Eagle Ford spending could stretch to new heights this year.
Eagle Ford oil production will surpass 1 million b/d early this year (combined oil and condensate production already has) and strong growth won’t stop there.
GlobalData expects development spending could reach as high as $30 billion. If that happens, Eagle Ford oil production won’t just reach 1 million b/d, it’ll blow right past it. Other research organizations estimate spending somewhere in the $20-25 billion range.
If spending ends up closer to $20 billion, it will tie directly to cost savings the industry is capturing across the board and not necessarily due to less activity. [Read more…]