Oklahoma is Bucking the National Rig Count Trend: While the overall U.S. rig count slipped again last week, Oklahoma's activity is moving in the opposite direction. The state actually added new oil and gas rigs, with a notable pickup in activity in the Anadarko Basin, highlighting a key regional bright spot.
Oklahoma's Strategic Importance in U.S. Drilling Grows: To put that in perspective, the state now accounts for nearly 6% of all active U.S. oil and gas rigs. This growing share, driven by horizontal drilling in shale formations, solidifies Oklahoma's critical role in the country's overall energy production landscape.
New Natural Gas Demand from the Data Center Boom: In Arizona, Energy Transfer is planning a multi-billion dollar investment in new infrastructure to power the wave of new data centers. Importantly, this includes new natural gas projects to ensure a reliable electricity supply, a prime example of the massive new demand for gas coming from the tech sector.
Mexico Approves Fracking in a Major Policy Shift: Internationally, there's a huge policy reversal in Mexico, which has just approved the use of hydraulic fracturing. This move is aimed at reversing the country's declining oil and gas production and is expected to attract significant foreign investment, potentially unlocking major new reserves south of the border.
Ukraine War Continues to Impact Russian Refineries: The war in Ukraine continues to have a direct impact on energy markets. Kyiv reported another successful strike on an oil refinery deep inside Russia, this time in the Saratov region. These attacks continue to demonstrate the vulnerability of Russian energy infrastructure and add a layer of geopolitical risk to the market.
NASA is Planning for Nuclear Power on the Moon: In a more futuristic development, NASA is now working on plans to deploy a small nuclear reactor on the Moon by the early 2030s. This is a critical step for sustainable lunar operations, and the innovations required for a compact, reliable reactor could have major implications for advanced nuclear technology, like small modular reactors, back on Earth.