Shallow Water GOM: Top of the S-Curve

Even at high prices and increased activity, some basins are so exhausted that production decline is inevitable.

• Increasingly difficult to add reserves in SW GOM

  • First 1000 discoveries yielded ᡠ BBOE of reserves
  • Next 1000 discoveries will generate max 6 BBOE

• Production can’t overcome reality of declining resource

• Mid-Continent in a similar predicament

• Texas still somewhere in upper-middle of the curve

Production & Wells Spud

(򒮨 Ft Water Depth)

Source: IHS Energy

Source: NRG Associates, APC

Previous slide

Next slide

Back to first slide

View graphic version