BPX Energy, the Houston-based subsidiary of BP Plc, is looking to drastically ramp up its U.S. production over the second half of the decade, Clark Edwards, BPX’s vice president of development, said May 15 during the SUPER DUG Conference & Expo in Fort Worth.
BPX is looking for more liquid heavy volumes, at least based on current pricing, and has ambitious but achievable production goals over the coming years, Edwards said.
“We're consistently currently doing over 400,000 boe/d with plans to go to 650,000 boe/d by the end of decade,” Edwards said.
“One of the things that I think is interesting about that growth portfolio is that it is all organic, so we are growing through the drill bit,” Edwards said, adding that BPX feels advantaged in that regard.
“We feel like we're as good as anybody [and] we're really looking forward to what 2024 through 2030 holds in store for us.”
BPX now has three central processing facilities in operation in the Permian Basin and looks to bring its fourth facility online by mid-year 2025.
“We've got three or four central delivery points online as of now; the most recent one came [online] in early April. Our last one will come online mid-2025,” Edwards said.
RELATED
BP CEO: Final Permian Processing Facility to Come Online by Mid-year 2025
Edwards said the electrification of BPX’s wells in the Permian offers an advantage for both drilling completions and follow-up operations.
“And we really like what it does for us from an efficiency perspective,” Edwards said. “At the end of 2023, about 95% of our Permian well sets [were] fully electrified. … That's a huge part of our strategy … trying to produce a better barrel, a barrel with the lowest carbon intensity we can create.”
Recommended Reading
What's Affecting Oil Prices This Week? (Sept. 16, 2024)
2024-09-16 - With expectations for more favorable supply/demand fundamentals and improvement in the sentiment of oil traders, Stratas Advisors forecast higher oil prices with the price of Brent crude moving back above $80.
Brent Crude Falls $1/bbl on Demand Fears
2024-09-04 - Brent crude oil prices fell to $72.75 on Sept. 4 on fears about demand in the coming months as crude producers offered mixed signals about supply increases.
Saudi Signals Willingness to Weaken Oil Prices, Defend Market Share
2024-09-26 - Analysts caution that reports of Saudi Arabia abandoning a philosophy of supporting prices in favor of defending market share could be a move to get OPEC+ members in line rather than to launch a costly oil war with the U.S., among others.
What's Affecting Oil Prices This Week? (Sept. 30, 2024)
2024-09-30 - Based on Stratas Advisors' demand forecast, there is room for Saudi Arabia to increase supply gradually and not collapse oil prices — if there is no dramatic increase in non-OPEC supply and the other members of OPEC+ do not grossly exceed their quotas.
Oil Prices Jump 4% on Reports of Iran Preparing to Attack Israel
2024-10-01 - An Israeli attack on Iranian oil production or export facilities could cause a material disruption, potentially more than a 1 MMbbl/d.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.