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The Rise Of Saudi Texas: Shale And Farewell To OPEC
IBD ^ | 07/03/2013

Posted on 07/03/2013 7:30:20 AM PDT by SeekAndFind

Oil: Production data for April show how fracking has shattered not only the shale rock in formations like Texas' Eagle Ford and Permian Basin but also the myths of "peak oil" and petroleum as an energy source of the past.

As Mark Perry notes on his Carpe Diem blog, Texas produced an average of 2.45 million barrels a day (bpd) of crude oil in April, according to the Energy Information Administration (EIA). That's the highest average daily output for Texas in any month since April 1985 — 28 years ago.

In only 2-1/2 years, the Lone Star State has doubled its crude output, making it what Perry dubs Saudi Texas and reversing a 23-year decline that fueled speculation that the maximum rate of petroleum extraction has been, or will soon be, reached.

As of February, the most recent month for which international oil production data are available, Texas would be the 12th largest oil producer in the world if it were a separate country, only slightly behind Kuwait and Venezuela. This is due to an oil boom that's added the equivalent of the Bakken formation in North Dakota to the state's output in just the past 16 months.

At the current pace of output gains, Texas' production will likely surpass 3 million bpd by year-end, pulling it ahead of Venezuela, Kuwait, Mexico and Iraq to become the equivalent of the ninth largest oil-production "nation" in the world.

The Eagle Ford shale formation, a 400-mile-long, 50-mile-wide, crescent-shaped field in the south central part of the state, is still brimming with crude. Its production in March rose 77% from a year earlier to 529,900 bpd, the Texas Railroad Commission reported.

(Excerpt) Read more at news.investors.com ...


TOPICS: Business/Economy; Culture/Society; Editorial; News/Current Events; US: Texas
KEYWORDS: eagleford; energy; ibd; ibdenergy; opec; shale; texas

1 posted on 07/03/2013 7:30:20 AM PDT by SeekAndFind
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To: SeekAndFind

2 posted on 07/03/2013 7:30:59 AM PDT by SeekAndFind
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To: SeekAndFind

And to think the environmentalist wackos wanted to shut down drilling in the Permian Basin because of a G-damn lizard.

Sorry, that sh!t doesn’t play here.


3 posted on 07/03/2013 7:34:25 AM PDT by unixfox (Abolish Slavery, Repeal The 16th Amendment!)
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To: SeekAndFind

More jobs and people with decent paying jobs buy more stuff benefiting sellers of that stuff. The Texas oil millionaire isn’t dead yet.


4 posted on 07/03/2013 7:40:51 AM PDT by count-your-change (you don't have to be brilliant, not being stupid is enough)
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To: SeekAndFind
That is great news. The only thing I don't like about this is that the history books will say that President Obama’s brilliant handling of the economy saved the country and the world. And they will have the statistics to prove it.
5 posted on 07/03/2013 7:45:21 AM PDT by oldbrowser (We have a rogue government in Washington)
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To: count-your-change
....and ND will be pumping a million barrels a day by year end....

ND joins OPEC...and various Arab and dim heads exploding all over

6 posted on 07/03/2013 7:46:51 AM PDT by spokeshave
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To: spokeshave
We may see more Middle East customers on Pawn Stars haggling over the price of their used Rolex's.
7 posted on 07/03/2013 7:57:45 AM PDT by count-your-change (you don't have to be brilliant, not being stupid is enough)
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To: count-your-change

Let them eat sand! To see that part of the world descend back into it’s medieval former condition would be wonderful to watch.


8 posted on 07/03/2013 8:07:26 AM PDT by vette6387
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To: SeekAndFind

That’s all good news ... but I don’t like that “Saudi” Texas moniker.


9 posted on 07/03/2013 8:17:54 AM PDT by al_c (http://www.blowoutcongress.com)
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To: vette6387
They may end up eating their own oil. Oil money pays for development which requires the consumption of oil.
10 posted on 07/03/2013 8:29:47 AM PDT by count-your-change (you don't have to be brilliant, not being stupid is enough)
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To: al_c

as a native Texan,I don’t either.

Now, The Republic of Texas, I like that!


11 posted on 07/03/2013 9:42:28 AM PDT by ro_dreaming (Chesterton, 'Christianity has not been tried and found wanting. It’s been found hard and not tried')
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To: ro_dreaming

Now we’re talking!


12 posted on 07/03/2013 10:53:10 AM PDT by al_c (http://www.blowoutcongress.com)
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To: Nachum; markomalley; Clairity; Carlucci; grey_whiskers; meyer; WL-law; Para-Ord.45; ...

IBD EDITORIAL PING


13 posted on 07/03/2013 11:25:45 AM PDT by raptor22 (Visit my blog at True Conservatives on Twitter: http://t.co/IKpP3cwq)
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To: SeekAndFind

Where are the ‘peak oil’ folks I used to fight with on here?


14 posted on 07/03/2013 6:48:50 PM PDT by PAR35
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To: SeekAndFind

2.45 million BPD from Texas. What is the current price of gas there and how much has it come down in price since the boom hit?


15 posted on 07/03/2013 6:59:18 PM PDT by Owl558 (Those who remember George Santayana are doomed to repeat him)
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To: Owl558

It’s 3.39 a gallon for me, and I spend upward of $100 a week on gas (for an F150, 5.7L V8, 4x4). I drive 75 miles a day round trip for work, and have 65,500 miles in just over 3 years on the truck.

In 191 fuel-ups on the F150, I’m running an average of 15.5 MPG, and my average price per gallon is $3.38 over those three years. I have never missed tracking a fuel-up. I’ve spent a total of $2,576.05 on gas.

That said, it’s still about twice what it should be. The most I remember paying is 3.939 a gallon, in April of 2011.


16 posted on 07/10/2013 9:28:56 AM PDT by ro_dreaming (Chesterton, 'Christianity has not been tried and found wanting. It’s been found hard and not tried')
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