Few places in the world dominate headlines and affect government and company energy strategies like the Permian Basin. The special report you’ll find with the January issue of Oil and Gas Investor commemorates the 100th anniversary of this great region and sheds light on its promising future, as its significance on the world energy scene increases.
The W.H. Abrams No. 1 was spud in Mitchell County in 1920, producing oil from a Permian rock layer. Even though it was a modest well, it was important because E&P companies that were focused on East Texas had not thought much about West Texas until then. Soon, drilling activity expanded out to Midland, south to Pecos, west to Artesia and Hobbs.
Lo and behold, 100 years later we are still learning where and how best to tap into this basin’s vast potential. It’s producing around 4.5 million barrels a day (MMbbl/d), but experts think it has so much more to give. The Global Gas and Oil Network and Oil Change International, using projections from research firm Rystad Energy, said the Permian will account for 40% of all new U.S. production over the next 30 years.