The latest data shows that oil drillers in the Texas region have restored about 80 percent of their Crude Oil production capacity, gradually recovering from last week’s production shutdown caused by extreme cold weather.
According to data analysis firm OilX, production in the Permian Basin in Texas is currently about 2.9 million barrels of crude oil per day, after an Arctic cold snap disrupted power supplies and oil production operations, causing production in the region to plummet to 600,000- 700,000 barrels of crude oil per day. Production in the Permian Basin is normally about 3.5 million barrels per day.
Occidental, the second largest oil producer in the Permian Basin, said on the 23rd that it had restored 90% of its production, while Marathon Oil was still preparing to restart wells. At the same Time, major pipeline operators, including Plains All American Pipeline, have also begun restarting operations to allow oil to be delivered to a wider range of markets.
Bert Gilbert, head of OilX’s North American business development division, said, “Crude oil capacity is back thanks largely to the restoration of power. The Electric Reliability Council of Texas’ (ERCOT) West Texas grid, which supplies most of the power to the Permian Basin wells, is back in operation.”
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