Permian Basin rig activity is projected to increase as much as 50% to more than 700 rigs in the next few years, which could be the biggest rig count increase of any U.S. oil and natural gas basin, according to U.S. Capital’s Cameron Horwitz, who directors the firm’s exploration and production (E&P) research.
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Permian rig activity is projected to increase as much as 50% to more than 700 rigs in the next few years, which could be the biggest rig count increase of any U.S. oil/gas basin, according to Cameron Horwitz, U.S. Capital’s director of E&P research and author of “Permian Basin: Renaissance in the Desert” (see Daily GPI, June 12). Crude oil production should increase by 750,000 b/d to 1.8 million b/d between now and 2018, Horwitz said.
Natural gas is seen as a fuel of the future by the authors of Statoil’s “Energy Perspectives 2012” report. “Global gas demand is projected to increase by 60% by 2040. Positive drivers include significant new available supply at moderate costs and environmental policies,” said Chief Analyst Eirik Waerness. Natural gas is the cleanest fossil fuel, and Statoil believes that natural gas will serve as an important and cost-efficient means to meet the challenge of global warming, he said. In aggregate, the fossil fuel share of the global energy mix is expected to drop from 81% in 2010 to 73% in 2040: “In OECD Europe, renewables is expected to more than double towards 2040, and becoming the second most important fuel with a 24% share of the energy mix in the region,” said Waerness. This development is driven by climate and environmental policies, energy security concerns, as well as price and cost developments, he said.
RegScan, a developer of regulatory compliance products, and the Independent Petroleum Association of America (IPAA) have jointly come up with a system to help oil and natural gas operators comply with the different well stages in the Marcellus Shale basin.
In a 9 p.m. PST update Wednesday, affiliates Southern California Gas and San Diego Gas & Electric said projected receipts into their Southern System for Thursday’s gas day were expected to be sufficient to meet minimum requirements and therefore a Curtailment Watch was canceled.
Ten years on, drilling in the Barnett Shale has expanded the economy of the 24-county region in North Texas by 38%, according to a new study that said cumulative economic benefits of the Barnett from 2001 to 2011 include $65.4 billion in gross product for the region and $80.7 billion for the state.