Tag: Natural Gas

Mexico Production and Reserves, 1H2018

George Kaplan 248 Comments

A Guest Post by George Kaplan

Mexico C&C Production

Mexico oil production is in decline though, at the moment, not as steep as it was expected to be (at least by me – IEA predictions are closer).

Data is through June and comes from Pemex and National Hydrocarbons Information Center (CNIH) (both sites are pretty good).

For June C&C was 1870 kbpd, down 25 kbpd from May and 170 kbpd y-o-y. Yearly decline rates for each region are shown in the chart below. Production peaked in 2004/2005 at just over 3500 kbpd, so overall decline is approaching 50%.

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Most of the decline has been in light oil and condensate, with heavy oil holding fairly level.

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World Natural Gas 2018-2050: World Energy Annual Report (Part 3)

D Coyne 197 Comments

A Guest Post by Dr. Minqi Li, Professor

Department of Economics, University of Utah
E-mail: minqi.li@economics.utah.edu
August 2018

This is Part 3 of the World Energy Annual Report in 2018. This part of the Annual Report provides updated analysis of world natural gas production and consumption, evaluates the future prospect of world natural gas supply and considers the implications of peak natural gas production for global economic growth.

Natural gas is in a relatively early phase of depletion. According to the German Federal Institute for Geosciences and Natural Resources, world cumulative natural gas production up to 2016 was 117 trillion cubic meters, world natural gas reserves were 197 trillion cubic meters, and world natural gas resources were 643 trillion cubic meters (BGR 2017, Table A-15). BGR defines “resources” as “proven amounts of energy resources which cannot currently be exploited for technical and/or economic reasons, as well as unproven but geologically possible energy resources which may be exploitable in future” (BGR 2017, Glossary). According to the BP Statistical Review of World Energy, world natural gas reserves at the end of 2017 were 194 trillion cubic meters (166 billion tons of oil equivalent).

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World Historical and Projected Natural Gas Production, 1980-2050

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UK Offshore Production: Summary for First Quarter 2018

George Kaplan 172 Comments

A Guest Post by George Kaplan

UK C&C

It was expected by many, me included but more importantly UKOGA and a couple of the bigger oil and gas consultancies, that UK offshore oil production would increase significantly from 2017 to exceed 1000 kbpd for the yearly average in 2018. So far this is proving a bit of a challenge. March production was 934 kbpd, down 7% m-o-m and 2% y-o-y (but up 0.8% for the first quarter compared with 2017). It’s possible that some fields have not reported but those showing zero for the month are not big producers. The biggest single field drop came from Clair but most fields saw declines, even the newer ones. Jodi data indicates there will be a rise shown for April to slightly above 1000 kbpd and then a fall back to around March numbers in May (note edit based on July Jodi data); there is usually a summer dip because of maintenance shutdowns (plus this year some strikes at Total platforms will impact).

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Two of the largest oil producers, Buzzard and the Golden Eagle Area Development, both operated by Nexen, have started accelerated decline following increasing water breakthrough (especially noticeable in GEAD over the past year). The newest large field is Scheihallion. This is a redevelopment with its neighbouring field, Loyal, through the Glen Lyon FPSO (also called the Quad 204 project), which was started last year. So far the combined decline in Buzzard and GEAD is almost matching growth in Scheihallion.

The Clair Ridge platforms, which will also exploit the remaining heavy oil in the Clair field, were installed last year but there have been multiple delays and production is not now expected until later this year. Once it is ramped up, which could take three or four years despite it having some predrilled wells, the project will be the largest producer at 100 to 120 mmbpd and has an eight year plateau, while Scheihallion/Loyal will plateau and decline quickly.

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