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The Bakken is better than ever

Opinion: Harold Hamm

 

Oil production in North Dakota is approaching record levels last achieved before prices cratered in 2014, with fewer than a third as many drilling rigs working. Advances in technology that helped American shale producers weather the prolonged downturn in oil prices now are allowing us to do much more with less.

Earlier estimated break-even development costs of $70 bbl by some analysts have been driven to as low as $26 bbl with advanced technology and ultimate management practices.

Today’s Bakken wells are producing at unprecedented levels, thanks to improved completion technologies that are boosting the economics of the entire field.

North Dakota’s oil production climbs toward heights last seen when oil traded for more than $100 a barrel, even though there are only 60 active rigs in the Bakken now, down from 191 just four years ago. The Bakken remains a world-class resource play that continues to exceed expectations.

The number of wells that have produced more than 100,000 barrels of oil equivalent in their first 90 days has increased dramatically over the past three years, compared to the prior decade and a half. Those wells are spread across the play, as its footprint expands rapidly.

At the same time, the price for this high quality Bakken crude has improved due to increased takeaway capacity in the Bakken and improving commodity prices. . .

 

Read Full Story Here (BismarckTribune.com)