US crude oil inventories. Some things to note about the graph below:
- the 10-year median includes the two years (end of 2014 to the end of 2016) that Saudi Arabia flooded the market with oil, in an unsuccessful attempt to "break" US shale producers;
- during nine of the ten past years the median has been affected by the fact that there has been no effort to curb global production by anyone, not even OPEC;
- it was only in the past year or so, that OPEC and Russia have tried burned off inventory and made a concerted effort to cut production; meanwhile, US producers are setting new production records;
- a 20-year median might be a bit more helpful but even that would be skewed by change in gasoline demand over the past 20 years;
- the best chart to follow crude oil inventories? The number of days of supply which is currently running about 24 days, well below the recent peak of 32 days but somewhat greater than bulls would like to see (18 - 20 days)
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Filloon: Newfield
FWIW, Mike has another of his SeekingAlpha contributions: Newfield well deisng improvements increase oil production over 30%.
- NFX overall oil production up over 30%.
- Utah has seen the biggest improvement followed by North Dakota.
- Oklahoma results have shown little improvement, but other areas more than offset.
It has been a long time since Newfield announced it was leaving the Bakken to focus on wells in Utah. While that idea didn't seem to work out, its leasehold in the SCOOP/STACK has interesting potential.
Play results have been inconsistent, but we are beginning to figure out what the play can do. Newfield is active in three main plays. The other two are the Uinta in Utah and Bakken in North Dakota. In this data analysis, we break down and model oil production as a whole and then broken down by play over time.
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