Overall drilling in U.S. shale basins has increased 38% from a year ago, according to a report by NGI’s Shale Daily.
This increase has been spurred by 100-200% jumps in oil and liquids rich natural gas plays such as the Niobrara in Colorado and southern Wyoming (200%), the Eagle Ford in South Texas (126%) and the Bakken in North Dakota and Montana (105%). U.S. Shale and tights sands rigs at work overall increased to 942 rigs compared to 684 a year ago.
The massive move into the oil/liquids plays reflects the response to the wide spread between the higher oil and bottom-dwelling natural gas prices over the past year.
During the same year ending Jan. 7, 2011 drilling in the Marcellus shale basin in the Appalachian area increased 47%, while the Piceance in western Colorado and Uinta in eastern Utah tight sands plays also showed robust drilling increases of 42% and 33% respectively. The Granite Wash in western Oklahoma and Texas registered an 89% drilling increase over the past year, also reflecting a high liquids content, while the Cana-Woodford, in central Oklahoma, had a drilling increase of 36%. Another popular Texas shale play, Barnett, picked up a 7% gain in rig activity.
On the Decline
On the opposite side is the 8% decline in Louisiana's Haynesville drilling, the 19% drop in the Arkoma-Woodford in Oklahoma and the 18% decline in the tight sands Green River Basin in Wyoming during the same period. Arkansas’ Fayetteville shale also saw a decline in activity, posting a drilling decline of 6%.
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