MIDLAND, Texas —
The top operators are producing more crude oil without needing to use as many rigs, according to a report from Reuters.
Company executives say producers are using techniques like extending their wells to as much as three miles, squeezing more wells into a single drilling pad and fracking several wells at a time.
However, the Permian Basin Petroleum Association told NewsWest 9 that while efficiency in the industry is a good thing, it's important to not downsize too much.
“While there has been great leaps and growth in efficiency and continuously dwindling rig count, it is still something to be cautious about and pay attention to," said Stephen Robertson, executive vice president of the PBPA. "If we are not drilling new wells to be able to replace the production from old wells because all wells decline in their production over their lifetime. If we are not drilling new wells, we won't continue to grow in production.”
This sort of decline can have severe consequences for more than just the Permian Basin.
“We won't continue to be able to be the largest energy producing region in North America," Robertson said. "The most important energy producing region for energy security, for energy safety, for not just our region, but for the United States and the world.”
Robertson said this is why it’s important for there to be continuous support for the industry because of the critical role it plays in everyday life for everyone.
“And so, it's incredibly important that people understand that yes, efficiency and growth in technology has greatly improved what we do out here in the Permian Basin," Robertson said. "But we are still greatly impacted by whether or not this industry is supported and whether or not it is truly believe that what we do out here makes a difference, which I absolutely 100% believe.”