Friday, May 22, 2026

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Oil Prices

Oil Prices Rebound Friday as Bakken Differential Widens

Oil prices moved higher in Friday morning trading, with West Texas Intermediate (WTI) crude rising 1.27 percent to $97.57 per barrel and Brent crude gaining 1.97 percent to $104.60, according to live price data. The rebound follows a three-day period of declines, as reported by Rigzone. The earlier downturn was attributed to market hopes for a reopening of the critical Strait of Hormuz shipping channel, Rigzone reported on Thursday. The potential easing of supply disruptions in the Middle East had pressured prices. For Bakken producers, the price of crude at the wellhead is directly impacted by the regional differential. On Friday, Bakken crude was trading at a discount of $3.42 per barrel compared to WTI, putting its implied price near $94.15. A wider differential can squeeze margins for operators in North Dakota's premier oil field. Meanwhile, natural gas prices saw a slight decline, trading at $3.13 per MMBtu. In refined...

☀️Morning Wire·May 22

Daily Activity

Burlington Resources Dominates DMR Permit Approvals with Four-Well Dunn County Project

The North Dakota Department of Mineral Resources approved six new drilling permits and three permit renewals in its latest daily activity report. The new approvals signal continued development in the state's western oil fields. Burlington Resources Oil & Gas Company LP was the most active operator, securing four new permits for a pad in Dunn County. All four wells—Firebird 1B, 2A, 2C, and 4A—are located in the NW NE of Section 12-145N-96W. The permits are listed for the 'CONFIDENTIAL' field, a designation sometimes used for exploratory or strategically sensitive projects. Koda Resources Operating LLC also received approval for two new horizontal wells in Divide County. The permits are for the Amber 3120-2BH and Amber 3119-1BH wells in the Fertile Valley field, according to the DMR report. In addition to the new permits, three existing permits were renewed, all for Foundation Energy Management, LLC operations in Billings County. Two renewals are...

☀️Morning Wire·May 22

Operator News

ConocoPhillips Criticizes Venezuela's Attempts to Attract Oil Investment

The head of ConocoPhillips stated that Venezuela's initial steps to attract foreign oil companies are falling well short, according to a report from Rigzone. The comments were published on May 21, 2026. Venezuela, which holds the world's largest oil reserves, has been attempting to revive its crippled production industry by wooing international operators. The reported criticism from a major U.S. independent like ConocoPhillips suggests significant hurdles remain for firms considering re-entering the South American nation. For Bakken-focused operators, including ConocoPhillips which maintains a significant position in North Dakota's Williston Basin, the assessment reinforces the comparative stability and attractiveness of U.S. shale plays. While international opportunities can offer large resource potential, they often come with substantial political, legal, and operational risks. The development highlights a continued industry trend where capital discipline and predictable regulatory environments are prioritized. Operators are likely to continue concentrating investments in regions with established infrastructure and clear...

☀️Morning Wire·May 22

Pipeline & Infrastructure

Army Corps Approves Stricter Dakota Access Pipeline Permit, Ending Uncertainty

The U.S. Army Corps of Engineers has issued a key permit decision for the Dakota Access Pipeline (DAPL), allowing the critical crude oil conduit to continue operating under stricter environmental and safety requirements. The decision, announced Thursday, resolves long-standing regulatory uncertainty surrounding the pipeline's future. According to Reuters, the Army Corps' action means the Dakota Access oil pipeline can operate with stricter environmental and safety mandates. The decision was reported as a blow to Native American tribes who have sought the pipeline's closure. Separately, Bing News reported the Army Corps released a Record of Decision on the pipeline, essentially putting to rest any future uncertainty. The decision provides crucial regulatory stability for the pipeline, which is a major artery for moving Bakken crude oil from North Dakota to a market hub in Illinois. Since beginning service in 2017, DAPL has been integral to the region's oil takeaway capacity, moving approximately...

☀️Morning Wire·May 22

Global Markets

Global Roundup: Conference Underway, Oil's Broad Influence Highlighted

Thousands of oil and gas professionals are in Bismarck this week for the Williston Basin Petroleum Conference, one of the largest industry events in North Dakota, according to Bing News. The conference, which kicked off earlier this week, serves as a key networking and strategic hub for operators active in the Bakken formation and broader Williston Basin. Globally, the influence of oil markets remains extensive. Ole Hansen, Saxo Bank's Head of Commodity Strategy, said oil continues to exert an influence well beyond the energy market itself, Rigzone reported. This broad impact underscores the importance of the commodity produced in North Dakota, where price movements and global sentiment directly affect local drilling budgets and state revenue. In corporate activity, UK producer Ithaca Energy has completed the purchase of a 50 percent stake in two Shell licenses in the West of Shetland Basin, Rigzone separately reported. Concurrently, the company entered into an...

☀️Morning Wire·May 22

Operator News

Oil Near $100 Seen as Base Case for 2026; Global News Impacts Bakken Outlook

Oil prices are increasingly expected to remain near $100 a barrel through the next year, according to a Rigzone report from May 21. This price level is seen by market participants as a base case for 2026. For Bakken operators, sustained prices at this threshold provide a stable, high-revenue environment that supports ongoing drilling programs and well completion activity in North Dakota's premier oil field. In international operator news, Equinor and Aker BP have agreed to a stakes swap in the North Sea and Barents Sea, Rigzone reported on May 22. The companies stated they will seek alignment on key areas of joint interest on the Norwegian continental shelf, aiming to speed up resource development to uphold high production levels and unlock value. While this deal is offshore Norway, it reflects a global industry trend of portfolio optimization to maximize efficiency and output, a strategy also employed by Bakken-focused producers....

☀️Morning Wire·May 22

Pipeline & Infrastructure

BP Secures New Indonesian Blocks in Latest Global Expansion

BP has entered three new exploration blocks in Indonesia, according to a report from Rigzone. Two of the blocks are located near the company's existing Tangguh LNG facility in Papua Barat province. The company cited the "potential for short-cycle development" for the new assets, Rigzone reported on May 21. This suggests BP is prioritizing projects that can be brought online relatively quickly to bolster its global portfolio. For Bakken operators and royalty owners, international moves by major integrated companies like BP are a reminder of the global competition for finite capital expenditure. While the Williston Basin remains a core, prolific onshore U.S. play, investment decisions are made within a worldwide context. Major operators continuously evaluate their portfolios, balancing short-cycle opportunities like the Bakken against longer-term international projects. Developments abroad do not directly impact North Dakota's daily operations, but they reflect the broader strategic landscape in which Bakken assets must compete...

☀️Morning Wire·May 22

Production Data

Bakken Drilling Economics Improve as WTI Nears $100

New drilling in North Dakota's Bakken formation is on firmer economic footing as West Texas Intermediate crude prices approach $100 per barrel, according to live market data. WTI was trading at $97.57 on Friday, May 22, a gain of $1.22, while the global Brent benchmark stood at $104.60. The typical cost to drill and complete a new Bakken well is estimated between $7 million and $8 million. At current price levels, these projects can generate strong internal rates of return, especially in the core of the play. Expected ultimate recovery (EUR) for a modern Bakken well often ranges from 500,000 to over 1 million barrels of oil equivalent over its lifespan. With WTI near $98, the revenue potential for a new well has increased significantly compared to lower price environments. The active rig count in North Dakota was reported at 25, indicating a measured pace of activity as operators evaluate...

☀️Morning Wire·May 22

🔆Midday Wire11:00 AM CST

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Oil Prices

WTI, Brent Rise on Major U.S. Inventory Draw

West Texas Intermediate crude oil rose above $97 per barrel in midday trading Friday, supported by a larger-than-expected drawdown in U.S. commercial inventories. WTI traded at $97.10, a gain of 75 cents or 0.78%, according to live price data. The global Brent benchmark climbed 1.02% to $103.60 per barrel. The primary driver for the price increase was a significant weekly decline in U.S. crude stocks. According to Rigzone, citing the latest U.S. Energy Information Administration weekly petroleum status report, commercial crude oil inventories, excluding the Strategic Petroleum Reserve, fell by almost 8 million barrels for the week ending May 15. Stocks stood at 445.0 million barrels. This substantial inventory draw suggests stronger near-term demand or tighter supply conditions than analysts anticipated, providing fundamental support for oil prices. The draw comes amid the peak summer driving season, which typically increases demand for refined products like gasoline. For Bakken producers, the rising...

🔆Midday Wire·May 22

Operator News

Continental Resources to Resume Bakken Drilling by Year-End

Continental Resources Inc. will resume drilling new oil wells in North Dakota before the end of the year, founder Harold Hamm announced Thursday. The move reverses a temporary drilling pause the company initiated in January due to low oil prices, according to the North Dakota Monitor. Hamm made the announcement at the 2026 Williston Basin Petroleum Conference in Bismarck. He stated that "a great deal has changed" since the pause began, specifically pointing to higher oil prices amid the war with Iran. “We’ll be back to work,” Hamm told attendees. “But we’re not giving it away now.” The company, North Dakota's No. 2 oil producer, had not had a rig operating in the state since January, marking the first such pause in 30 years. At that time, West Texas Intermediate (WTI) oil prices were around $60 per barrel. On the day of Hamm's announcement, prices were around $100 per barrel....

🔆Midday Wire·May 22

Pipeline & Infrastructure

Army Corps Issues Final Decision, Allowing Dakota Access Pipeline to Continue Operations

The U.S. Army Corps of Engineers has issued a final Record of Decision for the Dakota Access Pipeline (DAPL), providing long-term regulatory certainty for the crucial Bakken oil export route. According to Bing News, the decision essentially puts to rest any future uncertainty about the pipeline's status. The pipeline will be allowed to continue operating but must adhere to stricter environmental and safety mandates, Reuters reported on Thursday, May 21. The decision represents a resolution to years of legal and regulatory challenges, though it imposes new operating conditions on the line. For Bakken operators, the decision removes a major cloud of uncertainty that has hung over the region's primary pipeline takeaway capacity. DAPL, which can transport approximately 570,000 barrels per day from the Bakken formation in North Dakota to a hub in Illinois, is a critical piece of infrastructure for the state's oil industry. Its continued, sanctioned operation ensures a...

🔆Midday Wire·May 22

Regulatory

UK Tax Change Highlights Global Fiscal Scrutiny for Energy Producers

The UK government announced it is closing a tax loophole for oil and gas companies, according to a report from Rigzone. Chancellor of the Exchequer Rachel Reeves stated the move on Friday, May 22. While this policy change is specific to the United Kingdom's North Sea operations, it signals a broader global trend of increased fiscal scrutiny on hydrocarbon producers. For multinational firms with assets in both the North Sea and the Bakken formation, such regulatory shifts can influence overall corporate strategy and capital allocation. The Bakken formation in North Dakota operates under a distinct state tax and regulatory regime. North Dakota's oil extraction tax and gross production tax structure are not directly affected by international developments. However, major independent and integrated companies active in the Williston Basin often monitor global fiscal policy as part of their wider portfolio management. Industry analysts note that changes in one significant producing region...

🔆Midday Wire·May 22

Global Markets

Industry Convenes at WBPC as Global LNG Outage Creates Deficit

Thousands of oil and gas professionals gathered in Bismarck this week for the Williston Basin Petroleum Conference (WBPC), one of the largest industry events in North Dakota, according to Bing News. The conference, which kicked off on May 19, continued into its second day on May 20, with discussions centering on the region's future potential. A major theme at the conference is "Bakken 2.0," a plan aimed at doubling North Dakota's oil recovery from the prolific formation, Bing News reported. The gathering serves as a key forum for operators, service companies, and state officials to collaborate on the technologies and strategies needed to extend the life of the Bakken shale play. While the industry focuses on long-term production, a new global market dynamic is emerging. A report from Enverus Intelligence Research (EIR) states that an outage at Qatari liquefied natural gas (LNG) facilities will shift the global gas market into...

🔆Midday Wire·May 22

Operator News

Global Asset Swaps Highlight Portfolio Strategy Focus

Major European operators announced a series of asset transactions and strategic alignments on Friday, highlighting an ongoing industry focus on portfolio optimization and strategic partnerships to unlock value. While centered on offshore Norway and the UK, the moves reflect broader trends in capital discipline and strategic focus that resonate with operators in the Bakken formation. Equinor and Aker BP have agreed to a stakes swap across several licenses in the North Sea and Barents Sea, according to Rigzone. The companies stated the aim is to speed up resource development to uphold high production levels and unlock value, seeking alignment on key areas of joint interest on the Norwegian continental shelf. Separately, UK producer Ithaca Energy completed the acquisition of a 50 percent stake in two Shell licenses in the West of Shetland Basin, Rigzone reported. In a concurrent move, the company entered an agreement to sell part of its ownership...

🔆Midday Wire·May 22

Pipeline & Infrastructure

Global Pipeline Developments May Influence Bakken Crude Flows

The first oil tanker from the Persian Gulf is expected to transit the contested Strait of Hormuz since the Iran war began, according to Rigzone. The shipment, flagged by Japan, signals a potential reopening of a critical global oil chokepoint. The Strait of Hormuz is a vital passage for Middle Eastern crude exports to global markets. Separately, ConocoPhillips' CEO stated that Venezuela's initial steps to attract foreign oil companies to revive its production are "falling well short," Rigzone reported on May 21. This indicates continued challenges in restoring significant output from the South American nation, a former major OPEC producer. For Bakken operators and royalty owners, these international developments are relevant to the global crude price environment and trade flows. The reopening of the Strait of Hormuz, if sustained, could increase the supply of Middle Eastern crude to Asian markets. This may alter global pricing benchmarks that influence the value...

🔆Midday Wire·May 22

Production Data

Bakken Rig Count Holds at 25 as Oil Prices Support $90+ WTI

North Dakota's active rig count held steady at 25 on Friday, as sustained high oil prices provide a stable backdrop for Bakken Shale operators. West Texas Intermediate (WTI) crude was trading at $97.10 per barrel, up 78 cents on the day, while the international benchmark Brent crude traded at $103.60, according to live market data. The current price environment, with WTI consistently above $90, is considered supportive for drilling and completion activity in the Bakken formation. The Bakken crude differential, the discount at which Bakken crude trades compared to WTI, was recorded at -$3.42, a typical spread for the region that allows producers to capture a strong net price. Historically, rig count is a leading indicator of future oil production, as it reflects the number of drilling crews actively working to bring new wells online. The current count of 25 rigs represents a stabilized level of activity after the volatility...

🔆Midday Wire·May 22

🌅Afternoon Wire4:00 PM CST

Oil Prices

Oil Prices Edge Higher as Bakken Operators Show Caution

Oil prices posted modest gains on Friday, with West Texas Intermediate (WTI) crude trading at $96.84 per barrel, a 0.51% increase. The global benchmark Brent crude rose 1.1% to $103.71, according to live price data. The price for Bakken crude at the wellhead was discounted by $3.42 per barrel versus WTI. Natural gas prices fell to $3.03. The price strength continues a rally largely driven by geopolitical tensions, but operators in North Dakota's Bakken formation are taking a measured approach to increasing activity. According to Reuters, U.S. oil operators in the state are cautious about ramping up drilling despite the sharp rise in oil prices caused by the Iran war, waiting to see if higher prices will last long enough to justify new investment. Mark Bohrer, assistant director for the Oil and Gas Division of the North Dakota Industrial Commission, said most producers have stuck to budgets set at the...

🌅Afternoon Wire·May 22

Rig Report

North Dakota Rig Count Holds at 25 Amid Cautious Industry Outlook

The number of active drilling rigs in North Dakota remained at 25 on Friday, May 22, with no additions, removals, or location changes reported since the previous day, according to live Bakken Wire data. The count is up three rigs from one week ago, when 22 were active, and is also three rigs higher than the level seen one month ago on April 22. The current stability and modest recent increase in activity occur against a backdrop of sharply higher oil prices but continued operator caution. According to a Reuters report sourced by Bing News, U.S. oil operators in North Dakota remain hesitant to significantly increase drilling despite prices driven higher by the Iran War, questioning whether the price environment will last long enough to justify new investment. Mark Bohrer, assistant director for the Oil and Gas Division of the North Dakota Industrial Commission, said most producers are sticking to...

🌅Afternoon Wire·May 22

Operator News

ExxonMobil, QatarEnergy Sign Egypt MoU for Cyprus Gas Assessment

Exxon Mobil and QatarEnergy have signed a memorandum of understanding with Egypt to study using Egypt's infrastructure for potential Cyprus gas developments, according to Rigzone. The MoU, reported Friday, will assess the viability of developing natural gas discoveries in Cyprus through Egypt's existing export facilities. The agreement underscores the continued global investment by major operators like ExxonMobil in integrated natural gas projects. For Bakken-focused observers, it reinforces that international supermajors maintain diversified portfolios spanning multiple continents and resource types. While the Bakken formation is primarily a prolific oil-producing region, major operators active there, including ExxonMobil subsidiary XTO Energy, balance their North American shale assets with global opportunities. This international deal is consistent with that strategy and does not indicate a shift away from core basins. The development of East Mediterranean gas resources, if commercialized, would represent a new supply source for global LNG markets. This could have long-term implications for...

🌅Afternoon Wire·May 22

Pipeline & Infrastructure

Dakota Access Pipeline Cleared to Operate Under Stricter Mandates

The U.S. Army Corps of Engineers has issued a final Record of Decision for the Dakota Access Pipeline (DAPL), allowing the crucial oil conduit to continue operating under stricter environmental and safety mandates. According to Reuters, the decision was announced on Thursday, May 21, 2026. This action by the Army Corps essentially puts to rest the long-running legal and regulatory uncertainty that has surrounded the pipeline's federal easement, Bing News reported. The pipeline had been operating under a series of court-ordered environmental reviews since a 2020 ruling. The decision is a significant development for Bakken shale operators in North Dakota, for whom DAPL is a primary artery to market. The 1,172-mile pipeline moves oil from the Bakken formation in North Dakota to a storage and transportation hub in Patoka, Illinois. Regulatory clarity ensures stable, long-term takeaway capacity for producers who have faced volatility due to the pipeline's contested status. While...

🌅Afternoon Wire·May 22

Regulatory

UK Announces Closure of Oil Tax Loophole

The UK government announced plans to close a tax loophole for oil and gas companies, according to a report from Rigzone. Chancellor of the Exchequer Rachel Reeves stated the policy change on Friday, May 22, 2026. While the specific details of the loophole and the mechanics of the closure were not detailed in the report, such international tax policy shifts can have ripple effects across the global industry. Major integrated oil companies and independent operators with international portfolios often navigate a complex web of tax regulations across different jurisdictions. For Bakken operators, this news underscores the importance of monitoring global fiscal policy trends. Many companies operating in North Dakota's Williston Basin are subsidiaries or affiliates of larger entities with assets worldwide. Changes in tax structures in key markets like the UK can influence overall corporate strategy and capital allocation. The announcement from the UK Chancellor serves as a reminder that...

🌅Afternoon Wire·May 22

Global Markets

Qatari LNG Outage to Shift Gas Market; WBPC Underway in Bismarck

A significant outage at Qatari LNG facilities is projected to shift the global natural gas market into a structural deficit, according to a new report from Enverus Intelligence Research. The analysis, published Friday, outlines the potential market impacts of the supply disruption. For Bakken producers, who often flare or reinject associated gas from oil wells, sustained higher global gas prices could improve the economics for capturing and marketing natural gas liquids and gas from the field. Separately, thousands of oil and gas professionals are in Bismarck this week for the Williston Basin Petroleum Conference, one of the largest industry events in North Dakota, according to Bing News. The conference, which kicked off earlier this week, serves as a key networking and strategic forum for operators across the Bakken formation and broader Williston Basin. In broader market commentary, Saxo Bank's Head of Commodity Strategy Ole Hansen noted that oil continues to...

🌅Afternoon Wire·May 22

Operator News

Global Operator Moves Focus Roundup: North Sea Deals, Hormuz Shipment

UK-based Ithaca Energy completed the acquisition of a 50 percent stake in two Shell licenses in the West of Shetland Basin, according to Rigzone. Concurrently, the company entered an agreement to sell part of its ownership in the Fotla project in the North Sea to Harbour Energy. Separately, Equinor and Aker BP have agreed to a stakes swap involving assets in the North Sea and the Barents Sea, Rigzone reported. The parties stated they will seek alignment on key areas of joint interest on the Norwegian continental shelf, aiming to speed up resource development to uphold high production levels and unlock value. On the global trade front, Japan flagged the impending arrival of the first Persian Gulf oil shipment to transit the contested Strait of Hormuz since the Iran war began, according to Rigzone. Japan is one of Asia's biggest importers of energy from the Middle East. These international developments...

🌅Afternoon Wire·May 22

Production Data

ND Rig Count Holds at 25 as Oil Prices Support Production Outlook

North Dakota's active rig count held steady at 25 on Friday, maintaining a level that suggests oil production in the Bakken will remain stable in the near term, according to industry analysts. The count, a key indicator of future drilling activity, has fluctuated narrowly around the mid-20s for several months. Supporting the current pace of operations, oil prices provided a firm backdrop. West Texas Intermediate (WTI) crude traded at $96.84 per barrel, up 0.51% on the day, while the international Brent benchmark rose 1.1% to $103.71. The Bakken crude differential was $-3.42 per barrel versus WTI. Natural gas was priced at $3.03 per MMBtu. Historically, rig counts are a leading indicator, with changes in the count typically impacting production volumes several months later. The current count of 25 is significantly lower than the boom-era highs of over 200 rigs but has proven sufficient in recent years to sustain production around...

🌅Afternoon Wire·May 22