Executive Summary
The oil and gas market has been steadily improving. Both production and prices have increased, and oil and gas exploration and production companies are becoming more efficient allowing them to cut costs.
This quarter we take a look at the Eagle Ford Shale. While the Permian has been receiving the most attention, given its low-cost economics and large well potential, the Eagle Ford (particularly its oil window) has increased well production while dropping its costs. In this newsletter, we consider why companies are moving out of the Eagle Ford region and are reducing the number of wells drilled despite the region’s untapped potential.
