Keep in mind, there is no magic on/off price.
There are average prices, that vary by field, by company and by different locations in the same field.
Even at average break-even price, there is going to be growth in production, just slower growth than it was.
Estimates of what the average break-even price are, vary all over the place.
- - - -
Morgan Stanley said Eagle Ford break-even costs range from $30 to $60 a barrel. Most U.S. tight-oil reserves break even from $60 to $80, Barclays Plc (BARC) said in slides presented at the Argus European Crude Conference in Geneva last week.
http://www.bloomberg.com/news/2014-10-14/u-s-shale-oil-output-growing-even-as-prices-drop-eia.html
- - - -
late-2013 ($/bbl): Oil Basin - Breakeven Price
Eagle Ford $65
Bakken Core $75
Permian $80
Niobrara $80
Bakken Fringe $85
Utica $85
Mississippian $85
Cana Woodford $90
Ardmore Woodford $95
http://oilpro.com/q/432/oil-price-where-us-rig-count-would-decline
- - - -
Bernstein Research said this week that about a third of U.S. shale production would be uneconomical if oil prices were to fall to $80 per barrel.
MORNINGSTAR INC Our analysis suggests that the average breakeven for our E&P coverage is $70 per barrel
ROBERT W. BAIRD EQUITY RESEARCH
“We estimate $73 as the weighted average breakeven point for U.S. supply.”
Eagle Ford Liquids Rich $53
Wolfcamp North Midland $57
Bakken Core $61
Niobrara Extension $64
Eagle Ford Oil $65
Niobrara Core $68
Wolfcamp South Midland $75
Bakken Non Core $75
Texas Panhandle $81
Mississippi Lime $84
Barnett Combo $93
UBS INVESTMENT RESEARCH
EAGLE FORD $43.34
GOLDMAN SACHS
EAGLE FORD $80-$90
Several more at:
http://www.reuters.com/article/2014/10/23/idUSL3N0SH5N220141023
great info - thanks