API: U.S. 2009 Q2 Oil, Gas Drilling Activity Slides 46%
July 15, 2009 // Published as a news service by IHS
The American Petroleum Institute (API) estimated that 8,039 oil wells, gas wells and dry holes were drilled in the second quarter of 2009, down 46% from second-quarter 2008 levels.
Drilling activity in the U.S. exploration and production industry, detailed in API's 2009 Quarterly Well Completion Report: Second Quarter, fell to 2003-2004 levels.
The estimated number of second-quarter exploratory oil and gas wells drilled dropped 63% from 2008 levels to 336 wells, according to API.
The number of second-quarter development oil and gas wells slid 46% to 6,761 wells in 2009.
"The U.S. drilling decline that began last quarter in connection with the current downturn in economic activity has continued in earnest in the second quarter of 2009 as companies proceed with caution in an uncertain year," said Hazem Arafa, director of API's statistics department.
Natural gas continued to be the primary target for domestic drilling, with an estimated 4,225 natural gas wells completed in the second quarter of 2009. However, this activity was down 43% from 2008's second quarter, the biggest quarterly decline this decade.
Oil well completion activity continued to dip, with total estimated oil well completions in second-quarter 2009 falling 53% below year-ago levels.
API also reported total estimated footage of 48.1 million feet drilled in the second quarter of 2009, a 53% decline from second-quarter 2008.
Source: American Petroleum Institute (API).