Western Midstream Permian Acquisition, Reduced Production from Occidental: Your Daily Energy News

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News highlights compiled by Industrial Info Resources (Sugar Land, Texas) dealing with the energy markets.

Oil & Gas Production

Western Midstream to Increase Permian Footprint
Western Midstream Partners says it will purchase privately held Permian driller Brazos Delaware II in a $1.6 billion deal, including $800 million in cash and $800 million in common shares. Industrial Info Resources data find $418 million in possible Western Midstream capital projects and another $11.4 million in planned maintenance turnarounds extending into 2028. Among the assets Western Midstream will gain is the 460 million-cubic-foot-per-day Comanche natural gas processing plant in Reeves County, Texas.

Occidental Reduces Production Outlook
Occidental Petroleum has reduced its total 2026 production outlook to 1.41 million to 1.46 million barrels oil equivalent per day (boe/d) from an earlier estimate of 1.42 million to 1.48 million boe/d. The reduction is largely due to impacts from the conflict in the Middle East, where among other assets, Occidental holds a 40% interest in the United Arab Emirates' Shah natural gas field, where production has been suspended since March.

Terminals

U.S. Oil, Fuel Inventories Decline
The U.S. Energy Information Administration (EIA) reports that U.S. crude oil inventories declined 2.3 million barrels to 457.2 million barrels in the week ending May 1. Gasoline inventories fell by 2.5 million barrels during the week to 219.8 million barrels, while U.S. distillate supplies declined 1.3 million barrels to 102.3 million barrels, according to the agency.

Key Takeaways

• Western Midstream Partners will acquire privately held Permian driller Brazos Delaware II in a $1.6 billion deal.
• Occidental Petroleum has reduced its 2026 oil and gas production forecast.
• U.S. inventories of crude oil, gasoline and distillates were all down for the week ending March 1.

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Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 trillion (USD).