Transcend Drilling的动态

Over the last decade, fueled by AI, US oil producers have pumped 60% more oil daily with 40% fewer workers. By extracting more oil while reducing expenses, they’re lowering the costs to drill profitably. In the Permian Basin, the break-even price for oil producers has fallen to $40 a barrel from over $90 in 2012. The Barron’s Daily November 26, 2024

America's oil boom is hitting a geological ceiling, according to Continental Resources Executive Chairman Harold Hamm, who predicts only modest oil production increases of 1-2 million barrels per day over the next five to six years, driven primarily by the Permian Basin. Even with fewer regulations under the incoming Trump administration, Hamm cautions that maturing shale fields and dwindling resources will constrain the industry's capacity to replicate past booms.

Key pipelines that transport barrels produced in the Permian Basin to the Port of Corpus Christi are more than 90% full, and companies that operate some of these lines say the congestion is likely to get worse. #pipelines #oilandgas #congestion #energyindustry

Over the last decade, fueled by AI, US oil producers have pumped 60% more oil daily with 40% fewer workers. In the Permian Basin, the break-even price for oil producers has fallen to $40 a barrel from over $90 in 2012. -The Barron’s Daily Nov. 26, 2024

Permian Basin holds about nine years of inventory breaking even below $50/bbl at the current development pace, which is nearly three times the combined inventory of other major U.S. shale plays meeting the same economic threshold.

A number of factors have contributed to the flattening and potential peaking of Permian shale output, but one factor has been largely overlooked: gas-to-oil ratios.

Will the U.S. shale industry ever break even? After losing a half trillion dollars in its first decade, can it make that back in decade two? Unlikely. Which means the US shale miracle is likely one of the biggest money losing efforts in history. As always you should read Mike Shellman. This bit at the end of a recent post is important. "We [the U.S.] produce more than we need, so we essentially sell the remainder via exports below breakeven costs, including the cost of paying back ALL debt incurred by the shale oil sector, past and present. Thats a fact, Jack. The US tight oil sector is not reducing debt, its adding debt." Tough to pay back that half trillion when you are still operating at a loss and funding operations with debt. You know where that leads? Bankruptcy. Of course that is the plan for the U.S. oil industry once the profits are all extracted. https://lnkd.in/eQnr3xkb

Comparing wells drilled Q1/2023 vs Q1/2024 in the Permian Basin we see a 14% increase in wells drilled. Total wells drilled in Q1/2023 was 1724 vs 1961 in Q1/2024 an increase of 237 wells drilled for an average increase of 14%. Combining Q1/2023 & Q1/2024 a total of 164 Operators drilled wells in the Permian. Get the full report https://lnkd.in/gAuZ-CWN

Shale Outlook Permian: The Once and Future King Keeps Delivering The Permian Basin’s core is in full-scale manufacturing mode, with smaller intrepid operators pushing the basin’s boundaries further and deeper. Read the full story: https://lnkd.in/gqBcAjex

I think Billy Bob Thorton in Landman has also helped - Over the last decade, fueled by AI, US oil producers have pumped 60% more oil daily with 40% fewer workers. By extracting more oil while reducing expenses, they’re lowering the costs to drill profitably. In the Permian Basin, the break-even price for oil producers has fallen to $40 a barrel from over $90 in 2012. The Barron’s Daily November 26, 2024