Baker Hughes reported a record number of Eagle Ford well starts in the fourth quarter of 2014. The company’s quarterly report shows ~1,171 wells were started over the three month period.
Rigs also drilled 0.5 wells more in the quarter than they did in the third quarter of 2013. That’s an improvement of 40% or 1.5 more wells per quarter per rig than the industry was capable of in early 2012.
We consider the Baker Hughes well start estimate conservative since the company only considers a 14 county area in its Eagle Ford statistics. The numbers reported ignore areas like Brazos County where Eagle Ford activity is increasing.
Also Read – Eagle Ford Record Set for Well Spuds in Q3 (now a broken record)
By adding in the non-core Eagle Ford counties, well spuds easily eclipsed 1,200 wells in the fourth quarter.
Even though we reported this in the third quarter, it’s also the first quarter in which well spuds eclipsed 1,100 in the 14-county area. The Baker Hughes reported well spuds were revised down in the third quarter from 1,131 to 1,096.
Watch for this record to be broken throughout 2014 if oil prices hold in the $90/bbl or higher range.