GlobalData’s latest report, “Haynesville Shale in the US, 2021 – Oil and Gas Shale Market Analysis and Outlook to 2025” provides a comprehensive review of hydrocarbon appraisal and development in the Haynesville shale play against the backdrop of the COVID -19 pandemic. The report also provides an outlook for oil and gas production in this play till 2025 along with the competitive positioning of major operators.
The Haynesville shale play goes across east Texas and west Louisiana states and primarily produces natural gas. The play supplied almost 13.1 billion cubic feet per day of gas (bcfd) in 2021, which accounted for almost 13% of the natural gas production in the US.
Due to low energy demand caused by the Covid-19 pandemic in 2020, production in Haynesville dropped to its lowest point of 11.4 bcfd in August 2020, which was a 0.84 bcfd drop compared to the highest production that was achieved just three months earlier. However, by the end of 2020, production recovered to pre-pandemic levels and reached 12.4 bcfd in December 2020. After a 11% monthly fall in natural gas output during the winter storm of February 2021, the production has been on upward trend throughout the whole 2021.
Crude oil production in the play accounts for just 0.2% of the total oil production in the country and mostly consists of dropped out liquid phase from wet gas production. Supply of crude oil dropped by 17.8% in May 2020 and since then kept a relatively stable level at 33,300 barrels per day (bd).
According to GlobalData, natural gas production in the Haynesville shale is projected to grow at CAGR of 3% during 2021-25. On the other hand, crude oil production in the shale is expected to maintain flatter recovery during the same period, recording minimal growth at CAGR of 1%. Both natural gas and crude oil commodities are forecasted to maintain an upward trend throughout 2022-25.
Major operators in the Haynesville play are Comstock Resources, Chesapeake Energy, ExxonMobil, Exco Resources, and BP.