DrillingInfo: Permian continues as largest play in North America

There was a 4% increase in overall new US production capacity (NPC*) to 805 Mboe/d, according to the August Drillinginfo Index. Last month’s index showed US production capacity of 751 Mboe/d. The August Index is reflective of the wells drilled in July, and, as noted by Drillinginfo, is usually a 5-6 month forward indicator of what production might be. Percentages are also normalized for length of months.

New US oil production capacity increased by 9% from June, to 398 Mbbl/d, while US gas production capacity decreased by 1% from June, to 2.44 bcf/d.

According to the index, while rig count and permits have declined, production capacity has continued to increase, "indicating that higher grade locations and better practices are yielding substantively better wells month over month per rig/month."

The Permian continues to be the largest play in North America. Despite the decline, the index showed active working rigs in the Permian Basin increased between July 1 and July 31 to 254 from 236. Production capacity in the Permian Basin also increased, up 25% from May through July, despite the drop in oil prices from $62 to $42 per barrel.

Top operators
Overall, the top three operators in July 2015 in terms of new oil production were EOG Resources (52 Mbbl/d), Pioneer Natural Resources (20 Mbbl/d), and BHP Billiton (17 Mbbl/d).

The top three operators in July 2015 in terms of new gas production were RVR Operating (195 MMcf/d), EQT (148 MMcf/d) and Chesapeake Energy (135 MMcf/d).

The top three counties in terms of new oil production in July 2015 were McKenzie, ND (30 Mbbl/d), Karnes, TX (29 Mbbl/d), and DeWitt, TX (29 Mbbl/d).

The top three counties in terms of new gas production in July 2015 were Lincoln, LA (253 MMcf/d), Susquehanna, PA (191 MMcf/d), and Sublette, WY (132 MMcf/d).

*The NPC number is based on the number of wells at each rig (not just the number of rigs, since they can have multiple wells at each rig) and the productivity of each well to more accurately estimate the combined peak production rate of the new wells.

 

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...