What caused the sharp decline in U.S. upstream oil and gas dealmaking to $9 billion in Q2, according to Enverus?

According to Enverus, dealmaking shrank fourfold to $9 billion in Q2 due to crude oil price volatility tied to the Iran conflict and a softening natural gas outlook, which widened the bid-ask spread and complicated asset valuations.

Which two transactions accounted for the largest share of Q2 upstream deal value, and what were their values and key details?

The largest transaction was the Bureau of Land Management’s May lease sale—raking in around $4 billion by selling drilling rights on 33,530 acres of federal land in Texas and New Mexico, primarily in New Mexico’s Permian Basin, with Devon Energy and Matador Resources as top bidders; the second-largest was Shell’s June sale of its Na Kika platform and associated Gulf of Mexico fields to Talos Energy and Ridgewood Energy subsidiaries for approximately $1.7 billion, representing assets producing about 37,000 barrels of oil equivalent per day in 2025.

US Upstream Oil and Gas Dealmaking Dives on Volatility

Aug 5, 2026

US upstream oil and gas dealmaking dropped to $9 billion in Q2 amid price volatility and geopolitical tensions. Key deals included a $4 billion federal lease sale and Shell's $1.7 billion Gulf of Mexico asset divestment.

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