U.S. DRILLING RECOVERY POSSIBLE AS OIL PRICES FIRM
G. Alan Petzet Exploration Editor Steady oil prices raise hopes for a second half recovery from record low drilling levels in the U.S. earlier in the year. Natural gas prices firmed this spring after a dismal low in February and were strong in July. Gas drilling is picking up in anticipation of expiration at yearend of federal tax credits for production from low permeability reservoirs. Oil & Gas Journal reckons wellhead revenues will total $77.8 billion for the year, 5% more than in 1991.