Diamondback predicts up to 30 new Permian oil rigs by year-end
Updated
Updated · Bloomberg · May 5
Diamondback predicts up to 30 new Permian oil rigs by year-end
15 articles · Updated · Bloomberg · May 5
The forecast covers the West Texas and New Mexico basin, where Baker Hughes counted 241 rigs last week, implying more than 10% growth over the next eight months.
Diamondback said the Iran war has pushed crude prices sharply higher, encouraging drillers to expand activity in the most prolific US oil field.
If realised, the increase would reverse a three-year decline in Permian drilling driven by industry consolidation and improved drilling efficiency.
With oil prices soaring, can Permian drillers overcome critical bottlenecks to actually increase US supply?
Is the Permian Basin's oil boom masking an existential threat from its toxic wastewater?