Commodities
Permian Basin Faces Electricity Crunch Amid Oil, Gas Boom
The Permian Basin in West Texas is experiencing a surge in electricity demand due to the expansion of oil and gas operations, as well as the arrival of data centers.
Oil producers like Diamondback Energy Inc. are expecting their electricity consumption to double over the next decade, even if oil production remains flat, according to Kaes Vant Hof, CEO of Diamondback Energy Inc.
The region's power needs are growing so rapidly that Citigroup Inc. analysts have warned that the area could face rotating outages as early as next summer.