Executive Summary:
Rigs: The total US rig count decreased during the week of Sep 7 to 511.
Infrastructure: Chord Energy grows Williston footprint.
Supply & Demand: The US natural gas pipeline sample, a proxy for change in oil production, decreased 1.6% W-o-W across all liquids-focused basins.
Rigs:
The total US rig count decreased during the week of Sept. 7 to 511. Liquids-driven basins decreased 6 rigs W-o-W from 407 to 401.
- Permian:
- Delaware (-2): Exxon, Devon Energy
- Midland (-3): Exxon, Diamondback Energy, Double Eagle
- Powder River (-1): Occidental Petroleum
- Anadarko (-1): Mewbourne Oil
- Eagle Ford (+1): ConocoPhillips
Infrastructure:
Chord Energy (CHRD) is strengthening its Williston Basin position with a $550MM acquisition of assets from ExxonMobil (XOM) subsidiary XTO Energy. The deal, announced Sept. 15, adds scale, efficiency and low-cost inventory for CHRD.
The transaction includes ~48,000 net acres and ~90 net 10,000-foot equivalent drilling locations. The assets currently produce ~9 Mboe/d (78% oil) and have a modest 23% projected base decline, CHRD said.
Located adjacent to Chord’s existing footprint, the acquired acreage enables longer laterals and improved capital efficiency, supporting breakevens near $40/bbl. The deal builds on Chord’s 2023 purchase of 62,000 net acres from XTO, reinforcing a consolidation strategy designed to unlock scale and efficiency in the Williston.
East Daley Analytics estimates XTO’s total Williston production averaged 78 Mb/d in 1Q25. The acquired assets complement CHRD’s 235 Mb/d production while lowering the producer’s average Williston breakeven (previously $56/bbl vs the basin average of $47/bbl).
East Daley’s Bakken Energy Path shows the acquired volumes primarily flow to the ONEOK (OKE) Bakken and Hess Midstream (HESM) Tioga systems — already key outlets for CHRD. This overlap enhances infrastructure synergies and aligns development with established midstream networks.
The deal underscores a broader consolidation wave in the Williston Basin. As operators combine acreage and extend laterals, drilling margins expand and capital efficiency improves, and the basin achieves a more durable production profile. For CHRD, the result is a more resilient foundation for sustained output — and a stronger platform for long-term growth.
Supply and Demand
The US natural gas pipeline sample, a proxy for change in oil production, decreased 0.7% W-o-W across all liquids-focused basins. The Gulf of America increased by 9.1%, which was offset by decreases in the Arkoma and Eagle Ford by 12.3% and 5.2%. The Rockies and the Gulf of America have a high correlation between gas volumes and crude oil volumes, whereas the Permian and Eagle Ford basins correlation is less than 45%.
As of Sept. 22, there is currently ~636 Mb/d of refining capacity offline, including downtime for planned and unplanned maintenance. The Marathon Garyville refinery accounts for 298 Mb/d o0f capacity offline due to planned maintenance lasting through Oct. 27.
Vessel traffic monitored by EDA along the Gulf Coast significantly decreased W-o-W. There were 26 vessels loaded for the week ending Sept. 20 and 33 vessels the prior week.
Regulatory and Tariffs:
Presented by ARBO
Tariffs:
Gray Oak Pipeline, LLC: Certain available capacity discounts were increased.
Magellan Pipeline Company, L.P.: The tariffs were revised to add a new product and to update the product grade document to be consistent with ONEOK’s product grade documents.
The above information is provided by ARBO’s Oil Pipeline Tariff Monitor. For more information on regulatory proceedings or tariff rates, please contact please contact Corey Brill via email at [email protected] or phone at 202-505-5296. https://www.goarbo.com/