Meanwhile, however, drillers may be running out of sweet spots in the shale basins of the country. In an article citing well data, the Wall Street Journal reported earlier this month that because of the quick depletion rates of shale wells, low-cost resources are giving way to higher-cost deposits. And this is motivating a warier approach to production growth.
Markets Insider
The shale revolution made the US a net oil exporter, but skepticism about shale production forecasts suggests the need for other supply sources. Given the shale uncertainty and the unrealistic expectations regarding the energy transition, greater US dependence on imported oil is on the horizon. This bodes well for OPEC, but not so well for US and international consumers.
BOE post, 1/4/2022
Yet Lease Sale 257 was vacated because BOEM didn’t analyze the GHG reduction that would result from reduced international consumption caused by zero US leasing (and thus higher oil and gas prices). Fortunately US onshore production on private land is not subject to this absurd and economically destructive level of oversight.
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