RRC Energy Minute, Volume 20, November 2020 Page: 1 of 1
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Our mission is to serve Texas by our stewardship of natural resources and the environment, our concern for person
and community safety, and our support of enhanced development and economic vitality for the benefit of Texans.
Update: COVID49 mpactonTexas' EnergySecStatewide Update
The COVID-19 pandemic sparked a rapid, unprecedented
decline in statewide oil and gas activity between February
and June. By summer 2020, the statewide rig count, RRC
drilling permit issuances, and number of wells spudded
(when drilling commences on a new well), were less than
25% of the highs recorded in winter 2020. Statewide
production activity has modestly improved since. Drilling
permits increased from a low of 252 in May to 486 in
October, while the statewide rig count has climbed from
a low of 104 in July to 133 in October. The number of
wells spudded has also slightly increased from observed
summertime lows
Permian Basin Update
West Texas' Permian Basin generates the majority of
the state's oil and gas. Between March and July, the
total number of rigs in the Permian (including Texas
and New Mexico) fell by 82% (415 to 73) according to
Baker Hughes' rig count. The region's rig count modestly
increased to 88 in October. The number of drilling
permits issued by RRC dropped from a high of 710
in January, to a low of 156 in May, and has modestly
rebounded to 297 permits issued in October. The number
of Permian wells spudded follows the same pattern: a
sharp decline between January and May, followed by
improvement throughout the summer and early fall.
Eagle Ford Shale Update
The Eagle Ford Shale is Texas' second largest hydrocarbon-
generating formation. Rig count within the Eagle Ford
plunged from a high of 70 in February, to 9 in August.
Seven rigs were added to the region's inventory by October.
RRC drilling permits for the Eagle Ford declined by 93%
between January and July. Since then, the number of
drilling permits has increased to 66. The number of wells
spudded in the Eagle Ford dropped significantly between
February and May, and remains low into October. Only 15
wells were spudded in the Eagle Ford in October.1100
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- Drilling Permits - Wells Spudded - Rig Count
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- Drilling Permits - Wells Spudded - Rig Count
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Railroad Commission of Texas. Government Relations Division. RRC Energy Minute, Volume 20, November 2020, periodical, November 2020; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth1679312/m1/1/?q=%22oil-gas%22: accessed July 17, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting UNT Libraries Government Documents Department.