In the last year, commodity prices have improved considerably. While oil prices were sub-$40/b in early 2016, producers were cutting back on new drilling and focusing on efficiencies — by cutting costs and concentrating drilling in the highest initial production (IP) rate counties — to get the most bang for their buck.
Posts tagged ‘oil drilling’
January 27, 2017 05:01 UTC
December 29, 2016 05:01 UTC
Sometimes, it’s the little things. Sometimes, the little thing might be less than six inches long.
When the price of oil started falling, everybody wanted to know what the breakeven price was in US shale plays; there seemed to be a general consensus that if you said $70, you’d sound reasonably intelligent. More recently, my colleague Carin Dehne Kiley of S&P Ratings wrote a thorough analysis that said when you figure in natural gas value and average interest expense, the “required wellhead oil price” was $55.
November 7, 2016 04:01 UTC
An ambitious effort to collect “near miss” data from US offshore drillers has stalled, but regulators are working to get the program back in gear.
The program to identify leading indicators of loss of well control events was launched after the 2010 Deepwater Horizon accident. It is patterned after the similar, successful partnership between the Federal Aviation Administration and NASA to collect data on aviation mishaps.