North Dakota Oct. oil output estimated down by 500,000 barrels, state regulator
Rewrites throughout
By Georgina McCartney
HOUSTON, Oct 17 (Reuters) -Oil output in North Dakota, the third-largest producing state in the U.S., is estimated to have fallen by around 500,000 barrels through October, after wildfires crossed into key producing counties earlier this month, a state regulator said on Thursday.
Exxon Mobil XOM.N was among operators that last week shut in some oil wells and production sites in the state in response to the fires.
"My best estimate is around 500,000 total barrels removed from those October numbers," said Justin Kringstad, director of the North Dakota Pipeline Authority.
There were around 100,000 barrels per day (bpd) affected in the immediate response to the fires, down to around 50-80,000 bpd in the week after, Kringstad added.
The state currently has 18 frac crews operating, down from 20 last month, according to Mark Bohrer, assistant director of the oil and gas division at the North Dakota Department of Mineral Resources.
"We have 40 rigs running today even with the mergers and acquisitions, our rig count has remained fairly steady," Bohrer added.
Oil production in the state rose by 9,630 barrels per day (bpd) in August, to an estimated 1.179 million bpd, according to state regulators on Thursday.
And the number of producing wells in North Dakota in August reached a record high, at 19,117 wells.
The state has also permitted three to four four-mile lateral wells, which will help operators develop some of the tier two and three locations that were previously economically more challenging to drill, according to Bohrer.
Reporting by Georgina McCartney in Houston;
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
