U.S. oil & gas producers' breakeven prices by oilfield 2023
According to a 2023 survey, oil producers operating in the Eagle Ford region needed WTI oil prices to amount to a minimum of 56 U.S. dollars per barrel in order to profitably drill a new well. This compared to a breakeven price of 31 U.S. dollars per barrel for existing wells. The monthly average WTI oil price ranged between 70 and 80 U.S. dollars per barrel around the time of the survey.
With both regions located in Texas, it is not surprising that this is also the leading crude oil producing U.S. state. In 2022, nearly two billion barrels worth of crude oil were extracted in Texas, far more than any other state. Texas is home to a total of five major oil and gas formations.
Most productive oil basins
Operators in the Eagle Ford basin have the lowest average breakeven prices for new wells. However, when it comes to existing wells, operators in the Permian basin can afford even lower oil prices. The Permian basin, located in Texas and New Mexico, accounts for the greatest U.S. oil production output of any region. Throughout 2023, production in the Permian reached an excess of five million barrels per day - nearly five times the amount extracted from the neighboring Eagle Ford rock formation.With both regions located in Texas, it is not surprising that this is also the leading crude oil producing U.S. state. In 2022, nearly two billion barrels worth of crude oil were extracted in Texas, far more than any other state. Texas is home to a total of five major oil and gas formations.
