• 5 minutes Drone attacks cause fire at two Saudi Aramco facilities, blaze now under control
  • 7 minutes China Faces Economic Collapse
  • 11 minutes Oil Production Growth In U.S. Grinds To A Halt
  • 13 minutes Iran in the world market
  • 15 minutes Ethanol, the Perfect Home Remedy for A Saudi Oil Fever
  • 17 minutes Experts review Saudi damage photos. Say Said is need to do a lot of explaining.
  • 21 mins Let's shut down dissent like The Conversation in Australia
  • 7 hours Saudis Confirm a Cruise Missile from Iranian Origin
  • 3 hours Who Benefits From The "Iran Attacked Saudi Arabia" Narrative?
  • 1 hour Pompeo: Aramco Attacks Are An "Act Of War" By Iran
  • 15 hours Is It Time To Invest In Offshore Drillers?
  • 12 hours Trump Will Win In 2020 And Beyond..?
  • 17 hours Trump new National Security Advisor. Trump easily manipulated.
  • 11 hours Democrats and Gun Views
  • 22 hours Aramco Production
  • 18 hours The Spy Money: U.S. Wants To Seize All Money Edward Snowden Makes From New Book
  • 15 hours Yawn... Parliament Poised to Force Brexit Delay Until Jan. 31
U.S. And Russia Battle It Out Over This Huge Iraqi Gas Field

U.S. And Russia Battle It Out Over This Huge Iraqi Gas Field

The geopolitically strategic gas field…

Can Argentina's Shale Boom Survive?

Can Argentina's Shale Boom Survive?

Argentina’s shale boom is falling…

Zeits: Natural Gas Output In U.S. Will Dip in 2016

onshore drilling operation

Average natural gas production in the mainland United States (US) is expected to fall for “the first year in a long while,” wrote energy industry analyst Richard Zeits in an article for Seeking Alpha published on Monday.

In his judgment, average natural gas production for the cautious US during the twelve-month period ending on 30 November 2016 will dip by 0.5 percent.

Additionally, Zeits claimed to be correct in his prediction made last February that the decline in rigs for the lower forty-eight states at the time represented “business as usual.” At the time, he said the industry would not see anything approaching the 350 rigs that were in production in 2014, and observed that a count of around 150 rigs “would be sufficient” for production to grow by 2 to 3 billion cubic feet a day per year.

According to data from Baker Hughes, Zeits noted the number of rigs since February has averaged at approximately eighty-three, and has remained relatively steady. The lowest count in the roughly last eight months was eighty on 3 June, and the 100-rig mark was surpassed as recently as last week.

The number of rigs stayed on the low side following an unseasonably warm February and March in the States. The horizontal and directional gas rig count were “sufficient operationally”, while underground natural gas storage will end the injection season in early November at the cusp of the “full” mark. Thus, Zeits he feels that demand for natural gas is being met despite the anticipated slight decrease in output.

Regarding the 2017 season commencing this November, Zeits feels the rig count excluding vertical rigs will overcome the 150 mark prior to June 2017. At least twenty-five vertical rigs are expected to become operational between November and next June.

By Erwin Cifuentes for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play