![]() |
![]() |
![]() |
![]() |
![]() |
![]() |
![]() |
![]() |
![]() |
![]() |
![]() by Daniel J. Graeber Washington (UPI) Aug 12, 2016
Some of the oil reserves in the United States may be more resilient to weak oil prices and show slow, but steady, production gains, a federal report finds. A review from the U.S. Energy Information Administration finds global tight oil, a lighter grade of crude oil found typically in shale deposits, is expected to double by 2040 to about 10.4 million barrels per day. Most of that, the report found, will come from the United States. "United States tight oil production, which reached 4.6 million bpd in March 2015, but fell to 4.1 million bpd in June 2016, has proven more resilient to low oil prices than many analysts had anticipated," the report read. In its reference case, EIA estimates total U.S. tight oil production reaches 7.1 million bpd by 2040. EIA made a similar conclusion in June regarding shale natural gas. About half of all of the natural gas produced in the United States comes from shale gas reserves or is associated with so-called tight oil basins. Much of that comes from lucrative shale beds like the Eagle Ford basin in Texas and the Bakken play in North Dakota. The EIA's analysis found that, through 2040, total U.S. production from shale gas and tight oil more than doubles to 29 trillion cubic feet, accounting for about 69 percent of total output of natural gas in the country. Lower energy prices, off about 4.7 percent from this time last year even after recovering 68 percent from this year's lows, have robbed energy companies of the revenue needed for robust exploration and production programs. Nevertheless, most have said they expect to produce more as their operations become more efficient. Continental Resources, one of the largest stakeholders in the Bakken shale oil basin in North Dakota and Montana, said its production expenses were lower than it previously estimated by 11 percent. Based on that, the company said it expects to produce an average full-year production of around 215,000 barrels of oil equivalent per day, an increase of 5,000 boe per day from its previous estimate. North Dakota's government said oil production could stay above 1 million bpd through next year if oil prices stay around $45 per barrel. It set a record in December 2014, when oil traded in the $60 range, at 1.23 million bpd. Higher production volumes and sluggish global economic growth is keeping oil prices relatively lower. By 2040, EIA in its reference case estimates a price for Brent crude oil at $136 per barrel, a price last reached less than a decade ago.
Related Links All About Oil and Gas News at OilGasDaily.com
|
|
The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us. |