RRC Production Statistics and Allowables for March 2011

AUSTIN –– The Texas average rig count as of Feb. 18 was 743, representing about 44 percent of all active land rigs in the United States.  In the last 12 months, total Texas reported production was 358 million barrels of oil and 7.3 trillion cubic feet of natural gas.  Texas natural gas production represents approximately 29 percent of total U.S. natural gas demand.

The Commission’s estimated final production for December 2010 is 30,998,743 barrels of crude oil and 531,337,929 Mcf (thousand cubic feet) of gas well gas.

The Commission derives final production numbers by multiplying the preliminary December 2010 production totals of 29,205,524 barrels of crude oil and 489,757,516 Mcf of gas well gas by a production adjustment factor of 1.0614 for crude oil and 1.0849 for gas well gas. (These production totals do not include casinghead gas or condensate.)

Texas natural gas storage reported to the Commission for January 2011 was 329,712,155 Mcf compared to 325,089,462 Mcf in January 2010.  The February 2011 gas storage estimate is 271,084,156 Mcf.

The Texas Railroad Commission’s Oil and Gas Division set initial March 2011 natural gas production allowables for prorated fields in the state to meet market demand of 12,427,899 Mcf (thousand cubic feet).  In setting the initial March 2011 allowables, the Commission used historical production figures from previous months, producers’ demand forecasts for the coming month, and adjusted the figures based on well capability. These initial allowables will be adjusted after actual production for March 2011 is reported.