2/12/2025
Halliburton (HAL)
North America revenue in the fourth quarter of 2024 was $2.2 billion, a 7% decrease sequentially from the prior reporting quarter. The decline was primarily driven by lower stimulation activity and decreased fluid services in the U.S. and Canada.
The company expects 2025 activity to be sequentially softer in North America. However, Halliburton sees a tighter frac market as gas activity picks up. Hyperion also shows gas frac activity picking up substantially in the Lower 48 US over the past 2 weeks.
Additionally, the company says that all of its North American fleets are sold out. Large scale customers are expected to realize greater efficiency gains in 2025.
Kinder Morgan (KMI)
The company announced the Trident Intrastate Pipeline Project, an approximately 216-mile pipeline that will provide 1.5 Bcf/d of capacity from Katy, Texas to the LNG and industrial corridor near Port Arthur, Texas.
Furthermore, the company secured additional long-term, binding transportation agreements on the previously announced Mississippi Crossing Project, resulting in a current project subscription of approximately 1.8 Bcf/d. The estimated $1.6 billion project is now designed to transport up to 2.1 Bcf/d of natural gas through the construction of nearly 206 miles of 42-inch and 36-inch pipeline and three new compressor stations.
Kinder Morgan’s project backlog also reflects strong future natural gas demand. At the end of the fourth quarter of 2024, the backlog stood at $8.1 billion, a nearly 60% increase compared to $5.1 billion in the third quarter of 2024. Natural gas projects account for approximately 89% of the backlog.
Preliminary construction activities are underway on the fully contracted Gulf Coast Express Pipeline LLC (GCX) expansion project. The $455 million expansion project is designed to increase by 570 MMcf/d natural gas deliveries from the Permian Basin to the South Texas markets. The project is expected to be in service in mid-2026.
Construction continues on the second phase of the $672 million Evangeline Pass project, which has an expected in-service date of July 1, 2025.
Schlumberger (SLB)
2024 fourth-quarter revenue increased 1% sequentially and 3% year on year. International revenue grew 12% YOY in 2024. This was led by the Middle East & Asia and Europe & Africa, which grew 18% and 13%, respectively.
While upstream investment growth will remain subdued in the short term due to global oversupply, the company anticipates the oil supply imbalance will gradually abate. Global economic growth and a heightened focus on energy security, coupled with rising energy demand from AI and data centers will support the investment outlook for the oil and gas industry throughout the rest of the decade.
