A new analysis from ESAI Energy says while operators are drawing down their inventory of drilled, uncompleted wells, that will last only through mid-2021.
With capital to drill new wells in short supply and the COVID-19 pandemic sending oil demand crashing, oil and gas companies have turned to their inventory of drilled, uncompleted wells to keep supplies flowing.
But a new study by ESAI Energy said that the nation’s inventory of drilled, uncompleted wells could last only until mid-2021, accelerating production declines without a sharp rise in drilling activity.