Crude oil production in seven major regions of the U.S. is expected to increase in July for the third straight month, according to the latest drilling productivity report from U.S. Energy Information Administration. An increase of 38,000 barrels per day is forecast for July to 7.803 million b/d from 7.765 million b/d in June. That includes a gain of 56,000 b/d in Permian Basin to 4.663 million b/d. Appalachia is the only other region expected to add crude oil production in July.
Production of natural gas is also forecast to increase. Across the seven regions, production will gain 50 million cubic feet per day to 84.302 billion. Haynesville is expected to add 137 million cfd to 13.079 billion cfd, and Permian is forecast to add 66 million cfd to 17.668 billion cfd. Appalachia remains the leader with July production of 34.604 billion – up 18 million cfd from June.
The count of drilled but uncompleted wells continues to decline – falling another 247 DUC wells in May to 6,521 in the seven regions. According to the EIA, Permian had 2,616 DUC wells in May – down from 6,768 in April.