Oil and gas production in the Permian’s Delaware Basin will climb to record levels this year, according to research from Norwegian firm Rystad Energy.
Boosted in part by private operators looking to take advantage of high oil prices, the Delaware Basin will produce an average of 5.7 million barrels of oil equivalent per day in 2022. The basin is already considered the top-producer in the Permian, and will see an increase of around 990,000 barrels per day.
“The Permian Delaware has emerged as the top oil-producing play in the US shale patch, outpacing growth in other oil-rich regions,” said Veronika Meyer, shale vice president for Rystad. “With oil prices expected to remain elevated, 2022 promises to be another outstanding year for production growth in the region.”
The prediction is based on research from over 60 producers in the Delaware. It assumes oil will stay above $100 per barrel this year, drop to $70 next year, and settle around $50 per barrel heading into 2025. by Kyra Buckley,