EIA: Oil output from major US shale to fall 86,000 b/d in June

May 12, 2015
Crude oil production in June from seven major US shale plays is expected to decrease 86,000 b/d compared with May to 5.6 million b/d, about even with where the total stood in March, according to the US Energy Information Administration’s latest Drilling Productivity Report (DPR).

Crude oil production in June from seven major US shale plays is expected to decrease 86,000 b/d compared with May to 5.6 million b/d, about even with where the total stood in March, according to the US Energy Information Administration’s latest Drilling Productivity Report (DPR).

The DPR focuses on the Bakken, Eagle Ford, Haynesville, Marcellus, Niobrara, Permian, and Utica, which altogether accounted for 95% of US oil production increases and all US natural gas production increases during 2011-13.

The total June decline represents a 47,000-b/d loss in the Eagle Ford to 1.6 million b/d, a 31,000-b/d loss in the Bakken to 1.3 million b/d, and a 16,000-b/d loss in the Niobrara to 411,000 b/d.

The Permian has maintained production growth over the past few months, albeit at a shrinking rate. Output from the basin in June is expected to increase 7,000 b/d—a third of total growth for April—to 2.1 million b/d.

New-well oil production/rig will continue to rise across the board in June, with the Permian up 26 b/d to 296 b/d, Bakken up 21 b/d to 631 b/d, Eagle Ford up 20 b/d to 720 b/d, and Niobrara up 17 b/d to 497 b/d.

US natural gas production, meanwhile, is expected to drop 112 MMcfd in June to 46.2 bcfd, comprising an 81-MMcfd loss in the Eagle Ford to 7.4 bcfd, a 65-MMcfd loss in the Niobrara to 4.6 bcfd, a 30-MMcfd loss in the Bakken to 1.5 bcfd, and a 6-MMcfd loss in the Permian to 6.4 bcfd. Output from the Utica and Marcellus, however, will respectively rise 49 MMcfd and 21 MMcfd to 2.5 bcfd and 16.7 bcfd.