Domestic Oil and Gas News: Week of May 5th, 2025

Oil Prices Hit Four-Year Lows

Oil prices fell sharply after OPEC+ announced an increase in output by 411,000 barrels per day starting June 1. Brent crude settled at $60.23 per barrel, and U.S. West Texas Intermediate (WTI) closed at $57.13 per barrel, both marking their lowest levels since February 2021. The price drop is attributed to concerns over rising global supply amid uncertain demand. Spectrum Local News+3AP News+3Axios+3Reuters

House Committee Proposes Expansion of Fossil Fuel Leasing

A House of Representatives panel is reviewing policy changes aimed at expanding oil, gas, and coal extraction on federal lands and waters. The proposal includes mandates for 30 lease sales in the Gulf of Mexico over 15 years, six offshore and four onshore lease auctions in Alaska over the next decade, and biennial leasing in the National Petroleum Reserve.Additionally, it proposes that post-2035, Alaska will receive 90% of leasing revenues. The plan also suggests lowered royalty rates for drillers and an estimated $15 billion in federal savings and revenue. Reuters+1U.S. News Money+1

Sunoco Acquires Parkland in $9.1 Billion Deal

Sunoco has announced a $9.1 billion acquisition of Canadian fuel distributor Parkland, forming the largest fuel distribution company in the Americas. The deal includes commitments to preserve jobs, maintain Parkland’s Calgary headquarters, and continue low-carbon fuel investments in Burnaby, BC. The acquisition is expected to close in the latter half of 2025. Financial Times

Diamondback Energy Reduces Output Amid Market Concerns

Shale driller Diamondback Energy has announced a reduction in output, citing concerns over declining oil prices and market volatility. The company believes that U.S. onshore oil production has likely peaked due to lower drilling and investment. Bloomberg.com

Gasoline Prices Decline in Texas

In Texas, average gasoline prices have decreased, with the current average at $2.70 per gallon, down from $3.27 per gallon a year ago. Prices in Midland-Odessa are 30.2 cents per gallon lower than a month ago and stand 61.6 cents per gallon lower than a year ago. https://www.newschannel6now.comOaoa+1https://www.newschannel6now.com+1