Permian crude producers work to reduce exposure to deep price discounts

Permian crude producers are working on ways to reduce their exposure to deep price discounts, company executives said Tuesday.

* Noble pricing more crude in Gulf Coast
* Encana sees wider Midland discounts ahead
* Permian production grows in Q1

Noble Energy aims to sell less than 20% of its US onshore oil at the Midland, Texas basis this year as it works to move more crude to the US Gulf Coast, executives said on the company’s first-quarter earnings call.
Noble’s EPIC pipeline to deliver an initial 590,000 b/d of Permian and Eagle Ford crude to Corpus Christi is still slated to start up in the second half of 2019.
Gary Willingham, executive vice president of operations, said the company is negotiating final agreements for long-term firm transportation on EPIC.

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