Wells POP UP (again)
In this report, we have highlighted recent wells put-on-production data (POP wells) that continues to increase despite big rig cuts. The key driver to POP well growth has been shale efficiency (+20% y/y completion, +8% y/y drilling) but also enabled by big pricing concessions from an UNDISCIPLINED service industry (down 40% y/y). While POP well counts are poised to slow sharply in Q4 and 2020 (low hanging inventory depleted), a balanced US shale industry will require service providers to 1) more aggressively stack equipment and 2) STOP WORKING FOR FREE.
For access to the full report visit: https://corasresearch.com/reports/