Drilling activity for crude oil and natural gas in Permian Basin, Texas and New Mexico was unchanged in the past week, according to the April 9 report from Baker Hughes. Permian has 224 rigs (175 to start 2021), Texas has 209 rigs (161 to start 2021), and New Mexico has 70 rigs (65 to start 2021). Baker Hughes reported a gain of 2 rigs in the U.S. in the past week to 432 (351 to start 2021).
Lea County, N.M., is the basin and national leader with 44 rigs (unchanged in past week) followed in Permian by Eddy, N.M., with 26, Midland with 23, Howard with 21, Martin with 20, Reeves with 19, Loving with 16 and Upton with 11.
Louisiana remains third among states with 46 rigs followed by Oklahoma with 20 and Pennsylvania with 19. And Haynesville remains No. 2 among regions with 45 rigs followed by Eagle Ford with 33, Marcellus with 30 and Williston with 14.
- Among Permian operators reporting improving rig counts is Patterson-UTI Energy. Andy Hendricks, president and CEO, told Midland Reporter Telegram, “Since last September we have nearly doubled the number of our rigs that are actively drilling in the Permian Basin. We anticipate our overall activity to continue to trend upward through the year based on current conversations with customers.”
- S&P Global Platts Analytics said last week gas production in Haynesville is surging because of strong wellhead economics to brighten the outlook for LNG exports. Haynesville output in April is trending at record levels of more than 13 Bcfd with gains widely distributed across Texas and Louisiana portions of the play. Recent production strength comes after a steady build in drilling and completion activity in the past 7 months. Platts said feedgas demand from four Gulf Coast export terminals – Sabine Pass, Cameron, Freeport and Corpus Christi – is trending to record levels. U.S. terminals should continue to operate at more than 90 percent capacity utilization through the summer, according to Platts.