Index shows energy jobs growth
The Oklahoma Energy Index increased this month due to revised Bureau of Labor Statistics data that showed a larger number of state residents working in the oil and natural gas industry. The index is a comprehensive measure of the state’s oil and gas production economy established to track industry growth rates and cycles in one of the country’s most active energy-producing states. The revised numbers show a 2.6 percent growth in employment, continuing a prolonged trend that has seen primary and supported employment nearly double in Oklahoma over the past decade. “The state’s robust oil and gas industry has been creating direct job growth for some time,” said Chris Mostek, vice president of energy lending for Bank SNB. “The compounding benefit for the state is the job growth and resulting purchasing effects created by the continued investment in our energy economy.” The new jobs data in February increased the energy index to 159.19, up nearly 7 percent for the year. “The largest source of strength comes from natural gas spot prices which, due in large part to severe cold weather over much of the nation, topped $7 briefly for a week in February,” Oklahoma City University economist Russell Evans said. “Modest growth in employment as well as increases in crude oil spot prices and the Oklahoma energy equity portfolio accounted for the February gain.”
Panel to discuss fracking
The Oklahoma Energy Resources Board, Sustaining Oklahoma’s Energy Resources and the University of Oklahoma chapter of the Society of Petroleum Engineers will host a panel discussion next week on the science and technology behind hydraulic fracturing. Speakers will be Weatherford Fracturing’s Tito Abisied, OU professor Robert Puls and Chesapeake Energy Corp. geologist Bert Smith. The forum, which runs from 5:30 to 7 p.m. April 2, will be in the Boren Auditorium at OU’s National Weather Center. It is free to the public.
PostRock Energy names official
PostRock Energy Corp. has named Casey E. Bigelow as its chief accounting officer, according to a regulatory filing. Bigelow has been with PostRock since February 2011, joining the company after more than four years with Ernst and Young LLP. He has served as the company’s controller since November 2012.
Calumet to acquire ADF Holdings
Calumet Specialty Products Partners LP has struck a deal to acquire ADF Holdings Inc. and subsidiary Anchor Drilling Fluids USA Inc. for $235 million, subject to customary purchase price adjustments. The deal is expected to close by March 31. Anchor, a private company formed in 2005 by Bob and Phil West, is a leading independent provider of drilling fluid solutions, completion fluids and production chemicals for the oil and natural gas industry. It has more than 30 manufacturing, mixing, storage and distribution facilities in 13 states. “With the acquisition of Anchor, Calumet will become a leading independent producer and marketer of drilling fluid solutions in the United States,” President Jennifer Straumins said. The Indianapolis company will add more than 400 Anchor employees once the deal closes.
Packers Plus opens OKC office
Packers Plus Energy Services Inc. has opened a district office in Oklahoma City as it continues to expand into the Mid-Continent region with its multi-stage completions systems. “As our company continues to grow, we want to ensure that we provide our customers with quality products in a short turnaround time,” CEO Dan Theming said. “Our Oklahoma City district office will enable Packers Plus to provide a superior level of service and support to our customers in the area.” Packers Plus has a 22,000-square-foot facility in Oklahoma City capable of testing, assembling and storing systems and tools manufacturing at its plant in Houston.
AEXCO, Juneau plan venture
AEXCO Petroleum Inc. has entered into a joint venture with Juneau Energy LLC to develop its assets in the Mid-Continent, the Denver-based company announced last week. AEXCO has an operations office in Edmond. Juneau has committed $50 million to the development project, which will expand AEXCO’s operations in the region. The companies could drill more than 150 horizontal and vertical wells on AEXCO’s acreage.
New Source Energy Partners LP
New Source Energy Partners LP boosted its net income to $26.6 million in the fourth quarter thanks to its acquisition of oil-field service company MCE LP in November. New Source earned $3.1 million in the same period of 2012. “2013 was a year of transformation for New Source,” said Kristian Kos, CEO of New Source’s general partner. “We were able to significantly increase our production and reserves, along with beginning to balance our portfolio with oil-field services. We believe this transition will help move us toward our goal of being a partnership that over time can provide more services and infrastructure to streamline its operations and generate revenue from multiple sources. We have a strong platform and are focused and poised for further growth in 2014."
PostRock Energy Corp.
PostRock Energy Corp. posted a net loss of $10.8 million, or 38 cents a share, in the fourth quarter. the company reported this week. That is an improvement from the same period of 2012, when the company lost $14.4 million, or 90 cents a share. PostRock is trying to shift production away from natural gas. It doubled its oil sales to 527 net barrels a day. “In 2013, PostRock made meaningful progress on increasing oil production and oil reserves,” CEO Terry W. Carter said. “In particular, I believe the development success, small acquisitions, and land additions in Central Oklahoma along with our continued focus on reducing operating costs will prove to be the foundation for future growth and at long last provide us the ability to create shareholder value.”
From Staff Reports