Permian Basin OIl Production Surpasses of Gulf of Mexico | Russell T. Rudy Energy LLC
Oil production in the Permian Basin increased from 850,000 barrels of oil per day (bopd) in 2007 to 1,350,000 in 2013 according to “Rigzone”. This 60% increase is primarily attributable to new production from the Sprayberry, Wolfcamp and Bone Spring formations, and to a lesser degree incremental output from the Glorieta, Yeso and Delaware, all of which are low-permeability structures.
The Permian Basin has long been a mainstay of domestic U. S. oil and gas production, but its importance had been declining until 2007. However, advances in horizontal drilling and hydraulic fracturing have enabled the 250 mile wide by 300 mile long area to regain its title as the largest crude oil producing region in the U. S., according to the Energy Information Administration.
Multi-layer structures, ease of resource deployment and shorter cycle times have all contributed to the Permian Renaissance. With six primary, and numerous secondary formations, the Permian is a prospect rich area with the potential for multiple pay zones in the same vertical section. Because of accessible terrain and existing infrastructure, resources are more easily and quickly accessible than is the case offshore. Consequently, new wells can be brought on line much faster than the seven to ten year lag for initial production from new discoveries in the Gulf of Mexico.
To read the article in its entirety, please go to www.rigzone.com/news/article.asp?hpf=1&a_id=133953&utm .
