Eagle Ford Crude Oil Production Reaches Record High in February
Oil production in Texas’s Eagle Ford shale formation reached an all-time high in February as it climbed 74 percent compared with a year earlier.
The nine geographic fields that make up the majority of Eagle Ford yielded 471,258 barrels of crude a day in February, according to preliminary data released by the Texas Railroad Commission, which oversees oil and gas drilling in the state. In February 2012, the fields produced 271,521 barrels daily.
Commission production totals typically increase in subsequent months as the state receives revised, corrected or late reports. January output was revised to 462,160 barrels a day from the preliminary report of 373,303.
Production of condensates, or natural gas liquids, was 89,217 barrels a day in February, down from 117,789 a year earlier, as drillers moved away from less profitable gas.
Production of natural gas was 1.79 billion cubic feet a day, compared with 1.87 billion the year before.
EOG Resources Inc. (EOG) is the largest leaseholder in the Eagle Ford play, with 639,000 net acres. Chesapeake Energy Corp. (CHK) is next with 485,000, followed by Apache Corp. (APA) and BP Plc (BP/), according to data compiled by Bloomberg.
Growing production out of Eagle Ford is helping fuel a renaissance in Texas crude. The state produced 2.26 million barrels a day in December, the highest monthly level since May 1986, according to the Energy Information Administration, the statistical arm of the Energy Department.
Plains Marketing LP’s posted price for Eagle Ford light oil today was $84.50 a barrel, compared with the most recent settlement prices of $88.38 for West Texas Intermediate and $107.66 for Brent.
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