The Energy Information Administration (EIA) has begun monthly publication of a new Drilling Productivity Report (DPR), which will provide analysis of regional measurements of drilling rig efficiency, well productivity, well decline rates, and overall production trends. The report will initially cover six production basins: the Bakken, Eagle Ford, Haynesville, Marcellus, Niobrara, and Permian basins, which in 2011-2012 together accounted for 90% of domestic oil production growth and virtually all domestic natural gas production growth.
The DPR utilizes several indicators to analyze production trends, including active rig count, drilling efficiency, new well productivity, and depletion trends for existing wells. The first edition of the DPR was released October 22nd, and included several interesting findings based on the indicators tracked by the report:
- The main drivers of increases in domestic natural gas and oil production have been improvements in drilling efficiency and new well productivity, rather than an increase in the number of active rigs.
- The Bakken and Eagle Ford regions together account for approximately 75% of the current monthly oil production growth across all six tracked regions. Production in these two regions increased by almost 700,000 barrels per day over the past year.
- The Permian region, which still produces the absolute largest amount of oil, grew by approximately 93,000 barrels per day from last year’s production levels.
- The Marcellus region accounted for approximately 75% of natural gas production growth in the six regions over the past year, though natural gas production increased in four of the six regions during that time.
With assistance from Andrew McNamee