• 4 minutes "Saudi Armada heading to U.S.", "Dumping" is a WTO VIOLATION.
  • 7 minutes Trump will be holding back funds that were going to W.H.O. Good move
  • 11 minutes Washington doctor removed from his post, over covid
  • 15 minutes Which producers will shut in first?
  • 29 mins Why Trump Is Right to Re-Open the Economy
  • 31 mins A small trial finds that hydroxychloroquine is not effective for treating coronavirus
  • 4 hours Charts of COVID-19 Fatality Rate by Age and Sex
  • 5 hours 80's GOM Oil Fam: Mid-80's Oil Glut Part Deux?
  • 11 hours Wouldn't fall in demand balance it out?
  • 7 hours US Shale Resilience: Oil Industry Experts Say Shale Will Rise Again
  • 7 hours Its going to be an oil bloodbath
  • 16 mins CCP holding back virus data . . . . . . Spanish Flu 1918 MUTATED, Came in 3 waves, Lasted 14 months and killed upward 5% World population
  • 19 hours Free market or Freeloading off the work of others?
  • 19 hours Trump will meet with executives in the energy industry to discuss the impact of COVID-19
  • 20 hours ‘If it saves a life’: Power cut to 1.5 million Californians
Alt Text

Standard Chartered Sees Record Oil Demand Loss This Year

Lockdowns and travel restrictions will…

Alt Text

Could Oil Really Fall To $0?

More bad news for the…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Permian Beats Own Record In Oil Production

The Permian Basin pumped an estimated 815 million barrels of crude this year, beating its previous record of 790 million barrels, achieved back in 1973, IHS Markit reported. The figures once again reinforce the Permian’s status as the star of the U.S. shale patch and the main threat to OPEC’s efforts to reduce global oil production in a bid to prop up prices.

With so many reports about the Permian’s recent glory it’s easy to forget that the play is actually a mature one and in the past it has been written off as depleted. Instead, it has become the main driver of the overall oil production increase in the United States that has turned it into the main challenger to OPEC’s global oil industry dominance.

Over the past decade, IHS Markit figures show, the Permian has added almost 2 million barrels to daily production and by the end of this year it will be producing 2.75 million barrels daily, IHS market estimates suggest. This will boost total U.S. oil production to more than 10.5 million barrels by the end of next year, IHS’ director of energy research and analysis, Reed Olmstead, said. This would be an all-time high for the world’s top consumer of the commodity. Related: Goldman: Oil Markets To Balance Sooner Than Expected

The Houston Chronicle recalls that the Permian’s star first rose in the 1920s and since then, total production has reached more than 39 billion barrels of crude. Yet for decades, drillers only developed conventional oil fields in the area, and production from these started declining steadily in the 1970s as demand boomed.

It was only thanks to fracking that the Permian went back on the map of promising oil-producing areas and, according to IHS, it still contains some 70 billion barrels of technically recoverable oil. This amount could actually increase as fracking technology advances further, enabling drillers to tap previously unrecoverable reserves of crude oil.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage






Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News