Could the Permian Basin Become the World's Most Productive?

While Saudi Arabia's Ghawar Field, which currently churns out around 5 million barrels of petroleum per day, is currently the world's most productive oil site, experts predict that the Permian Basin could soon steal the crown. No other oil field on the planet has ever come close to challenging Ghawar's reign, though in the face of current economic factors Saudi Arabia could soon be given a run for its money.  

Permian production on a steady incline

The first factor at play is the Permian's rapidly rising production rate, which hit the two million BPD mark in the 1970s. While it dropped significantly at the turn of the 21^st century, output climbed back up to over one million BPD in 2010, then soared when hydraulic fracturing emerged on the scene. By the end of last year Permian Basin production peaked at a huge 3.8 million BPD, which rocketed it into second place on the global productivity scale. Thanks to the Permian boom US production hit a record 10.2 million barrels per day in May 2018, with experts predicting the figure could jump to 14 million by 2020.

A spike in DUCs

An increase in the number of drilled but uncompleted (DUC) oil wells suggests that Permian production will continue to climb, with over 4000 DUCs currently waiting to be completed and exploited. Furthermore, the latest assessment by the U.S. Geological Survey (USGS) suggests the Permian Basin is still an untapped goldmine, with hotspots like the Wolfcamp Shale oil and gas zone and Bone Spring Formation thought to harbour a huge 46.3 billion barrels of oil, 281 Tcf of natural gas and 19.9 billion barrels of NGLs.

Of course, while Permian Basin resources are categorised as undiscovered yet recoverable, profits and productivity will ultimately depend on prevailing oil and gas prices and the cost of extraction. Nevertheless, rising production levels, a climbing inventory of DUC wells and eye-popping reserves estimates indicate that the Permian Basin could emerge as a major threat to the Ghawar Field.

Like all oil and gas sites, maximising the potential of the Permian Basin will rely heavily on next generation technologies. This included improving productivity, enhancing product quality and increasing profits by measuring the density of crude oil and petroleum products throughout the oil recovery process. For a closer look at how new technologies are helping producers meet these goals go behind the scenes with 'Density: a core parameter at key points.'