29 Jul '13, 8am
Will the Bakken “Red Queen” have to run faster?
This post is an update and continued expansion to my previous posts about tight/shale oil in Bakken/Three Forks in North Dakota (ND); Is Shale Oil Production from Bakken Headed for a Run with “The Red Queen”? Is the Typical NDIC Bakken Tight Oil Well a Sales Pitch? This post documents: At present oil prices Bakken tight oil has the overall prospects of being profitable. Between 70-75% of the studied wells (well cost @9Million and oil price @$90/bbl) were found to have a prognosis for being at or above breakeven (being profitable). If (or rather when) average well productivity declines further, this will add a new meaning to the term tight oil. Developments in average well productivity. FIGURE 1: The chart above shows monthly net additions of producing wells (green columns plotted against the rh scale) and development in oil production from Bakken (ND) (thick dark blue line...