Boston, MA June 24, 2019

ESAI Energy reports crude and condensate production from the Bakken shale basin will surpass current record output into 2020. In the company’s recently published North America Watch, ESAI Energy points to increasing rig productivity and efficiency gains in areas outside of the Bakken core that are translating into high growth rates for the basin as a whole. Bakken production growth will add almost 250,000 b/d to total U.S. crude production over the next two years.

press-release

Along with record oil output, the Bakken’s associated gas production is rising at an even faster pace, according to the ESAI Energy report. While crude oil production has increased by 19 percent over this time last year, natural gas volumes have climbed by 29 percent. The large increase in natural gas production is continuing to strain gas processing capabilities, resulting in North Dakota failing to meet its gas capture goals. Although processing capacity is being added by the end of this year, constraints on NGL takeaway will last into 2020 when a new long-haul NGL pipeline will be completed. Despite these infrastructure bottlenecks, ESAI projects Bakken crude oil to reach 1.5 million b/d by the end of 2019 and continue to grow into 2020.

“Unlike the other major shale basins, the Bakken is still showing large gains in rig productivity,” ESAI analyst Elisabeth Murphy explains. “If this productivity is sustained, it will create better economics for production outside of the core, giving producers more confidence to drill and complete more wells during a volatile oil price environment”.

heinad

CONTACT
Lindsay Meagher
Manager of Marketing & Communications
ESAI Energy
Office:  (781) 245-2036
www.esaienergy.com

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s