Oil and natural gas wells in Canada are expected to fall 1.5 percent in 2014 as increased use of hydraulic fracturing and horizontal drilling reduces the number of wells producers require.
Canadian drilling next year will total 10,800 wells versus the 10,960 expected this year, the Petroleum Services Association of Canada said in an e-mail today.
“Large-scale use of these kinds of technologies is creating a trend to fewer wells overall,” Mark Salkeld, chief executive officer of the Calgary-based industry group, said in the statement.
The association, which represents about 260 oilfield-service companies, forecasts gas prices will average C$3.50 per thousand cubic feet next year and oil will cost about $95 a barrel.
To contact the reporter on this story: Rebecca Penty in Calgary at firstname.lastname@example.org
To contact the editor responsible for this story: Susan Warren at email@example.com