During a hearing Friday, attorneys for both parties indicated North Dakota is still expected to receive a payment, though the amount is undisclosed. The Department of Justice seeks to have the rulings vacated as part of the settlement to avoid the legal findings influencing future cases, Bing News reported. Separately, North Dakota is receiving a $36 million federal investment for enhanced...

🌅Afternoon Wire·May 11

Global Markets

Geopolitical Tensions, Upcoming Summit Inject Risk Premium into Oil

Oil traders are adding a risk premium back into crude prices following U.S. President Donald Trump's rejection of Iran's peace response, according to a report from Rigzone. The move refocuses market attention on potential supply disruptions, a factor that can provide underlying support for benchmark oil prices. Simultaneously, China has confirmed a summit between President Xi Jinping and President Trump, Rigzone separately reported. The much-anticipated meeting, which has been rescheduled once due to ongoing global conflict, is set to occur after Trump's last visit to China in 2017. For Bakken operators in North Dakota, these intertwined geopolitical developments create a complex price environment. The reintroduction of a supply risk premium, as noted by market analysts, typically lends support to global benchmarks like West Texas Intermediate (WTI). Bakken crude prices are closely tied to these benchmarks, meaning any sustained price increase can improve cash flow and margins for producers in the...

🌅Afternoon Wire·May 11

Global Markets

Global Tensions, Transition Economics Shape Energy Landscape

The high-stakes U.S.-Iran conflict continues to underpin global oil market volatility, with a confidential CIA report assessing Iran can endure the current U.S. naval blockade for 90 to 120 days before facing economic collapse, according to OilPrice.com. The report, relayed last week, notes the U.S. continues to benefit from dramatically increased oil production and prices. While peace talks are stalled—with both sides rejecting recent proposals—the basis of the U.S. position remains close to a tougher version of the original Obama-era nuclear deal, a Washington-based legal source told OilPrice.com. A key demand has shifted to Iran halting all uranium enrichment for 12-15 years and handing over its existing stockpile. In energy technology, Small Modular Reactors (SMRs) are facing significant economic, not technological, hurdles, OilPrice.com reports. The UK's first SMR unit is not expected to be ready for testing until around 2030–2032, with commercial deployment potentially a decade later. The analysis argues...

🌅Afternoon Wire·May 11

Operator News

Oil Prices Climb on Strait of Hormuz Fears, Enbridge Beats Estimates

Oil prices climbed sharply on Monday as fears grew that the Iran ceasefire could collapse, potentially prolonging disruptions to shipping through the critical Strait of Hormuz, according to Rigzone. The development introduces fresh volatility and supply concerns into global markets. For Bakken operators and royalty owners, higher crude prices directly improve wellhead economics and cash flow, providing potential support for drilling and completion activity in North Dakota. However, the price move is driven by geopolitical instability, a factor largely outside of local operators' control. In midstream news, Enbridge Inc. reported quarterly profit that beat analyst estimates, Rigzone reported. The company's higher earnings from its natural gas operations partially offset a decline in its liquids pipelines segment. Enbridge is a major transporter of Bakken crude oil and natural gas, and its financial health is a key indicator of the basin's infrastructure stability and capacity. Separately, international operator Perenco announced it has...

🌅Afternoon Wire·May 11

Pipeline & Infrastructure

** Iberdrola to Invest $10 Billion in Brazil Through 2030

BODY: Spanish energy giant Iberdrola will invest approximately 50 billion reais ($10.2 billion) in Brazil between now and 2030 according to a company announcement Monday. The significant capital infusion, reported by Rigzone, marks a substantial acceleration in the company's commitment to the Brazilian market. The planned investment nearly doubles the 27.5 billion reais the company invested in the country over the preceding five-year period. The funds are earmarked for a new phase of growth centered on the expansion, modernization, and digitalization of electricity transmission and distribution networks. This strategic pivot follows Iberdrola's completion of a major renewable energy build-out in Brazil, which saw the company become one of the nation's largest private renewable energy producers. In parallel industry developments, regional tensions are impacting maritime logistics. Geolocation data for vessels in the Persian Gulf showed erratic signals and speeds that defied normal logic Monday, Rigzone separately reported. The anomalous data, attributed...

🌅Afternoon Wire·May 11