Drop in rig count does not mean a drop in completed well count
Here’s another comment explaining why we are seeing a drop in the rig count at the same time as completed wells are increasing.
From Eagle Ford Shale – Lower Rig Count, But More Drilling in 2013 – Schlumberger.
Public companies have quarterly conference calls where they discuss their operations and outlooks. That releases to the investing community their thinking.
In fourth quarter conference call…
Schlumberger (SLB) executives stated they expect the active rig count will fall from the 2012 average, but there will be more wells drilled.
Rig count down. Well count up.
How’s that happening?
Eagle Ford Shale says:
As you hear locals begin to discuss rigs moving out of your area. Remember, a lower rig count does not mean there will be fewer wells drilled. Operators get more efficient over time and need fewer rigs to develop their acreage.
More wells from each rig. Cool.