Canadian drilling sees a decade of improving success rates

Canadian drilling rates are strong and the well success rate has continually improved over the past decade. Canada's gas production has increased almost every year, despite bigger decline rates. Light oil production is declining, but heavy oil production is increasing. And weak oil and gas prices from mid-2001 to mid-2002 resulted in reduced drilling and investment from the highs of early 2001. Stronger prices since mid-2002 have led a resurgence in drilling. Western CanadaThe focus of activity this year is in the Western Canada Sedimentary basin (WCSB), covering 580,000 sq miles and underlying four Canadian provinces and the Northwest and Yukon Territories. Rig activity plummeted...

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