Tuesday, May 19, 2026

Jump to Today

Next Day

The Afternoon Take

Energy Market Briefing

Listen

0:00 / 1:21

☀️Morning Wire7:00 AM CST

The Morning Take

Energy Market Briefing

Read Analysis →

Listen

0:00 / 1:33

Oil Prices

Oil Prices Dip Amid Global Supply Disruptions; Bakken Differential at -$3.42

Front-month WTI crude traded at $103.72 per barrel on Tuesday, down $0.66 (-0.63%), while Brent crude fell $1.26 (-1.12%) to $110.84. North Dakota Bakken crude was priced at a $3.42 discount to the WTI benchmark. Natural gas bucked the trend, rising $0.04 to $3.06 per MMBtu. The price pressure comes as global supply disruptions from the ongoing Middle East crisis continue to ripple through major economies. According to OilPrice.com, Indian state oil marketing companies raised road transport fuel prices for the second time in less than a week on May 19, while major airlines asked for a postponement of a proposed 25% hike in domestic jet fuel prices. The crisis has cut off over 40% of India’s crude oil flows that passed through the Strait of Hormuz. In other global market news, a Nigerian industry official warned that the United Arab Emirates' exit from OPEC effective May 1 is dislocating...

☀️Morning Wire·May 19

Rig Report

North Dakota Rig Count Holds at 22

North Dakota's active drilling rig count held steady at 22 on Tuesday, May 19, according to Bakken Wire's live rig data. The count showed no movement from the previous day, with no new rigs added, removed, or relocated. The current level matches the count from exactly one month ago, on April 19, 2026. However, activity is down by one rig compared to one week ago, when the state reported 23 active rigs on May 12. The stability at 22 rigs suggests a continued, measured pace of drilling operations in the Bakken formation. While North Dakota's activity was flat, broader North American drilling saw a modest increase last week. According to a report from Rigzone citing Baker Hughes data, North America added three rigs week-on-week as of May 18. This indicates that, despite the slight recent dip in North Dakota, overall drilling activity on the continent experienced a small uptick. The...

☀️Morning Wire·May 19

Daily Activity

Hunt Oil Leads Daily Permits with Five New Mountrail Wells

The North Dakota Department of Mineral Resources approved five new drilling permits and renewed seven existing permits in filings dated Monday, May 18, 2026, according to the DMR Daily Activity Report. All new permits were filed by Hunt Oil Company for wells in Mountrail County. Hunt Oil Company's five approved permits are for wells in the Parshall field. The permits include the Oakland 154-89-33-28H- 1, 2, and 3 wells, and the Severance 153-89-4-9H- 3 and 4 wells, all located at LOT 4 in Mountrail County, according to the report. This concentrated activity signals continued development in a core area of the Bakken formation. Seven permits were renewed by two operators. Lime Rock Resources III-A, L.P. renewed three permits in Dunn County. These include the Robert Sadowski 8-2-35H-142-96 and 9-2-35H-142-96 wells in the Manning field, and the Harlan Rebsom 2-2-11H-143-95L well in the Murphy Creek field, which is noted as a...

☀️Morning Wire·May 19

Pipeline & Infrastructure

Canada-Alberta Deal Clears Path for 2027 Oil Pipeline Start

A carbon pricing agreement between the Canadian federal government and the province of Alberta has cleared a major obstacle to building a new oil pipeline, with construction now possible starting in 2027, according to Rigzone. The deal, reported on May 18, 2026, specifically opens the way for pipeline construction to begin as early as next year. While the specific pipeline project was not named in the summary, any new major pipeline originating in Western Canada would represent significant new infrastructure for moving North American crude to market. For Bakken operators in North Dakota, new pipeline capacity to the north could offer a future alternative export route. The Bakken formation is a major oil-producing region that often relies on a combination of pipelines, rail, and trucking to move crude to refineries and ports. Increased pipeline capacity in the region can help reduce transportation costs and improve netbacks for producers. The development...

☀️Morning Wire·May 19

Global Markets

Global Fuel Scramble, Security Deals Highlight Tight Market for Bakken Crude

Australia has secured three emergency shipments of jet fuel from China, totaling more than 600,000 barrels, as it grapples with a global fuel crunch and a refinery fire, according to a report from OilPrice.com. The country's top officials announced the deal on Tuesday, May 19, noting they are working to secure more shipments to keep aircraft flying. The move highlights persistent global tightness in refined product markets, a factor that supports steady demand for light, sweet crude oil like that produced in North Dakota's Bakken formation. Australia's crisis worsened after a fire broke out at Viva Energy’s Corio oil refinery in Geelong in mid-April, with some units not expected to restart until June. Despite being a major LNG producer, Australia relies heavily on fuel imports. Separately, the UAE and India have agreed to expand their energy supply partnership, Rigzone reported. Abu Dhabi National Oil Company (ADNOC) signed agreements with India's...

☀️Morning Wire·May 19

Global Markets

Global Oil Security Concerns Deepen Amid Hormuz Closure

The prime ministers of Japan and South Korea have agreed to boost oil supply cooperation, involving joint storage, according to a report from Nikkei cited by OilPrice.com. The two leaders are meeting in South Korea to discuss financial and technical details of the system. Both nations are heavily dependent on oil and gas imports from the Persian Gulf and have been severely affected by the closure of the Strait of Hormuz, OilPrice.com reported. Resource-poor Japan relies on the Middle East for as much as 95% of its crude oil feedstocks. South Korea, similarly import-dependent, had to set a ceiling on fuel prices in March for the first time in three decades to stabilize its market. The two countries are actively seeking supply replacement. South Korean officials visited Oman, Kazakhstan, and Saudi Arabia last month in a bid to secure crude that does not need to pass through Hormuz, according to...

☀️Morning Wire·May 19

Operator News

Geopolitical Tensions, Venezuela Regs Shape Oil Market Outlook

Oil markets are facing a mix of geopolitical and regulatory developments that could influence global supply and prices, factors closely watched by Bakken operators. U.S. President Donald Trump announced a delay in a planned strike, citing discussions with Iran, according to Rigzone. "I put it off for a little while, hopefully maybe forever, but possibly for a little while, because we've had very big discussions with Iran," the president said on Tuesday, May 19. This development follows a rise in oil prices on Monday, May 18, which Rigzone reported was driven by renewed doubts over Iran peace talks. While the immediate strike threat is paused, the underlying tensions contribute to a volatile geopolitical risk premium in crude markets. For Bakken producers, such uncertainty can support price floors but also complicates long-term planning for exports and investment. Separately, the Venezuelan government is circulating a draft of regulations under its newly enacted...

☀️Morning Wire·May 19

Pipeline & Infrastructure

U.S. Upstream M&A Hits $38 Billion in First Quarter of 2026

U.S. upstream mergers and acquisitions reached $38 billion in value during the first quarter of 2026, according to a report from Enverus Intelligence Research cited by Rigzone. The firm noted that this period of significant activity was followed by a "pause" in the market due to volatility. While the report did not specify Bakken-specific transactions within that total, such large-scale industry consolidation reflects the ongoing rationalization of assets across major shale plays. For the Bakken formation in North Dakota, a high level of M&A activity typically signals strong operator interest in consolidating positions and acquiring high-quality drilling inventory. Sustained deal flow can influence asset valuations across the Williston Basin, potentially benefiting companies looking to divest non-core holdings and royalty owners in areas targeted for development. The reported pause suggests companies may be reassessing deals in light of shifting commodity prices or regulatory outlooks. The Bakken remains a core strategic asset...

☀️Morning Wire·May 19

🔆Midday Wire11:00 AM CST

The Midday Take

Energy Market Briefing

Read Analysis →

Listen

0:00 / 2:18

Oil Prices

Oil Prices Dip, Gas Rises Ahead of Memorial Day Demand

Front-month WTI crude oil futures traded at $103.89 per barrel at midday Tuesday, down 49 cents or 0.47 percent, according to live price data. The global benchmark Brent crude saw a steeper decline, falling $1.16 to $110.94 per barrel, a drop of 1.03 percent. North Dakota Bakken crude traded at a discount of $3.42 per barrel to WTI. In contrast, natural gas prices gained ground, rising 5 cents to $3.08 per million British thermal units. The price movements come amid mixed signals for fuel demand. Travel data firm GasBuddy issued a warning that the next U.S. gasoline price spike "could arrive just before Memorial Day," according to a Rigzone report published Tuesday. The Memorial Day weekend, which falls on May 25 this year, traditionally marks the start of the summer driving season in the United States, often boosting demand for refined products like gasoline and jet fuel. Internationally, the Australian...

🔆Midday Wire·May 19

Regulatory

Senate Confirms New BLM Director

The U.S. Senate has confirmed the nomination of a new director for the Bureau of Land Management, according to a report from Rigzone. The vote concluded with 46 senators voting in favor and 43 against, as shown on the official senate.gov website. The BLM oversees millions of acres of federal mineral estate, including subsurface rights within the Williston Basin. Federal lands and minerals are interspersed throughout North Dakota's oil country, making the agency a key player in the permitting process for drilling and production. A change in BLM leadership often signals potential shifts in regulatory focus and the pace of permit reviews. For Bakken operators with federal leases, the director's approach can directly impact project timelines and development plans on federal parcels. The confirmation comes as the industry maintains steady activity in the region. While the specific policy direction of the new director was not detailed in the initial vote...

🔆Midday Wire·May 19

Global Markets

Putin-Xi Summit, Iran Talks Reshape Global Oil Flows

Russian President Vladimir Putin arrived in Beijing on May 19 for a two-day state visit with Chinese leader Xi Jinping, a meeting set against a global energy crisis intensified by war in Iran. According to OilPrice.com, the visit, Putin's 25th to China, will focus on economic cooperation and "key international and regional issues" including the Iran conflict and future energy deals. The Kremlin said the leaders plan to sign a declaration on building a "multipolar world." The ongoing war in Iran and the closure of the Strait of Hormuz, which has disrupted roughly one-fifth of global oil supplies, is central to the discussions. OilPrice.com reported that China has bought over $367 billion worth of Russian fossil fuels since the start of the Iran war, reinforcing Beijing's drive for secure overland pipeline alternatives like the proposed Power of Siberia-2. This deepening energy partnership between the world's top oil importer and a...

🔆Midday Wire·May 19

Global Markets

Global Oil Steady Near $110; US SPR Drawdowns Hit Record; India Curtails Renewables

Oil prices held near $110 per barrel on Tuesday as geopolitical tensions showed slight signs of easing, according to reports. The ICE Brent benchmark trended around that level after U.S. President Trump indicated he would 'hold off' on a planned military attack against Iran. Concurrently, the Trump administration extended a 30-day sanctions waiver allowing certain countries to purchase Russian crude and products risk-free, according to OilPrice.com. A historic drawdown from the U.S. Strategic Petroleum Reserve (SPR) is propelling record volumes of American crude onto global markets. A record 9.9 million barrels were drawn from the SPR last week, lowering total inventories to 374 million barrels, their lowest since July 2024. The pace of drawdowns last week marked an all-time high, supplying more than 1.4 million barrels per day into the market. With roughly 40% of released SPR barrels being exported, May U.S. oil exports could surpass the 5.5 million b/d...

🔆Midday Wire·May 19

Operator News

NATO Eyes Hormuz Mission as Dominion Merges, OMV Starts Gas Field

NATO is beginning to consider a mission in the Strait of Hormuz, according to a report from Rigzone published Tuesday. Such a move would represent a shift in the military alliance's strategy toward the U.S.-Israeli war in Iran, Rigzone reported. The Strait of Hormuz is a critical shipping lane for global oil exports, and any military activity there could impact international crude supply and pricing, factors that directly influence the economics for Bakken shale producers. In a major utility merger announcement, Dominion Energy has agreed to merge into NextEra Energy, Rigzone reported Tuesday. The New York-listed companies said the all-stock merger would create the world's biggest regulated power utility by capitalization. While not an oil and gas producer, the consolidation of major energy infrastructure and utility companies can reflect broader trends in the energy sector's capital and strategic focus. European energy company OMV has started production at a major natural...

🔆Midday Wire·May 19

Pipeline & Infrastructure

Global Pipeline, Security Developments Unfold as Bakken Watches Markets

Global pipeline and geopolitical developments unfolding this week could have downstream effects on the oil market environment for Bakken producers, according to wire service reports. In the Middle East, analysts are examining whether regional oil producers can meaningfully bypass the Strait of Hormuz, a critical chokepoint for global seaborne crude exports. Rigzone reported on the issue, speaking with Chris Newton of the International Crisis Group and Dalia Salem of Wood Mackenzie. Any significant disruption or rerouting of flows through the strait impacts global supply chains and benchmark oil prices, which directly affect the economics of Bakken shale production. Separately, U.S. President Donald Trump stated he delayed a planned strike after discussions with Iran, according to a Rigzone report. "I put it off for a little while, hopefully maybe forever, but possibly for a little while, because we've had very big discussions with Iran," the president was quoted as saying. Escalation...

🔆Midday Wire·May 19

Production Data

Bakken Rig Count Holds at 22 Amid High Oil Prices, Production Outlook Steady

North Dakota's oil and gas industry maintained 22 active drilling rigs on Tuesday, a level signaling continued capital discipline by operators despite crude oil prices holding above $100 per barrel. According to live Bakken data, West Texas Intermediate (WTI) crude was trading at $103.89, with the Bakken crude differential at a discount of $3.42 per barrel. The current rig count, while stable, remains far below the historical peaks seen during previous boom cycles. Historically, the rig count is a leading indicator for future production, as new wells must be drilled to offset the steep decline rates typical of Bakken shale wells. The sustained low number of active rigs suggests that near-term production growth in the state is likely to be modest, with operators prioritizing free cash flow and shareholder returns over aggressive expansion. The price environment remains supportive for drilling activity. Brent crude, the international benchmark, was at $110.94. However,...

🔆Midday Wire·May 19

Workforce & Community

Bakken Rig Count at 22 as Oil Prices Hold Above $100

The North Dakota oil industry is operating with 22 active drilling rigs as of Tuesday, May 19, 2026, according to Bakken Wire live data. This level of activity, coupled with West Texas Intermediate crude holding above $103 per barrel, provides a baseline of economic support for workforce and communities in the Bakken region. The current rig count represents a stabilized operational level for the basin. Historically, the number of active rigs is a direct driver of employment in the oilfield services sector, impacting jobs for drillers, field technicians, and transportation crews. With prices sustained near current levels, operators are likely maintaining, but not aggressively expanding, their drilling programs. This moderate activity has downstream effects on local economies in western North Dakota. Community indicators such as housing demand and commercial vacancy rates often correlate with rig count trends. A stable count around 22 suggests a balanced pressure on housing markets compared...

🔆Midday Wire·May 19

🌅Afternoon Wire4:00 PM CST

Oil Prices

Oil Prices Dip Amid Geopolitical Tension, US Inventories Plunge

Oil prices edged lower Tuesday, with West Texas Intermediate (WTI) crude settling at $104.11 per barrel, down 0.26% on the day, according to live market data. Brent crude closed at $111.04, a decline of 0.95%. The dip came amid volatile trade as the market weighed renewed geopolitical tensions after U.S. President Donald Trump paused plans to attack Iran, Rigzone reported. The price retreat occurred despite a massive drawdown in U.S. commercial crude inventories. The American Petroleum Institute (API) estimated a 9.1 million-barrel draw for the week ending May 15, far exceeding analyst expectations for a 3.4 million-barrel decline, according to OilPrice.com. This follows a 2.188 million-barrel draw the prior week. However, total U.S. crude inventories remain elevated, having risen by 26 million barrels so far this year, API data shows. In a parallel move, the U.S. Strategic Petroleum Reserve (SPR) saw a historic single-week drawdown of 9.9 million barrels, bringing...

🌅Afternoon Wire·May 19

Rig Report

Bakken Rig Count Holds at 21 as XTO Energy Removes One Drilling Unit

The number of active drilling rigs in North Dakota's oil fields held steady at 21 on Tuesday, according to live data from Bakken Wire. The count was unchanged from the prior day's total, though one rig was taken offline. The sole rig removed from the count was an XTO Energy Inc. unit operating in Williams County. The H & P 429 rig was released from location 154-95-7, Bakken Wire data shows. No new rigs were added and no rigs were reported to have moved locations on Tuesday. The current fleet of 21 rigs represents a decline from recent activity levels. Compared to one week ago, on May 12, 2026, the active rig count is down by two, from 23. The count is also down by one rig from the total of 22 active one month ago, on April 19, 2026. The gradual easing in drilling activity comes as operators continue...

🌅Afternoon Wire·May 19

Regulatory

Senate Confirms New BLM Director

The U.S. Senate confirmed the nomination of a new director for the Bureau of Land Management on Tuesday, according to Rigzone. The vote concluded with 46 Yeas to 43 Nays, the senate.gov site showed. The BLM is a critical agency for oil and gas development in North Dakota, as it manages federal mineral rights underlying significant portions of the Bakken formation. The director oversees policies affecting leasing, permitting, and environmental regulations on these lands. For Bakken operators with federal acreage, a change in BLM leadership can signal shifts in regulatory priorities and administrative speed. The agency's approach to approving drilling permits and managing lease sales directly impacts development timelines and planning. The confirmation of a new director brings a degree of certainty after a period of acting leadership. Operators will now monitor for new policy directives or changes to existing resource management plans that govern development in Western North Dakota....

🌅Afternoon Wire·May 19

Global Markets

Global Energy Deals Shift Trade Flows, Impacting Bakken Market Dynamics

Major energy agreements announced Tuesday highlight shifts in global oil and fuel trade that could influence the competitive landscape for Bakken crude exports. The developments involve key consumer and producer nations reshaping supply relationships. The United Arab Emirates and India have agreed to expand their energy supply partnership, according to Rigzone. The report states that UAE's ADNOC signed agreements with India's Strategic Petroleum Reserves Ltd. and Indian Oil Corporation Ltd. to support Indian energy security and pursue energy trading collaboration. India is a major growth market for global crude, and strengthened ties with Middle East producers could affect demand for other supplies, including U.S. grades like Bakken. Separately, China has agreed to supply Australia with more than 600,000 barrels of jet fuel, Rigzone reported. The Australian government secured three shipments and is pursuing negotiations with more neighboring countries for fuel supply. This refined product deal underscores the complex, interconnected nature...

🌅Afternoon Wire·May 19

Global Markets

U.S. LNG Exporters Seek EU Methane Rule Delay, Citing Deal Uncertainty

U.S. natural gas exporters are asking the European Union to delay enforcement of its methane emissions regulations until at least 2028, according to a report from OilPrice.com. The rules, which require imported gas to meet strict monitoring standards starting in 2027, are creating enough uncertainty to freeze long-term supply deals with European buyers. Charlie Riedl of the Natural Gas Supply Association stated that some U.S. companies have instructed commercial teams not to sign such contracts until there is more clarity. This request comes at a critical time for global LNG markets. Europe has leaned heavily on U.S. supplies since Russia's 2022 invasion of Ukraine, and the disruption of roughly one-fifth of global LNG flows due to the Middle East crisis has increased the continent's need for reliable cargoes. The European Commission has already softened parts of the methane policy, but exporters are now seeking a more substantial pause. Meanwhile, Europe's...

🌅Afternoon Wire·May 19

Operator News

DMR Marks 75th Oil Anniversary, NATO Eyes Hormuz, Dominion Merges

The North Dakota Department of Mineral Resources is marking the 75th anniversary of the discovery of oil in the state this week, according to Bing News. The milestone underscores the long history of hydrocarbon development that led to the modern Bakken boom. In international security news affecting global oil flows, NATO is starting to consider a mission in the Strait of Hormuz, Rigzone reported Tuesday. Such a move would represent a shift in the military alliance's strategy toward the U.S.-Israeli war in Iran. The Strait of Hormuz is a critical chokepoint for global seaborne oil trade, and military escalation in the region typically introduces volatility to world crude prices, which directly impact Bakken crude differentials. In a major utility sector development, Dominion Energy has agreed to merge into NextEra Energy, Rigzone also reported Tuesday. The New York-listed companies said the all-stock merger would create the world's biggest regulated power utility...

🌅Afternoon Wire·May 19

Pipeline & Infrastructure

Austrian Gas Discovery Starts Up, Trump Delays Gulf Strike

OMV has begun production at what it describes as Austria's largest natural gas discovery in the last 40 years, according to Rigzone. The company expects the development to double its domestic output once it reaches full capacity. Separately, U.S. President Donald Trump stated he delayed a planned strike after discussions with Iran, Rigzone reported. "I put it off for a little while, hopefully maybe forever, but possibly for a little while, because we've had very big discussions with Iran," the president said. While these developments occur outside the Williston Basin, they underscore the global factors influencing oil and gas markets. Increased natural gas production in Europe could contribute to global supply, potentially affecting long-term price expectations for all producers. The reported delay in U.S. military action in the Gulf region also impacts market sentiment. Geopolitical tensions in key oil-producing areas traditionally influence crude oil prices, which directly affect the revenue...

🌅Afternoon Wire·May 19

Production Data

Bakken Rig Count Holds at 21 Amid High Oil Prices

North Dakota's active drilling rig count remained steady at 21 on Tuesday, May 19, 2026, as benchmark oil prices held at elevated levels, pointing to a stable near-term production outlook for the Bakken formation. The active rig figure is a key leading indicator for future oil output. Historically, sustained increases in the rig count signal that operators are investing in new wells, which typically leads to rising production 6-12 months later. Conversely, a sharp decline in rigs forecasts a production downturn. The current count of 21 rigs represents a sustained level of operational activity, suggesting that Bakken producers are maintaining, but not aggressively expanding, their drilling programs. Supporting this activity, West Texas Intermediate (WTI) crude oil was priced at $104.11 per barrel on Tuesday, according to live Bakken Wire data. While down 27 cents on the day, the price remains firmly above the $100 threshold, providing a favorable economic environment...

🌅Afternoon Wire·May 19