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OIL AND GAS
Oklahoma, Kansas among the few rig gainers
by Daniel J. Graeber
Houston (UPI) Dec 24, 2015


disclaimer: image is for illustration purposes only

Of the U.S. states with a notable level of oil production, data show Oklahoma and Kansas recorded the largest increase in monthly activity in terms of percent.

Oil field services company Baker Hughes released its much-watched weekly rig count report early because of the long Christmas holiday weekend. Data show total U.S. rig activity declined 5 percent, or 37, between Dec. 4 and Dec. 23 for a total of 700 rigs.

Oklahoma, the No. 7 oil producer nation, saw its rig activity increase by 4.76 percent for a net gain of four rigs to total 86 for the week ending Dec. 23. Energy consultant Wood Mackenzie said the shale basins in the state are on par with the Eagle Ford basin in Texas and the Bakken shale in North Dakota with production expected to pass 1 million barrels of oil equivalent per day by 2020.

A state profile from the U.S. Energy Information Administration finds the oil narrative in the state is "one of booms and busts" as, when it became a state in 1907, it was the largest oil producer in the nation.

EIA reported total Oklahoma crude oil production at 9.4 million barrels for September, the last full month for which data are available.

Kansas, the No. 10 oil producer, saw rig activity increase 20 percent, though with just 11 rigs in active service as of Dec. 23, the state saw a net gain of 1 from the first week in December. EIA data show Kansas produced 3.5 million barrels of oil for September.

Top oil producer Texas saw a net decline of 4.2 percent, or 14 rigs, from Dec. 4. Baker Hughes data show North Dakota, the No. 2 oil producer, lost 2 rigs, or around 8 percent, from the first week in December.


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