Texas drilling permits are down, but there are many signs things are looking up for the Eagle Ford.
Related: Eagle Ford Shale Play Still Holds Great ValueThe
Texas Railroad Commission announced it issued 673 original drilling permits in November 2016 compared, a drop from the 687 issued in November 2015. This total includes:
- 581 permits to drill new oil or gas wells
- 10 to re-enter plugged well bores and 82 for re-completions of existing well bores
- 145 for oil
- 38 for gas
- 449 for oil or gas
- 36 for injection
Total well completions for 2016 were 9,923, almost half of what they were a year ago (18,510).
“The strategic value of the Eagle Ford stands the test of time, so even in the down cycle the values are still very strong.” -Mark Sooby, managing director at Bank of America Merrill Lynch at DUC Conference ”
Much has changed in the oil and gas industry over the past two years, but the Eagle Ford Shale Play still holds great value for investors and operators.
- Researchers from the UT’s Bureau of Economic Geology say that the 400-mile field has seen just a fraction of its ultimate activity and their new study predicts that another 100,000 wells can still be drilled.
- Eagle Ford operators are reducing costs and cycle time and improving recoveries
- The Eagle Ford Shale rig count has grown steadily from 39 in October to 53 rigs running across our coverage area by midday Friday.