transportation costs

One of the most prolific “new” crude oil plays is the Permian Basin.  Funny how things work out.  After the oil price bust of the mid-1980s there was a bumper sticker on every Midland-Odessa pickup: The oilman’s prayer  “Please lord, Just Give Me One More Oil Boom. I Promise Not to Blow It Next Time.”  Twenty-five years later those prayers have been answered.  Permian production broke above 1 MMb/d in March.  It’s the biggest shale oil, a.k.a., tight oil play out there.  The region is expected to grow by at least another 50% over the next 3-5 years.