Chord Energy’s next phase of development centers on getting more from its Bakken acreage through longer wells, targeted infrastructure investment, and improved recovery from existing assets. During its Q3 2026 earnings call, management outlined initiatives that could help sustain oil output near 162.5 Mb/d in 2027 while improving cash generation. For the broader crude market, the implication is continued supply resilience from an established shale basin, with efficiency gains helping offset natural declines and service-cost inflation.
Four-mile laterals are a key part of that strategy. Chord had brought 47 of these wells online through quarter-end, with operating results meeting expectations and drilling costs down 9% since the first quarter. Those improvements support continued deployment, although management said another year of data may be needed to fully assess the recovery attributable to the fourth mile. Meanwhile, chemical treatments could provide another avenue for improving existing-well performance. Chord has tested hundreds of treatments involving acids, solvents and surfactants and expects to determine which approaches to incorporate into its 2027 program early next year. Chemical use during new-well completions remains at the laboratory-testing stage, with potential field applications in 2027.
Infrastructure investment could strengthen the economics supporting that development program. Chord added $20 million to its midstream spending outlook as it evaluates building selected facilities itself, renegotiating contracts or using alternative providers. These projects could lower the cost of sustaining Bakken supply, although their contribution will emerge gradually: Chord still expects an early-2027 production dip before new completions support a recovery later in the year.
