Increased use of enhanced-recovery practices has produced a substantial impact on U.S. oil production, making up 71% of all oil production in Texas and 17% of total U.S. production at the end of 2013.
The estimated ultimate recovery (EUR) for a Permian Basin vertical well is between 100,000 and 150,000 BOE, with horizontal wells yielding averages from 350,000 BOE to more than 600,000.
According to industry consultants, production in the Permian Basin is estimated to grow 60% between now and 2016, reaching a total of 1.8 million barrels per day.
Predictable vertical well economics deliver break-even points at less than $55 per bbl (Midland Basin). 1 Standard & Poor’s 2013 Report.