About Us

History

  • 1998

    RS Energy Group (RSEG), formerly the Ross Smith Energy Group, was founded in 1998 and evolved throughout the unconventional resource revolution. Structuring the organization and evaluating assets like an E&P company allowed RSEG to provide a new form of fundamental equity analysis to institutional investors. RSEG’s independent, unbiased energy research emerged as a unique and comprehensive approach, bridging the gaps between geological, operational and financial analysis to support real, actionable investment decisions.

  • 2003

    RSEG was selected as an independent research provider as part of the Global Analyst Research Settlement. This enforcement agreement was aimed at addressing the conflict of interest between investment banking and research at sell-side firms, and included a $460 million payment by investment firms to procure independent analyst research between 2004 and 2009. RSEG was selected to provide unbiased energy research to Bear Stearns, Credit Suisse, Deutche Bank, Lehman Brothers and UBS.

  • 2004

    In 2004, RSEG was recognized for positively disrupting the Professional/Financial Services industry and was awarded the 2004 Ernst & Young Entrepreneur of the Year Award. For over 20 years, this award has recognized global entrepreneurs and celebrates their contribution to innovation, growth and social improvement; it is the world’s most prestigious business award for entrepreneurs.

    RSEG extended its U.S. market reach through a research distribution agreement with Instinet, a New York-based electronic agency brokerage. Instinet expanded RSEG’s reach through its global sales and agency trading platform and "provided clients with a range of payment options, comprehensive account coverage, compliance and editorial supervision and other support services."

    2004 also marked RSEG’s foray into unconventional resource intelligence. Its seminal report on the Barnett Shale concluded that it "is not a reservoir in any traditional sense. It is a source rock."

  • 2005

    RSEG Trading Group was admitted membership in the Investment Dealers Association of Canada. The in-house trading desk was active from 2005 to 2007 and provided institutional investors with best execution from energy sector-specialist traders.

  • 2007

    RSEG published its first report on the Marcellus shale in 2008. From petrophysical analysis and only a handful of producing wells, RSEG defined a prospective fairway, and associated operators, that remains largely unchanged today. The report identified NE Pennsylvania as most prospective and commented on the "gold rush for acreage", which had driven land values up to $750/acre. Transactions in this region currently average over $10,000/acre.

    In 2007, RSEG also published its first report on the Bakken, entitled Patchwork of Prospectivity. The report bucked the consensus view that the resource and the results were distributed evenly across the basin, and defined the play in terms of distinct, geologically-defined regions.

  • 2008

    In 2008, RSEG recognized its unique ability to use well-level analysis to support macro conclusions, and its flagship report series – "No More Guessing" – was born. These reports continue to provide clients with supply cost curves, base decline analysis, rig-based oil and gas production forecasts and resource dispatch curves that inform near- and long-term commodity price views. Its inaugural report characterized the base decline of L48 natural gas from actual production data and dispelled beliefs that shale drilling was steepening the treadmill. RSEG was invited to present its findings to the EIA later that year in a meeting that would to help shape the agency’s forecast model.

  • 2009

    RSEG published its defining report on the Eagle Ford in June 2009, extrapolating early results from Petrohawk’s first three horizontal wells to an emerging Karnes County core and condemning the up-dip, black oil window in Maverick, Zavala and northern Dimmit counties. Leasing activity at the time was concentrated in La Salle, McMullen and Atascosa counties where small tracts were transacting between $250-$750/acre. The report also compared production data from the Texas Railroad Commission to TXCO Resource’s Pearsall type curve, finding the actual public data was trending far below company guidance. Recent Eagle Ford transactions have averaged ~$80,000/acre and TXCO filed for bankruptcy in May 2010.

  • 2010

    In early-2010, RSEG addressed the recent trend to horizontal drilling in the Permian Basin with its defining report on the Spraberry and Wolfcamp formations. The report highlighted how, "advancements in multi-stage fracturing and tight oil completions plus falling well costs are reviving this previously marginal play" and identified Pioneer Natural Resources as most exposed to this emerging resource.

  • 2011

    As RSEG continued to develop into the global standard in energy intelligence, it caught the attention of Investment Technology Group (ITG), a leading brokerage and financial market technology firm, and was acquired in 2011. RSEG’s growth remained uninterrupted as it began to position its research solutions and competitive intelligence in front of some of the largest E&P companies in the world.

  • 2012

    RSEG hosted its first inaugural Play-by-Play Energy Conference in Houston and New York. The conferences were attended by 76 clients in Houston and 125 clients in New York and showcased RSEG analysts presenting on the biggest catalysts in the energy space.

  • 2013

    In 2013, RSEG expanded the reach of its "No More Guessing" report series to include Canadian coverage. The initial report highlighted the impact of bitumen production on the base decline and the divergent path of Canadian oil and gas productivity compared to U.S. shale growth. The evaluation of over 300,000 wells in the Western Canadian Sedimentary Basin and Williston Basin resulted in historical and future production analyses, a break-even cost curve and an examination of current and future takeaway capacity.

  • 2014

    RSEG introduced a new service to clients in the form of its Energy Market Wrap. This daily publication allows clients to stay abreast of industry news and market fundamentals through the lens of RSEG’s team of industry experts and sector specialists.

  • 2015

    By late-2015, RSEG had strengthened its team of engineers, economists, physicists, geologists, developers, CFA charter holders and mathematicians – all with a knack for forensic-style research – and, in December of that year, private equity heavy-hitter Warburg Pincus acquired RSEG from ITG.

  • Today

    Today, RSEG’s research covers more than 150 companies operating in every key North American and many international energy plays with a powerful combination of practical intelligence at the asset level and a long-standing participation in capital markets. RSEG’s independent, unbiased and accurate analysis forms a foundation of trust with its clients. Its collaborative approach, both internally and as an extension of its clients’ research efforts, promotes innovation and fosters intimate, long term partnerships.

With a history spanning almost 20 years, RSEG’s expertise dissecting the oil & gas market shaped the company to mirror the industry, building basin-specific analyst teams to deliver technical, geological and financial insights.

RS Energy Group (RSEG), formerly the Ross Smith Energy Group, was founded in 1998 and evolved throughout the unconventional resource revolution. Structuring the organization and evaluating assets like an E&P company allowed RSEG to provide a new form of fundamental equity analysis to institutional investors. RSEG’s independent, unbiased energy research emerged as a unique and comprehensive approach, bridging the gaps between geological, operational and financial analysis to support real, actionable investment decisions.

By 2002, RSEG began publishing reports on emerging plays, identifying prospective fairways and valuing the tradable securities of companies with exposure. These distinctive reports included analyses on the Pinedale Anticline, the Barnett shale and the Marcellus shale. Around this time, RSEG also recognized its unique ability to use well-level analysis to support macro conclusions, and its flagship report series – "No More Guessing" – was born. These reports continue to provide clients with supply cost curves, base decline analysis, rig-based oil and gas production forecasts and resource dispatch curves that inform near- and long-term commodity price views.

As RSEG continued to develop into the global standard in energy intelligence, it caught the attention of Investment Technology Group (ITG), a leading brokerage and financial market technology firm, and was acquired in 2011. RSEG’s growth remained uninterrupted as it began to position its research solutions and competitive intelligence in front of some of the largest E&P companies in the world.

By late-2015, RSEG had strengthened its team of engineers, economists, physicists, geologists, developers, CFA charter holders and mathematicians – all with a knack for forensic-style research – and, in December of that year, private equity heavy-hitter Warburg Pincus acquired RSEG from ITG.

Today, RSEG’s research covers more than 150 companies operating in every key North American and many international energy plays with a powerful combination of practical intelligence at the asset level and a long-standing participation in capital markets. RSEG’s independent, unbiased and accurate analysis forms a foundation of trust with its clients. Its collaborative approach, both internally and as an extension of its clients’ research efforts, promotes innovation and fosters intimate, long term partnerships.