New EIA publication provides insight and analysis on domestic production trends

Tuesday, October 29th, 2013 and is filed under Oil and Gas Current Events

The Energy Information Administration (EIA) has begun publishing a new report to provide detailed, region-specific insights and analysis into rig efficiency, new well productivity, decline rates at previously existing wells, and overall production trends.

According to EIA.gov:

Like traditional measures, the DPR makes use of recent rig activity data, but also explicitly considers recent information on wells drilled per active rig (rig productivity), average oil and natural gas production rates from new wells during their first full month of operation, and estimated changes in production from existing wells to develop estimates of overall changes in production for each region. EIA’s approach in the DPR does not distinguish between oil-directed and gas-directed rigs—it counts all active rigs—because once a well is completed, it may produce both oil and gas. Because production data reported by states can be significantly lagged, DPR uses the rig count data along with trends in drilling productivity to make estimates of oil and gas production where data are not yet available.

The Drilling Productivity Report (DPR) will be published monthly and currently focuses on six active regions, which together accounted for 90% of domestic oil production growth and virtually all domestic natural gas production growth in 2011-12.

Permian Basin Production (excerpted from October 2013 report)

Depletion Allowance for Oil and Gas Overview

What are Tangible Drilling Costs?

What are Intangible Drilling Costs?