A Bloomberg article published last week provided an update on projected oil activity in North Dakota over the next 18 months. The article quotes Lynn Helms, director of the North Dakota Mineral Resources Department, as saying output may reach 300,000 to 400,000 barrels a day by mid-2011 and stay at that level for 10 to 15 years. The previous estimate was 220,000 to 280,000 barrels a day.
The article highlights the 2010 plans of several major oil drillers currently working in the Bakken area of North Dakota. These include Oklahoma-based Continental Resources, which plans to add an eighth drilling rig this month and says the total could climb to 15 by May. A Continental spokesperson said the company believes it could double its total production in five years just based on its projected Bakken wells.
Texas-based XTO Energy, which was taken over by Exxon Mobil Corp. last month, says it plans to double its drilling activity in the state this year. And Texas-based EOG Resources forecast a 55 percent increase in overall production in 2010, primarily from wells in North Dakota.
Accordng to data cited in the Bloomberg article from the state Mineral Resources Department, North Dakota now has 1,700 completed oil wells, with another 705 permitted. As many as 60,000 wells are believed to be possible in a productive area encompassing an estimated 20,000 square miles.
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