Post by
JohnJBond on Nov 14, 2022 1:54pm
US Oil Production 2022 (so far)
The EIA publishes US oil production per month.
These numbers come out about 2 months after the end of each month.
The total increase in oil production in the US from the end of 2021 to Aug 2022, was 341,000 BOE.
234,000 of these BOE were increases to gulf of mexico off shore production,
ie, total US on land production increased only 107,000 BOE.
I'm very interested in the observation that the US is at or near peak production. ie, is the US at the point where it is having trouble replacing declines. If this is happenning now, it follows that total production will trend down over time.
US off shore gulf of mexico production is long term, but takes a long time to develop. Its the on land production that interests me.
107,000 boe increase in the US over the first 8 months of 2022 (which appears to be where it is now in early Nov) is a small number.
Comment by
Hendrick3 on Nov 14, 2022 5:44pm
The other interesting point is that there are more wells engaged yet production hardly increases. This confirms that new drilling sites are of increasingly inferior quality.
Comment by
JohnJBond on Nov 14, 2022 9:52pm
Yes. New wells have a higher proportion of gas and NGLs, with a lower proportion of oil What you' expect when you move from tier 1 to lesser tier land Why would that happen, unless the best land has already been drilled and depleted? It follows that the US will produce more gas and less oil going forward This should be positive for Canadian oil producers