Texas Oil and Gas Firms See Mixed Signals Amid Iran War Uncertainty

Texas oil and gas companies reported increased activity in the third quarter despite uncertainty surrounding the ongoing Iran War.

The Federal Reserve Bank of Dallas Energy Survey, which included responses from 83 exploration and production firms and 42 oilfield services firms across Texas, northern Louisiana, and southern New Mexico, found that respondents expect West Texas Intermediate crude oil prices to average around $88 per barrel by year's end.

However, many executives remain uncertain about the outlook for next year due to price volatility. As one respondent from an exploration and production firm noted, 'The Iranian conflict continues to be the wild card in the industry.'

The survey also found that nearly half of firms in the Permian Basin reported experiencing oilfield theft, with most saying the financial impacts were low.