Posted on 01/14/2016 5:15:51 AM PST by thackney
Crude oil production in February from seven major US shale plays is expected to fall 116,000 b/d to 4.83 million b/d, according to the US Energy Information Administration’s latest Drilling Productivity Report (DPR). The agency last month also projected a 116,000-b/d loss for January (OGJ Online, Dec. 7, 2015).
The DPR focuses on the Bakken, Eagle Ford, Haynesville, Marcellus, Niobrara, Permian, and Utica, which altogether accounted for 95% of US crude oil production increases and all US natural gas production increases during 2011-13.
Production from the Eagle Ford is seen dropping 72,000 b/d during the month to 1.15 million b/d, followed by a 24,000-b/d loss in the Bakken to 1.1 million b/d and 23,000-b/d loss in the Niobrara to 371,000 b/d.
Continuing to demonstrate its resiliency, the Permian is forecast to increase 5,000 b/d to 2.04 million b/d. New-well oil production/rig across the seven plays is expected to increase by a rig-weighted average of 3 b/d to 497 b/d. The Niobrara is again seen leading the way, expected to post a 16-b/d jump to 726 b/d, while the Utica is seen rising 12 b/d to 294 b/d and Eagle Ford rising 9 b/d to 804 b/d.
Shale gas production in February is expected to decrease 405 MMcfd to 43.72 bcfd, mostly reflecting a 225-MMcfd loss in the Marcellus to 15.22 bcfd, 140-MMcfd loss in the Eagle Ford to 6.46 bcfd, and 76-MMcfd loss in the Niobrara to 4.1 bcfd.
Increases are seen from the Utica, up 43 MMcfd to 3.25 bcfd; Haynesville, up 16 MMcfd to 6.23 bcfd; and Permian, edging up 1 MMcfd to 6.91 bcfd.
And the Saudi’s smile.
It was only a matter of time.
What? Because of electric and toy cars consume less gasoline?
Keep the prices down, screw the Saudis and Russians!
This is a reduction in supply of oil, not the consumption of oil.
(However, in OCT of last year, there are several news stories about oil execs warning of falling production...)
That is almost all of the production growth we have had in 5 years (those regions, not volume).
Overall, production is waaaay up.
Due to the shale fields, which have started declining.
A small, short-term dip in one location
It is a reversed trend, not a single dip. And it is not limited to one location. Eagle Ford, Bakken, Niobrara have all had several months of declining numbers. The Permian, which grew far slower than those others, has been declining its growth rate, but not yet in total decline. It has a lot of more traditional well types.
The full report and other graphs are at:
All of a sudden Saudis discovered less supply of oil?
There is an explosion of oil supply thanks to fracking, more gasoline on the market, prices dropping, which Saudis and other members of oil cartel do not like or they are feeling the pinch.
This article is not about Saudi oil production.
It is about the ongoing declining oil production from US shale due to the lower oil prices.
The decline in our oil imports from OPEC stopped a year ago and have begun to slowly rise.
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