Permian Rig Count and Oil Production Increasing

Many analysts have noted it, and now the U.S. Energy Information Administration (EIA) has quantified it. “It” being oil production and rig count in the Permian basin, both of which have increased month over month.

The EIA’s Drilling Productivity Report shows the Permian pumping out 2.038 million barrels a day for November, with the forecast increasing output to 2.065 million barrels a day in December. Natural gas production is also likely to go up from 7.272 million cubic feet a day (November) to 7.324 million cubic feet per day.

Permian is also outpacing other shale plays with the number of drilled, but uncompleted (DUC) wells it has. In September, the region had 1,382 DUC, with that number jumping up to 1,467 in October.

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