Permian Oil Output to Scale New Heights as Drillers Add Wells
- Slowdown in legacy production offset by new drilling
- Shortage of takeaway pipeline capacity hasn’t gone away
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Production from the world’s most prolific oil play is expected to set new records as drillers keep on adding more wells.
The Permian Basin of Texas and New Mexico added 122 drilled-but-uncompleted wells in March, compared with 130 the previous month, according to a report released Monday by the Energy Information Administration. Output is forecast to reach 3.11 million barrels a day in April and 3.18 million in May -- the highest since the EIA began compiling records in 2007.