N. Dakota Oil Production Sets New Record in Aug.
In August, North Dakota pumped another record amount of oil, producing more than 10 million barrels in a single month for the first time ever (see chart above, data here). Compared to August of last year, oil production has increased by 41%, and oil production has doubled in a little more than two years - from slightly fewer than 5 million barrels in June of 2008 to more than 10 million barrels in August this year.
Partly because of its ongoing oil boom, North Dakota continues to lead the nation with the lowest unemployment rate at 3.7% in August, almost a full percentage point below second-lowest state South Dakota at 4.5%, and almost 6 points below the nation's average 9.6% rate.
4 Comments:
In January predictions were that ND oil production would not exceed 300,000+ barrels a day until mid 2011 despite rapid growth. By August 2010 those predictions were already met and continue to accelerate.
The US needs all the oil it can get from ND because production from the Gulf and from Alaska is falling. With the exception of a few fields ND oil is not very economical so growth is very limited. Having $5 million dollar wells produce 120 barrels per day after a year or two in production is not exactly optimistic.
Vangel said "Having $5 million dollar wells produce 120 barrels per day...is not exactly optimistic"
Vangel there are 139 producion rigs pumping out 2268 barrels per day. The output per rig, if valued at $78 per barrel, would be $176,904 per day or $64,569,960 per year. I realize that not all rigs are big and most are small but the CAPEX must be worth it.
I occassionally read this middle east newspaper Al Ayyam Yemen...
I remembered an article from back in April of this year that kind of threw me for a bit of a loop...
I have no idea how valid the contents are but considering the source it is interesting...
how much oil do we have available to us in the USA?
The 2008 USGS Bakken Formation estimate...
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