More bad news and dire predictions about the shale industry flooded the newswires this weekend.
Related: Eagle Ford Rig Count at 103
As crude prices stay low and rig counts decline, analysts are looking for signs about where the bottom might be.
Goldman Sachs projects that 2016 WTI prices will be at $45, which is down from their previous forecast of $57. More alarming is Goldman's suggestion that prices may briefly hit $20.
“Allen Gilmer, CEO of Austin-based Drilling info told the Houston Chronicle that dropping prices “chip away at the Eagle Ford.” And while a great many producers remain profitable at $60 per barrel, once crude hovers around $40, like it has in recent week, only 15 percent of the field will make money.”
In July, the Texas Railroad Commission issued 979 drilling permits down from 2,419 permits in July 2014. Well completions are also down with producers completing 13,333 wells through July, down from 18,101 wells during the first seven months of 2014.
Even amidst the gloomy forecasts, Wood Mackenzie announced earlier this month that the Eagle Ford Play leads other U.S. shale fields and continues to hold some of the most attractive oil and gas investments in the world. Even as producers slash budgets, spending in the Eagle Ford is projected to be around $20 billion for the duration of 2015.