Alberta’s gas production is being forecast to decline at a 2% compound annual rate through 2017, according to Gil Yang, an analyst with Citigroup Global Markets Inc.’s investment research division.
However, coalbed-methane production is forecast to grow at an implied 10% rate in the same period, Yang adds. Overall oil production is forecast to grow at a 7% annual rate through 2017 with bitumen production forecasts implying a strong 9% annual growth in the same period, as numerous oil-sands projects are expected to come online.
According to the Energy Resources Conservation Board (ERCB) in Alberta, in 2007, remaining established reserves stood at 38 trillion cubic feet. Alberta produced 4.7 trillion cubic feet of marketable conventional gas in 2007, down slightly from the year before.
The board also reported that Alberta’s remaining established reserves of conventional oil are estimated at 1.5 billion barrels, a 3.5% decrease from 2006. In 2007, the ERCB reported drilling added 130 million barrels of conventional oil reserves, replacing 68% of production for 2007.
The ERCB estimates the remaining ultimate potential of conventional oil at 3.9 billion barrels. In 2007, the number of wells placed on crude oil production decreased to 1,745, compared with 1,956 in the previous year. The board also estimates that the number of new wells placed on production will increase to 1,900 wells in 2008 and remain at this level over the forecast period.