average production cost for oil in permian basin
Of the 345 horizontal wells Oxy planned to drill in 2014, 172 were targeted at the Permian Basin. The companyâs average daily production of crude oil totaled about 153,000 barrels a day at the end of 2014, up by about 2% year-over-year. The average realized price for all its U.S. barrels, however, dropped from $104.30 to $90.57 year-over-year for the third quarter. In its 2013 annual report, Oxy reported revenue per U.S. barrel of oil equivalent (boe) of $64.48 and production costs of $14.43 per boe. Other expenses, including DD&A, resulted in pretax income per boe of $19.54. U.S. production costs dropped by $3.00 a barrel year-over-year in 2013. Apache Corp. (NYSE: APA) reported 2013 production of around 90,000 barrels a day from its Permian Basin operations.