How the Permian Basin Became North America's Hottest Oilfield | WSJ

The U.S. has more than doubled its crude oil output over the last decade. Much of the growth is due to the Permian Basin of West Texas and New Mexico. WSJ traces the hotspot of North America’s crude oil boom, with a look at challenges that producers in the region face.

#WSJ #oil

[walid]

No political views shoved from the left, none shoved from the roght, just key, and useful information aidong our lives.

Thank you WSJ

[deadshot_reaper]

I work in the Permian and have been here for over 10 years. We are currently as of 2022 beginning to use natural gas to power equipment

[evanbrown]

Good video.


I am a Petroleum Geologist who has worked on and in the Permian Basin, and others around North America and the world in my short career. The Basin will remain an important part of the energy mix of the USA for a long time. However some of the estimates of potential overall production that are possible seem very unlikely.


One of the main lessons of the last 10 years is that there are limits and diminishing returns related to the application of technology. Many of the technologies that were supposed to lead to revolutions in oil and gas production such as, longer fracs, more stages, more stages done simultaneously, microseismic (honestly each service provider has their own idea about how this helps) aided fracturing design, and new chemical and frac prop mixes, none of these have allowed companies to produce profitable wells at near any price from non "Sweet Spot" areas of the target formation. Wolfcamp A-D, Avalon, Montney Up/lwr, Horn River, Bakken, are all heterogeneous and the variability in characteristics that make or break a companies profit margins are on a scale much smaller then previously thought.


So when a company talks about break even costs for drilling etc, they are almost certainly giving their best estimates of wells that are drilled in the sweet spots with good well control from wells that bypassed the target fm, >95% of the hz drilled in the target zone with it being homogeneous along the well bore, and the frac design working and implemented properly.


As with all oil and gas resources the low hanging fruit is starting to be picked over and those who make money in these ares will be those who understand these principals.

[bucketlist]

New Mexico is the hot spot today, the oil is booming there, the roads are destroyed from the over loaded trucks on them.

[abcdefg]

That is about to change soon, the flaring will no longer be disposed to the air, there gonna create some kind of electrical turbine and it will generate electrical to power Frac sites, instead of the huge vast amount of diesel engines running to frack the shale.

[Odinb]

05:00 interesting movie Tulsa! About this spacing technique from 1949.

[haydensnyder]

The google earth view of pad sites or well locations is from my family's ranch just south of Odessa. Great video and great information. Thanks for sharing!

[AnythingGoesCodes]

I've deployed to Iraq. Those burning towers are everywhere, wasting resources and ruining the environment.

[cementer]

Not so much Big Lake, but at Texon, a few miles west, where the Santa Rita #1 was drilled.

[rogerdiogo]

Just when Germany tought America was out of oil, LOL!

[longliveJeffdahmer]

i’m from el paso, Tx and growing up we already heard about the oil jobs in middland

[smkser]

DRILL BABY DRIL OH YEAHHHH AMERICA NUMBA WAHNNNN!!

[blackshirtsd]

I worked in the oil field for some time. I’ve always said that we should be buying up everyone else’s oil (while it’s “cheap” TODAY-right now) before we use our own. If we tap out of oil and need it as bad as we’ve always needed it, what do you think Saudi Arabia and Russia are going to charge us when that time comes. They WILL hold us hostage, keep our feet to the fire, and we’ll be like a heroine addict who’ll do anything for a “fix”!

[CLUB-thpp]

I once PUMPED THE FIRST WELL IN THE PERMIAN BASIN, Westbrook Tx.

[CommanderZion]

Very interesting and informative video.

[xbmkyfg]

1. Wellpads per acreage increased which lowers producticity leads to fewer acreage 2. Lower distribution pipeline 3. Climate issues (flaring. air quality. co2 issues)

[mayurgupta]

In March 2019, i gave a presentation on same topic in my office. Its so good to see wall street making a video on it three months later. #Drillinginfo

[Alaskafamilyman]

That map in the beginning didn’t show Alaska, which has significant oil and gas

So any heads up for 2020? I own oilfield trucks. Nothings seems good right now @ Odessa Tx.

[Davidbrant-rl]

The thing they dont tell you is main ingredient of fracing is condensate LOW GRADE JP-4 JET FUEL. I WAS A FRACER. 3 3/8 pump truck. Saw alot of good men die in late 70s in Red Desert wyoming 9 good men with halliburton from rock springs wyoming. Sad day.