U.S. Oil Production Doesn’t Grow at $45 a Barrel, BNEF Says
- Permian’s Delaware basin now needs $33 oil to break even
- Contract renegotiations and efficiency gains led to cost cuts
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U.S. benchmark oil prices will need to trade in a range of $35 to $45 a barrel next year just to keep production flat, according to a new report by BloombergNEF.
The report highlighted different estimates needed to keep output steady from the major oil plays. For the Permian and Eagle Ford, companies need oil at $35 to $40 a barrel. Meanwhile, the Bakken needs prices in the region of $40 to $45 while Denver-Julesburg probably requires about $45 a barrel.