Monday, 09/17/2012

Permian basin oil production rose above 1 MMb/d last year (2011) for the first time since 1998, after sliding from a 1973 peak of 2.1 MMb/d. A lot of new Permian production uses conventional drilling and enhanced oil recovery techniques, but horizontal drilling is making its mark as well. The West Texas crudes this basin produces are sold the same way as any other except they have their own futures contract trading 60 MMb/d. Today we turn the RBN spotlight onto the Permian Basin.