EOG in Reeves County, Texas
EOG is the unrefuted King of HZ tight oil in America, the poster child for success, the big cheese, the King of Rocka Rolla. The weighted price for WTI in 2022 was $94 bucks,, natty was plus $7...they've been carpet bombing Lea County in New Mexico...whatzzup in Reeves County right across the fence? Same Wolfcamp, same Bone Springs, whatzzup? We should ALL be interested in what mighty EOG is doing in the mightier Delaware Basin of the greatest HZ tight oil basin in the world, the Permian, right? It says its got 20 years of wells to drill out yonder.
Well, its wells in Reeves County suck. Here is some stuff for you to look at so you can decide for yourself. I could care less how profitable EOG is, I just want to know what the truth is regarding America's oil future in the Permian Basin. Check that. I should probably restate that as America's gas future in the Permian Basin.
EOG only drilled six wells in Reeves County last year (2022) and it has not drilled a well in Ford or
Sandbar field in three years.
Its GOR is thru the roof; initial GOR in Reeves is now +7.0, and its oil productivity has been in the toilet since 2016.
If EOG says its still a big hitter in Reeves County, how come it doesn't hit big? NGL's don't count as oil or condensate.
EOG, in fact, is done in Reeves, essentially, like it soon will be in Lea County, New Mexico. Its hauling ass to Ohio next.
In fact, if you are cheerleader for the Permian Basin tight oil play and believe in its eternal existence, you can buy some non-operated working interest in Reeves County and EOG will be your operator. Somebody wants to sell its interest with EOG, for some odd reason (I thought all this stuff is good and getting better), here is your chance: