News Release

Exploring falling rigs and rising production

EIR explains the inverse relationship between the decline in drilling rig count but increased oil production, as well as OPEC+ cuts and natural gas price sell-offs

byEnverus

CALGARY, Alberta (Jan. 17, 2024) — Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS company, has released its latest Fundamental Edge report, which focuses on global drivers for oil and gas prices through 2030, the five-year oil and gas supply and demand outlook, and price forecasts.

U.S. oil production is on pace to grow ~1.2 MMbbl/d E/E, above EIR’s prior expectations of 1.1 MMbbl/d. EIR experts attribute this growth to the Williston Basin, which is outperforming expectations but does not anticipate this to continue given the 25% rig count drop at the end of 2023. Also, U.S. natural gas prices have sold off considerably from October highs of ~$3.60/MMBtu due to a surge in supply growth and warm weather.

“Production in the Williston Basin has surprised to the upside, particularly in the growth seen over the past month, contributing to U.S. L48 production coming in ~200 Mbbl/d higher than we anticipated,” said Al Salazar, report author and director at EIR.

“We delayed Golden Pass LNG to March 2025 in our balances, which weighs on Henry Hub gas pricing in 2024,” Salazar said.

Key takeaways from the report:

  • U.S. oil production has outpaced our production growth forecast in 2023 driven by growth in the Williston Basin.
  • Downward pressure has built for 2024 gas prices due to expectations for a warmer-than-normal winter combined with recent acceleration in production growth.

You must be an Enverus Intelligence® subscriber to access this report.

Members of the media should contact Jon Haubert to schedule an interview with one of Enverus’ expert analysts.

Sign up for Enverus’ press list or update your email preferences.

About Enverus Intelligence Research
Enverus Intelligence ® | Research, Inc. (EIR) is a subsidiary of Enverus that publishes energy-sector research focused on the oil, natural gas, power and renewable industries. EIR publishes reports including asset and company valuations, resource assessments, technical evaluations and macro-economic forecasts; and helps make intelligent connections for energy industry participants, service companies and capital providers worldwide. EIR is registered with the U.S. Securities and Exchange Commission as a foreign investment adviser. Enverus is the most trusted, energy-dedicated SaaS platform, offering real-time access to analytics, insights and benchmark cost and revenue data sourced from our partnerships to 98% of U.S. energy producers, and more than 35,000 suppliers. Learn more at Enverus.com.

Media Contact: Jon Haubert | 303.396.5996

View all Enverus news releases at Enverus.com/newsroom.

Enverus

Enverus

Energy’s most trusted SaaS platform — creating intelligent connections that uncover insights and opportunities to deliver extraordinary outcomes.

Related News

Enverus Press Release - Enverus Instant Analyst™ technology added to its AI-powered product portfolio
News Release
ByEnverus

Enverus, the most trusted energy-dedicated SaaS company, today announced it has added Instant Analyst™ technology to its market-leading product portfolio. Built on nearly 30 years of artificial intelligence software implementation experience, the company leads the way in generative AI technology...

Enverus Press Release - EPA’s Quad O regulations expected to trigger tsunami of plugged wells
News Release
ByEnverus

Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS company, has released a report that details the impact that the EPA’s Quad O regulations will have on upstream oil and gas producers in the U.S.

Enverus Press Release - Core Eagle Ford, the gift that keeps on giving
News Release
ByEnverus

Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS platform, has recently released a report identifying the high-grade locations in the Eagle Ford where recoveries remain high despite denser development.

Enverus News Release - The upside of repowering wind
News Release
ByEnverus

Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS company, has released a report looking at how onshore wind capacity additions in the U.S. have changed over time and why repowering older projects is gaining momentum.

Enverus News Release - Utility growth prospects: Quantifying long and short opportunities
News Release
ByEnverus

Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS company, has released a report looking at state-level renewable power adoption and population growth to estimate utility-specific long-term growth rates. In the report, EIR calculates implied value...

Enverus Press Release - Enverus named to Alberta’s Top Employers list
News Release
ByEnverus

AUSTIN, Texas (Jan. 30, 2024) — Enverus, the most trusted energy-dedicated SaaS company, has again been named to Mediacorp’s Alberta’s Top Employers list. “Being acknowledged once more as one of Alberta’s premier employers is a remarkable achievement for Enverus. It...

Enverus Press Release - $144B of transactions in recording-setting 4Q23 for upstream M&A
News Release
ByEnverus

Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS company, is releasing its summary of Q4 and full-year 2023 upstream merger and acquisition (M&A) activity. Q4 recorded a massive $144 billion in upstream M&A, the largest...

Enverus Press Release - Exploring falling rigs and rising production
News Release
ByEnverus

Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS company, has released its latest Fundamental Edge report, which focuses on global drivers for oil and gas prices through 2030, the five-year oil and gas supply and...

Enverus Press Release - Enverus releases Top 50 Public E&P Operators of 2023
News Release
ByEnverus

Enverus, the most trusted energy-dedicated SaaS company, has released its list of the most prolific 50 public oil and gas operators in the U.S. based on gross operated production last year. ExxonMobil, Chesapeake Energy and EOG Resources led the list...

Find Out How Enverus Can Help Your Business

Subscribe to the Energy Blog

A weekly update on the latest “no-fluff” insight and analysis of the energy industry.

Let’s get started!

We’ll follow up right away to show you a quick product tour.

Let’s get started!

We’ll follow up right away to show you a quick product tour.

Get Started

Register Today

Get Energy Transition Research updates straight to your inbox by filling out the form below.

Sign Up

Power Your Insights

Connect with an Expert

Access Product Tour

Speak to an Expert