The Eagle Ford Shale is expected to see the biggest production declines in the industry for both oil and gas next month.
U.S. Energy Information Administration (EIA) released its latest drilling productivity report today that forecasts shale oil production was expected to fall for a 12th consecutive month in November.
The agency predicts that the Eagle Ford will be the hardest hit with a regional decline of almost 0.2 bcfd for natural gas from October to 5.6 bcfd in November. This is the lowest level of output in the basin since November 2013. For oil, the Eagle Ford is set to drop by 35,000 bpd to 947,000 bpd.
Total oil production for November is expected to fall by 30,000 barrels per day to 4.43 million bpd, the lowest output since March 2014. Total natural gas production will decline for a seventh consecutive month in November to 46.0 billion cubic feet per day, the lowest level since July 2015.
In September,the University of Texas’ Bureau of Economic Geology released new research that shows there are still billions of barrels to be recovered in fields across the Eagle Ford. Highlights of the study include:
- The play holds an estimated 230 billion barrels of oil (only 10 billion can be recovered now)
- The play has an estimated 462 trillion cubic feet of natural gas, with 34 trillion cubic feet recoverable.
- At least 80,000 more wells will be drilled