The Permian Basin is set to produce about 1.72 million barrels per day in September, 38,000 bpd more than August, according to the Energy Information Administration’s drilling productivity report. -
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How much oil was the permian basin producing at the end of 2013? Consider this article.
“The Permian is now the top oil-producing area in the U.S., accounting for 18% of the nation’s total output in 2013. Based on data from the Energy Information Administration, the Permian recorded production of 1.35 million barrels per day last year. The region hit a low mark of 850,000 bbl/d in 2007.”
http://www.foxbusiness.com/industries/2014/08/07/permians-oil-surge-creates-need-for-pipelines/
A little math yields 1.72 million barrels@ day-1.35 million barrels @day=370,000 barrels@ day increase in the permian basin oil production as of the end of Sept 2014.
So how likely is it that Permian basin oil production increases will go over 500,000 by the end of 2015?
Ping.
There is a railroad that runs from Monahans, Texas up to at least Hobbs, New Mexico. I suppose they could use that for the excess oil unless the railroad is at capacity.
ping