Oil Production Commentary, October 2009
Next due: January, 2010
Oil Production down 21.7% in First Ten Months of 2009
Oil production totalled 81.6 million barrels in the first ten months of 2009, down 21.7% (or 22.6 million barrels) relative to the same period of 2008. The decline is the result of lower production at all three producing fields.
Hibernia produced 38.0 million barrels of oil in the January to October 2009 period, 4.1 million barrels less the same period of 2008. This decline is due to a four week maintenance shutdown this past spring as well as natural production declines.
Terra Nova produced 23.9 million barrels of oil in the first ten months of 2009, 7.6 million barrels lower than the same period of 2008. Production was below the previous year's level due to a combination of natural declines and operational issues related to a gear box failure on one of the facility's main power generators.
White Rose produced 19.6 million barrels of oil in the January to October 2009 period, a decrease of 10.9 million barrels over the same period of 2008. Production was lower as a result of natural declines and the July 21 start of necessary work to enable the North Amethyst tie-in.
On a monthly basis, total oil production decreased 32.1% in October compared to October 2008. Declines in production were recorded at all three producing fields in October.
The Department of Finance's November 2009 forecast projects annual oil production to decrease to 101.3 million barrels, down about 19% over 2008. Further information on the province's oil and gas industry is available at The Economy 2009. (see Oil and Gas).
Note: Hibernia production began in November 1997. Total production in 1997 was 1.3 million barrels.
Statistical Reference: Statistics used in this analysis were current at the time of writing. For the latest in oil production statistics visit the Newfoundland & Labrador Statistics Agency site.
Users should note that the value of oil production provided here is a rough estimate based on the average price for Brent Sullom VOE and the Canada/US exchange rate. Oil prices used in this analysis are sourced from the U.S. Energy Administration Information..