Oil production in the large US shale field Permian Basin soared to a new record last month, driven by high oil prices. As a result, companies increase production.
The Permian Basin is largely located in western Texas. Shale extraction extracts oil and gas from rocks by injecting water, sand and chemicals into the ground with high pressure. Average production rose to more than 5 million barrels per day (from 159 liters) in January. This broke the 5 million barrel barrier for the first time, according to the energy agency EIA. Earlier during the corona pandemic, many drilling rigs in the area were shut down because oil prices had collapsed, but now production has more than recovered.
The EIA is counting on a further increase in production in the Permian Basin to take advantage of rising oil prices, which are at their highest levels in more than seven years. Oil production is also increasing in other large shale fields in the United States.
In September last year, Shell sold its assets in the Permian Basin to industry peer ConocoPhillips for $9.5 billion.
US shale oil production Permian Basin in US to new record
Source link US shale oil production Permian Basin in US to new record