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Crude oil and natural gas production at Eagle Ford shale play in southeast Texas decreased by 35% and 20%, respectively, in May 2020 due to the CVD-19 epidemic, Globladdata reported. The data and analysis company have shown no signs of a sharp rise in crude oil and natural gas production, with prices hovering above $ 70 a barrel, despite rising WTI crude oil prices. It is estimated that an additional $ 1.5 billion will be needed to reduce production by 10 percent by the end of next year.
According to a recent report by Globally, “Eagle Ford Shale in the United States of America – Oil and Gas Shal Market Analysis and Vision 2025”, production at Eagle Ford was relatively stable at 1,070,000 barrels per day (MBD). For crude oil and 5,850 million cubic feet per day (mmcfd) for natural gas since June last year.
Oil and gas analyst Svetlana Doh of GlobalData commented: “WTI futures rose 38 percent in the first half of 2021 and reached $ 72 a barrel in July. The number of Ford rigs has increased by 27 percent. However, we are seeing an increase in production as the newly drilled wells need to be completed and put into production. In the last six months, the rate of growth has slowed by almost 3%, unless Eagle Ford operators opt for more aggressive drilling. Strategy ”
Doh went on to say, “Similar to other basins, Eagle Ford has increased its M&A activity as operators try to focus on key areas. Silverborough Resources, for example, dominated the Eagle Ford shale and is currently finalizing its third purchase of the game. The series aims to gain a large number of return points to strengthen the company’s position in the game and make it more flexible for the operator to build its future growth strategy.
Although the price seems to be higher for the Eagle Ford Shal, the Permian Basin is still Texas ‘main player and you will see most of the operators’ active browsers coming soon. The Permian Basin rebounded to pre-epidemic levels last month, despite the biggest drop in production in the US last year.
Doh concludes: “Assuming oil prices remain stable at the current level, crude oil and natural gas production in the Eagle Ford shale is forecast to rise sharply in the 2021-25 forecast period. Natural gas production in the Eagle Ford shale is expected to grow by 17% by 2021-25 and reach 7,000 mmcfd by 2025, and crude oil production is expected to increase by 29 percent to 1,400 mbd. Therefore, both products are expected to reach higher levels by 2021 by the end of 2024.