Corona virus, new drilling techniques, price issues, pipelines and flaring all discussed this month with Lynn Helm’s Director’s Cut.
“The drilling rig count was very stable in the mid 60’s for the first half of the year,” Helms said. “Based on oil price, capital availability, and gas capture operators implemented plans to 10-12 fewer rigs second half of 2019.Industry projects a rig count in the mid 50’s for all of 2020.”
Helms said North Dakota produced 1.476 million barrels per day of oil in December, the latest month for which figures are available. That represents a 3% drop from November.
“The number of well completions has stabilized at a lower monthly number due to weather, gas capture, and oil price,” Helms said. “Right now, 98% of drilling targets the Bakken and Three Forks formations.”
North Dakota produced 3.06 billion cubic feet per day of natural gas in December and captured 84% of it. The state requirement is 88% capture target.
“Drilling permit activity has slowed down due oil price and gas capture,” Helms said. “Operators continue to maintain a permit inventory that will accommodate varying oil prices for the next 12 months.”
Click here for the Bakken’s Monthly Production Report
The Director’s Cut is a monthly publication by the North Dakota Director of Mineral Resources Lynn Helms. Information contained within the Director’s Cut is as complete as possible at the time of publication.
Monthly production reports include all wells capable of producing and all permits issued in North Dakota for the month reported.
