Friday, January 18, 2013
In response to my last post on US oil rig counts several people pointed me at some interesting data on Bakken (North Dakota) oil. The above graph is plotted from that data and shows the total number of producing wells and the average number of barrels/day coming from each member of that producing pool. (Note that wells could be being retired from the pool by being shut-in due to low production as well as being added by new drilling).
Overall, the conclusion I take away is that the productivity of the Bakken well population is reasonably stable and there is no sign of a drop off. These aren't very high productivity wells, but obviously it's been enough to allow the operators to make money. There's also no sign of a slowing down in the rate of wells being added. In short, no sign of an end to the boom here.