Rystad: DUC inventory dropping by yearend

Rystad Energy expects US unconventional oil well completions to outpace drilling activity during the second half, resulting in 800 fewer drilled but uncompleted (DUC) horizontal wells.

These completions are expected to provide an additional 300,000-350,000 b/d by Dec. 31. The additional output will be more than sufficient to balance the base production decline, Rystad Energy said.

The existing inventory of 4,000 DUCs is estimated to hold close to 2 billion bbl of oil reserves.

“Research shows that operators are now starting to complete wells that have previously been put on hold deliberately,” said Artem Abramov, Rystad Energy senior analyst and product manager. “This comes as more than 90% of the accumulated oil DUC inventory can be commercially completed at a [West Texas Intermediate price] of $50/bbl.”

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

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...

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...