09.03.2017, 18:01
North Dakota gas output up from 20-month low
OREANDA-NEWS. North Dakota January gas output rebounded from the 20-month low in December amid favorable weather conditions.
Gas production in January increased to 1.56 Bcf/d (44mn m?/d), up by 1.3pc from December and 4.9pc lower than a year earlier, according to the North Dakota Department of Mineral Resources.
The production increase tracked the state's crude oil production which rose about 4pc month-over-month to 980,294 b/d.
Nearly all of the gas produced in North Dakota is associated gas from oil wells that tap the Bakken and Three Forks formations.
Both crude and gas production fell sharply in December as high winds and frigid winter weather inhibited hydraulic fracturing and well completions. Weather conditions remained harsh in early January but were more favorable in later parts of the month, likely causing the uptick in production, department director Lynn Helms said.
Harsh wintery conditions and road restriction for trucking as snow starts to melt will likely affect production through the middle of the year, according to Helms.
The number of well completions in January fell by 36pc from December to 54, according to the agency. Estimated wells waiting on completion, known as drilled but uncompleted wells (DUCs), in January reached 802.
That "very high" number of uncompleted wells should feed production during the second half of the year, but oil production is not expected to exceed a million barrels per day before late 2018, Helms said.
Favorable weather conditions in January also helped producers capture more gas from the month earlier. Gas captured by North Dakota operators in January was at 88pc, up from 86pc a month earlier. Cold weather can result in pipeline freeze-offs forcing producers to flare gas.
Gas production in January increased to 1.56 Bcf/d (44mn m?/d), up by 1.3pc from December and 4.9pc lower than a year earlier, according to the North Dakota Department of Mineral Resources.
The production increase tracked the state's crude oil production which rose about 4pc month-over-month to 980,294 b/d.
Nearly all of the gas produced in North Dakota is associated gas from oil wells that tap the Bakken and Three Forks formations.
Both crude and gas production fell sharply in December as high winds and frigid winter weather inhibited hydraulic fracturing and well completions. Weather conditions remained harsh in early January but were more favorable in later parts of the month, likely causing the uptick in production, department director Lynn Helms said.
Harsh wintery conditions and road restriction for trucking as snow starts to melt will likely affect production through the middle of the year, according to Helms.
The number of well completions in January fell by 36pc from December to 54, according to the agency. Estimated wells waiting on completion, known as drilled but uncompleted wells (DUCs), in January reached 802.
That "very high" number of uncompleted wells should feed production during the second half of the year, but oil production is not expected to exceed a million barrels per day before late 2018, Helms said.
Favorable weather conditions in January also helped producers capture more gas from the month earlier. Gas captured by North Dakota operators in January was at 88pc, up from 86pc a month earlier. Cold weather can result in pipeline freeze-offs forcing producers to flare gas.
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