×

Fort Berthold produces billion barrels of oil

The Mandan, Hidatsa and Arikara Nation has crossed the milestone of producing a billion barrels of crude oil, according to Lynn Helms, director of the North Dakota Department of Mineral Resources.

“From Fort Berthold Reservation, we’ve now produced over a billion barrels of crude oil. That’s really remarkable,” Helms said. He said when he started his job with the N.D. Department of Mineral Resources in 1998, there had not been a well drilled on Fort Berthold for some time.

Helms made the announcement about Fort Berthold during his monthly report on North Dakota oil and gas production this past week.

He said from about late 1987 when a well had been spud until 2006 when the Parshall discovery well was drilled there had been no drilling on the Fort Berthold Reservation.

The Parshall Oil Field in the Bakken reservoir was discovered in 2006. Michael Johnson, a petroleum geologist, is recognized for contributing to the landmark discovery of the North Dakota field encompassing more than 6 million acres and one of America’s largest oil fields.

“Now since 2006, those lands on Fort Berthold have produced just over a billion barrels of crude oil,” Helms said. “It speaks to the difference in technology from what it was back in the 1980s and 1990s.”

Helms also said North Dakota is getting quite close to reaching the mark of producing 5 billion barrels of oil from the Bakken Formation, a milestone to be celebrated at the annual meeting of the North Dakota Petroleum Council in Bismarck in May.

Helms said the very severe cold weather in January impacted oil and gas production, causing a decline of 13.5% on the oil side and by about 15% on the gas side.

The state produced 1.27 million barrels of oil a day in December and 1.10 million barrels of oil a day in January.

In December, the state produced 3,528,706 million cubic feet (MCF) of natural gas a day and 3,000,311 MCF a day in January.

The numbers released each month are normally about two months behind.

As of Thursday, Helms said it appeared oil and gas production has fully recovered and actually may be above that December production of 1.27 million barrels of oil a day. The Thursday numbers were not announced.

The natural gas capture rate remained at 95% in December and declined to 93% in January.

On Thursday, North Dakota sweet crude was selling for $69.75 a barrel and West Texas Intermediate for $79.72.

In January, the state had 18,691 (preliminary number) of producing wells, a decline from December when 18,769 wells were producing.

According to the report, in February, 63 wells were permitted, a decline from January, when 78 wells were permitted.

In January, February and also as of Thursday, 38 rigs were actively working in the state. Thirty-six were working in the state in December. No rigs were working on federal surface.

In December, 331 wells were waiting on completion and in January, 284.

According to the report, Fort Berthold Reservation produced 143,665 barrels of oil a day in January. Seven rigs were actively drilling and 24 wells were waiting on completion. In January, 135 drilling permits were approved. The reservation has the potential of 2,019 future wells.

“The drilling rig count remains low due to demand, mergers, and acquisitions but is expected to return to the mid-40s with a gradual increase expected over the next two years,” Helms said.

“Saudi Arabia and Russia announced continued oil production cuts through second quarter of the year. Middle East conflict, Russia sanctions, China economic activity, potential recessions and shifting crude oil supply chains continue to create significant price volatility,” he added.

Newsletter

Today's breaking news and more in your inbox

I'm interested in (please check all that apply)
Are you a paying subscriber to the newspaper? *
   

Starting at $2.99/week.

Subscribe Today