VET is here .. Powder River Basin shale output estimated to surpass pre-pandemic levels by 2022
GlobalData’s latest report, “Powder River Basin Shale in the US, 2021 – Oil and Gas Shale Market Analysis and Outlook to 2025” provides a comprehensive review of the hydrocarbon appraisal and development in the Powder River Basin shale play.
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GlobalData’s latest report, “Powder River Basin Shale in the US, 2021 – Oil and Gas Shale Market Analysis and Outlook to 2025” provides a comprehensive review of the hydrocarbon appraisal and development in the Powder River Basin shale play. The report also provides an outlook for oil and gas production in this basin till 2025 along with competitive positioning of major operators.
The Powder River Basin is predominantly located over 13 counties across Wyoming and Montana states in the US. In 2019, the production in the Basin reached 213 thousand barrels of oil per day (mbd) and 992 million cubic feet per day (mmcfd) of natural gas. During 2020, owing to the COVID-19 outbreak, crude oil production in the Basin plummeted by almost 30% from 216 mbd in March 2020 to 151 mbd in May 2020., Natural gas supply also fell to 723 mmcfd in March 2020, a 28% drop from January the same year. However, in June 2020 production somewhat recovered to 182 mbd and 957 mmcfd of crude oil and natural gas respectively, but then declined again at an average of 1% on a monthly basis.
Powder River Basin was relatively less affected by the COVID-19 downturn when compared to other major plays. Nevertheless, production in the Basin is forecasted to rise sharply and reach over 218 mbd and 991 mmcfd for crude oil and natural gas, respectively, by end of 2022. By 2025, both the commodities are forecasted to exceed their respective level reached in 2019.
According to GlobalData, around 98% of the production activity in the Powder River Basin is concentrated in Wyoming state. Converse and Campbell counties in Wyoming are the leading producers of crude oil and natural gas in this basin. EOG Resources, Devon Energy, Vermilion Energy, Occidental Petroleum, and new entrant Continental Resources are the major producers in the Basin.