The U.S. Geological Survey has assessed significant undiscovered oil and gas resources in the Woodford and Barnett shales of the Permian Basin, finding 28.3 trillion cubic feet of technically recoverable gas and 1.6 billion barrels of oil.
The gas reserves represent enough to supply the United States for 10 months at current consumption rates, while the oil reserves equal a 10-week supply for the nation, according to the USGS assessment released Tuesday.
The organic-rich shales occur up to 20,000 feet below the surface at greater depths than other Permian Basin resources. Since production began in the late 1990s, the formations have produced 26 million barrels of oil, equal to one day of U.S. consumption.
Technology enables deeper drilling
Advances in unconventional production methods, including hydraulic fracturing and horizontal drilling, now make it possible to extract energy resources from previously inaccessible formations like the Woodford and Barnett shales.
“The U.S. economy and our way of life depend on energy, and USGS oil and gas assessments point to resources that industry hasn’t discovered yet,” said Ned Mamula, USGS director. “In this case, we have assessed there are significant undiscovered resources in the Woodford and Barnett shales in the Permian Basin.”
The Permian Basin has long been one of the most abundant sources of U.S. energy.
Assessment program history
USGS oil and gas assessments began 50 years ago following an oil embargo against the U.S. that highlighted the need to understand undiscovered resource potential. The embargo led to a mandate for the USGS to use geologic science and data to assess undiscovered oil and gas resources.
The agency began conducting assessments of unconventional, technically recoverable resources in 1995 as drilling technology evolved.
“The shift to horizontal drilling with fracking has revolutionized oil production, and we’ve changed with it,” said Christopher Schenk, USGS geologist.
Policy and industry applications
USGS energy resource assessments provide information to policymakers on resource potential in the U.S. and worldwide. Land-management agencies such as the Bureau of Land Management use assessment results in land-use and resource management plans.
For the private sector, USGS assessments of undiscovered energy resources provide context for planning detailed exploration.
The USGS Energy Resources Program assesses potential for undiscovered oil and gas resources in priority geologic provinces in the United States and around the world using separate methodologies for conventional and unconventional resources.