Permian Basin Wolfcamp Playbook 2014

Permian Basin resource plays are set to see production growth that continues the renaissance transforming the area. Hart Energy forecasts 1.2 MMboe/d of Permian production growth by 2025, with oil and NGLs contributing ~1 million bbl/d. That nearly doubles today's 1.5 MMbbl/d. Production will ramp up from unconventional drilling with solid margins because most wells breakeven oil price is below $70/bbl. Economics like these economics help explain the upward trend in Permian activity and capital budgets.