April 29 (Reuters) -

The global upstream industry could see dealmaking worth

another $150 billion throughout the remainder of the year, with

focus shifting to shale plays in U.S. other than the Permian

Basin, analysts at Rystad Energy said in a report.

M&A activity in the global upstream industry has already

crossed the $64 billion mark this year, most of it focused

around the U.S. shale patch.

WHY ITS IMPORTANT

M&A activity in the first-quarter in North America was

nearly $54 billion, or 83%, of the worldwide total and the

region is expected to be the driving force for consolidation for

the rest of the year, the report said.

THE CONTEXT

The Permian Basin, which spans across western Texas and

southeastern New Mexico, has been the focus for most deals in

the year, with companies vying to get a hold of assets located

in the patch.

Other shale plays in the U.S. are also set to attract

significant investments, with about $41 billion worth of

non-Permian opportunities on the market, according to the

report, like the potential sale of Exxon Mobil's ( XOM ) Bakken

portfolio in North Dakota.

BY THE NUMBERS

Globally, dealmaking in the sector increased 145%

year-over-year (y-o-y) in the first-quarter to $64 billion, and

was the highest since 2019, per the report.

Outside the U.S., dealmaking remained strong in the first

quarter, with $10.5 billion changing hands, a 5% y-o-y increase.

The demand for gas-producing resources represented about 66% of

total oil and gas producing assets bought and sold.

KEY QUOTES

"...with appetite still strong, deal-hungry players are

looking outside the (Permian) basin for acquisitions. A power

shift could be on the cards, with non-Permian assets taking

center stage in the future North American deals pipeline," said

Atul Raina, vice president of upstream research at Rystad

Energy.