Active Rigs In North Dakota At 183 -- December 12, 2014

Active rigs:

	12/12/2014	12/12/2013	12/12/2012	12/12/2011	12/12/2010
Active Rigs	183	191	184	201	166

RBN Energy: this is a great review of the Permian and Eagle Ford as an introduction to shipping NGLs out of the Permian. Another must-read for those interested in the Bakken, Eagle Ford, and the Permian.

It’s become clear that NGL production in the Permian and the Eagle Ford—which currently totals 1.2 MMb/d, up from 0.5 MMb/d four years ago—has only just begun its rise. By this time next year, Permian/Eagle Ford NGL production could exceed 1.3 MMb/d; by late 2017 it may approach 1.5 MMb/d, and by late 2019,  top 1.7 MMb/d. That’s a heady rise, and requires a lot of new-build gas processing plants, NGL pipelines and other infrastructure.  (Of course, if lower crude prices over a long period of time result in a lot less drilling, than the numbers could come in lower.  But for now, let’s stick with this outlook.)

Later:

Before we get into the nitty-gritty of gas processing capacity, pipelines and the rest, let’s hold a quick refresher course on our two basins: the Eagle Ford and the Permian.  The Eagle Ford is known for its ‘three window’ structure – dry gas, NGL/condensate, and oil.  The Permian  is really a mega-play with several sub-basins. 

The Permian’s sub-basins include Delaware, Central, Midland, Eastern Shelf, Northwestern Shelf, Diablo Platform and Ozona Arch. Underlying those sub-basins are the stacked plays--multiple hydrocarbon-bearing strata with names like Sprayberry, Wolfberry, Cline, Wolfcamp and Bone Spring. 

Some of these stacked plays have seen crude, gas and NGL production ramp up dramatically over the past few years, and still others could be on the cusp of a mega-growth phase if the economics hang in there. We should point out that crude oil production in the Permian has become increasingly gassy of late—that is, a larger percentage of  crude oil production from the higher growth areas of the Permian comes along with a lot of associated gas, much of it quite rich (with a high BTU content – meaning more NGLs can be extracted).

And a great, great graphic at the link, and much more narrative.