Yesterday, the EIA released its Drilling Productivity Report “DPR” [LINK], which is its look ahead one month to estimate Nov 2016 production levels for the major shale/tight oil and gas basins – Bakken, Eagle Ford, Haynesville, Marcellus, Niobrara, Permian and Utica.
The EIA forecasts slightly declining production in the major basins in Nov vs Oct.? Oil production down to 4.429 million b/d (vs 4.459 in Oct), and natural gas production down to 45.958 bcf/d (vs 46.136 bcf/d in Oct).?? The afternoon headlines on the DPR were that US shale production continues to decline.? The EIA’s forecasted Nov 2016 major basin oil production is down 13% YoY from 5.027 million b/d in Nov 2015, but natural gas production is up 3% YoY from 44.682 bcf/d in Nov 2015.
Continue reading “US Shale Oil Continues to Decline, But Could Increase Under $50 Oil With DUCs”