•  
  •  
  •  
  •  
  •  
  • Untitled Document
    Untitled Document

    DW comments on North American unconventional drilling success

    Douglas-Westwood

    Douglas-Westwood (DW) analysts have provided commentary on North American unconventional drilling success: “Unconventional oil and gas has provided a much-needed lifeline to the North American upstream sector. Shale oil and gas plays have seen the US reverse decades-long production decline, whereas oil sands have helped Canadian crude output rally after fluctuating since the turn of the millennium. Following the 2007 financial crisis, US well completions crashed to around 27,500 in 2009 – just 60% of 2008 levels. The effect on Canada was more immediate, with well completions falling 28% from 2007–2008.

    “However, since this volatile period, activity has recovered well – DW predicts that, in 2014, Canada will drill 10,700 development wells, and the US will drill 40,100 development wells. By the end of the year, US crude output will have gained nearly 3 million b/d since 2011, and, with a similar amount to be added again by the end of the decade, production could reach 12.7 million b/d in 2020. This will be due to the ever-growing strength of the country’s shale plays – the Bakken alone is set to up its flow by two-thirds to approximately 1.75 million b/d.

    “Canadian oil sands production, which has trebled to 2.2 million b/d from 2000–2013, will reach 3.2 million b/d by 2020 – contributing to an unprecedented high of 4.2 million b/d by 2020. Despite maturing fields, Canada’s gas output should return to pre-recession levels by 2018 with the continuing success of horizontal drilling in western unconventional provinces. Also paving the way for increased production in Western Canada will be the Kitimat LNG facility, which will allow 10 Mt of exports per year.

    “With the current restrictions on US LNG exports likely to be lifted in the coming years, the already enormous potential of shale gas in the country will grow further. With this in mind, DW predicts that over 50,000 gas wells will be drilled from 2014–2020 – and gas output will reach 13.6 million boe/d in 2020, just 0.2 million boe/d shy of Russia’s daily production.”

     

     

    Most Popular

    Related Articles

    Baker Botts names Rowley to head London office

    03/16/2015 Baker Botts LLP has appointed Mark Rowley as the partner in charge of the firm’s London office, effective April 1. Rowley replaces Steve Wardlaw, who is leaving the firm to pursue other business in...

    Texas LNG begins FERC pre-filing process for Brownsville LNG project

    03/16/2015 On March 9, Texas LNG Brownsville LLC became the first LNG export facility proposed for the Brownsville, Texas, area to initiate the US Federal Energy Regulatory Commission pre-filing process, kick...

    Delfin LNG to establish headquarters in Houston

    03/12/2015 Delfin LNG LLC is establishing its headquarters in Houston, as the company prepares to launch the first deepwater liquefied natural gas exporting in the Gulf of Mexico, according to the Houston Bus...

    Macquarie experts scrutinize industry

    03/11/2015 Headquartered in Sydney, Macquarie is Australia's largest investment bank. OGFJ recently spoke with four senior officials with Macquarie - Nick O'Kane, Head of Energy Markets; Paul Beck, Head of Up...

    Golar LNG, Rosneft sign MOU for FLNG projects in Latin America

    03/05/2015 Golar LNG Ltd. and Rosneft Oil Co. have entered into a memorandum of understanding that foresees cooperation between the companies in the area of floating liquefaction (FLNG) and transportation of ...

    Woodside cleared to acquire Apache’s stakes in LNG projects

    03/05/2015 The Australian Competition and Consumer Commission said March 5 that it will not oppose Woodside’s proposed acquisition of Apache Corp.’s interests in the Wheatstone, Balnaves, and Kitimat projects...

    More Oil & Gas Financial Articles

    Baker Botts names Rowley to head London office

    Mon, Mar 16, 2015

    Baker Botts LLP has appointed Mark Rowley as the partner in charge of the firm’s London office, effective April 1. Rowley replaces Steve Wardlaw, who is leaving the firm to pursue other business interests outside the legal field. 

    Texas LNG begins FERC pre-filing process for Brownsville LNG project

    Mon, Mar 16, 2015

    On March 9, Texas LNG Brownsville LLC became the first LNG export facility proposed for the Brownsville, Texas, area to initiate the US Federal Energy Regulatory Commission pre-filing process, kicking off the regulatory review for the proposed liquefied natural gas (LNG) export facility in Brownsville. 

    Delfin LNG to establish headquarters in Houston

    Thu, Mar 12, 2015

    Delfin LNG LLC is establishing its headquarters in Houston, as the company prepares to launch the first deepwater liquefied natural gas exporting in the Gulf of Mexico, according to the Houston Business Journal.

    Macquarie experts scrutinize industry

    Wed, Mar 11, 2015

    Headquartered in Sydney, Macquarie is Australia's largest investment bank. OGFJ recently spoke with four senior officials with Macquarie - Nick O'Kane, Head of Energy Markets; Paul Beck, Head of Upstream Capital; Nick Butcher, Head of Americas Infrastructure and US Energy; and Nicholas Gole, Head of Energy and Infrastructure Financing. We were able to get the four busy executives together in Houston for a group photo and to talk with us about Macquarie and its place in the energy sector.

    Golar LNG, Rosneft sign MOU for FLNG projects in Latin America

    Thu, Mar 5, 2015

    Golar LNG Ltd. and Rosneft Oil Co. have entered into a memorandum of understanding that foresees cooperation between the companies in the area of floating liquefaction (FLNG) and transportation of natural gas.

    OGFJ photo of the day


    Click to view slideshow

    Oil & Gas Jobs

    Search More Job Listings >>
    Subscribe to OGFJ