Technology will continue to improve US energy production and use.
More than one third of total US crude oil and one sixth of total US natural gas now being produced comes from tight shale formations. While its growth has been dramatic, it has taken time for the technology to evolve. Here in Fort Worth The Barnett shale, for example, is a 20-year overnight success story.”
Nevertheless, the US tight oil and shale gas technology story is just beginning, with much more to be written. Rocks are just rocks until technology changes how we look at them. We don’t anticipate step changes in our modeling. We do expect changes in how technology turns these rocks into value.
Because the technology advances that have provided for recent increases in supply are still in the early stages of development, future US crude production could vary significantly, depending on the outcomes of key uncertainties related to well placement and recovery rates