Quote:
Originally Posted by GGG
Your first statement is not true. A drilled well that is being produced will have a decline rate. The year over year decline rate on a shale well can be as high as 90%. They are getting better at decreasing these decline rates and extending well life however, Shale oil requires continuous drilling of new wells to maintain production.
However TFF is completely wrong that this is somehow due to Obama though Trumps lack of groundwater protection will make it marginally cheaper to drill new wells.
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Good point, but you'll notice I stated depletion. There is a big difference between depletion rate and decline rate. So long as the reserve has not yet exceeded its plateau and is not in a state of decline there should be no significant reduction in production. Once a reserve has gone into the decline end of the life cycle then the secondary and tertiary methods of recovery are required to maintain production. Further drilling is not required to maintain the well nor production, like TFF suggested. It's been a while since I was in the patch, but I do believe that is still accurate.