Record increases in US crude oil, natural gas reserves in 2010

Posted on 09 August 2012

US proved crude oil and natural gas reserves achieved record annual volumetric increases in 2010, according to a new report by the US Energy Information Administration (EIA). “The use of horizontal drilling and hydraulic fracturing in shale and other tight rock formations played an important role in the increase of oil and natural gas reserves,” Adam Sieminski, EIA administrator, said. “For both oil and natural gas, these reserves increases underscore the potential of a growing role for domestically produced hydrocarbons in meeting current and projected US energy demand.”

Proved oil reserves, which include crude oil and lease condensate, increased by 13% in 2010 to 25.2 billion bbls, marking the second consecutive annual increase and the highest volume of proved reserves since 1991, according to the US Crude Oil, Natural Gas and Natural Gas Liquids Reserves 2010.

Among individual states, Texas recorded the largest volumetric increase in proved oil reserves, largely because of ongoing development in the Permian and Western Gulf Basins. North Dakota had the second-largest increase, driven by development activity in the Bakken formation in the Williston Basin.

Natural gas proved reserves, estimated as “wet” gas that includes natural gas plant liquids, increased by 12% in 2010 to 317.6 Tcf, the 12th consecutive annual increase and the first year US reserves surpassed 300 Tcf.

Texas also led the nation in additions of natural gas proved reserves, primarily because of continued development of the Barnett and Haynesville/Bossier shale formations. Louisiana had the second-largest volumetric increase, largely the result of ongoing development activity in the Haynesville. In Pennsylvania, accelerated drilling programs in the Marcellus more than doubled the state’s year-end 2009 volumes.

Contributing to the increases for both oil and natural gas proved reserves was the expanding application of horizontal drilling and hydraulic fracturing in shale and other tight formations. Another important factor for each fuel – particularly oil – was a higher price used to assess economic viability relative to the prices used for the 2009 reporting year.

Proved reserves are those volumes of oil and natural gas that geological and engineering data demonstrate with reasonable certainty to be recoverable in future years from known reservoirs under existing economic and operating conditions. EIA’s estimates of proved reserves are based on an annual survey of about 1,200 domestic oil and gas well operators.

Publication of 2010 reserves data was delayed because of budgetary restrictions that limited EIA’s survey data collection efforts. The 2010 report is available on the EIA Internet site here.

Leave a Reply

*

FEATURED MICROSITES


Recent Drilling News

  • 18 August 2014

    Repsol runs BlueDock connectors in Trinidad and Tobago

    Repsol has recently run BlueDock connectors with elastomeric seals in Trinidad and Tobago. The operation took place in the Arima 2 well on a jackup platform...

  • 15 August 2014

    Joe Hurt to retire from IADC

    After more than 14 years with IADC and a career spanning 42 years, Joe Hurt, Vice President of IADC’s Onshore Division, will retire at the end of August. Mr Hurt began his career in 1974 with Noble Corp, working on land drilling rigs...

  • 13 August 2014

    OneSubsea, Helix and Schlumberger to form subsea well intervention alliance

    OneSubsea, Helix Energy Solutions Group and Schlumberger have entered into a letter of intent to form an alliance to develop technologies and deliver...

  • 12 August 2014

    Noble Energy, Woodside Petroleum sign PSC for exploration offshore Gabon

    Noble Energy has signed a production-sharing contract (PSC) with Gabon government, covering Block F15 in the Gabon Coastal Basin. Under the terms...

  • 12 August 2014

    Opus Offshore selects DTI motion compensation for second set of Chinese drillships

    Drilling Technological Innovations (DTI) has been awarded a contract to provide motion compensation packages for the Tiger III and Tiger IV drillships...

  • Read more news