NORTH DAKOTA (KXNET) — June saw a lot of pros and cons for the state’s oil and gas industry.
According to Lynn Helms, the state’s Department of Mineral Resources Director, crude oil saw a 3.5% increase for the month of June.
However, one county in North Dakota did see a drop of 12,000 barrels a day and that was Dunn.
Helms says the state fell just 4,000 barrels a day, which is short of its expected 1.1 million barrels.
Into July, the state does expect continual growth, but August is looking a little more questionable as the Robinson Lake plant shutdown is starting and there have been issues on the northern border pipeline.
So gas capture is likely to limit crude oil production growth in August.
Gas production is looking at nearly a 10% growth.
Oil prices in June were $111 a barrel and is estimated to be just under $90 a barrel today.
Rigs looking for crews are now down to five as opposed to the previous number of 12.
While North Dakota did see a record well count in June, the state did not see a record in either oil or gas production.
Frac Crews are now down to 16 crews, while last month, that number was sitting at 18, and the workover-rigs dropped from about 2,400 to now just over 1,700.
Great news for the state as they see once inactive wells, producing once again.
“We’re not anticipating a big spike or a ramp up in drilling activity, again, just this slow increase in rig count and frac crew or completion crew count taking us through the end of the year,” said the North Dakota Department of Mineral Resources Director, Lynn Helms.
In June, North Dakota did maintain over a 90% gas capture rate and now only have three major fields on the watchlist.