The NOMADS Association

“Texas Oil and Gas Update”

June 10, 2014

#1 Oil & Gas Producer!

• Over 1,200 pipeline operators• Over 366,274 miles of pipeline in Texas• Natural gas pipelines run through all

254 counties in Texas2

3

9,716

12,664

14,700

16,914

18,952

19,994

24,073

12,212

18,029

22,480 22,479

21,471

9,675

0

5,000

10,000

15,000

20,000

25,000

30,000

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Jan.- May

2014

Texas Drilling Permits Issued

2002 Through May 2014

06/04/2014 Source: Railroad Commission of Texas Drilling Permit Online Query System (Includes New Drill, ReEnter&RecompletePermits)Source: Railroad Commission of Texas Drilling Permit Online Query System (Includes New Drill, ReEnter&RecompletePermits)Source: Railroad Commission of Texas Drilling Permit Online Query System (Includes New Drill, ReEnter&RecompletePermits)Source: Railroad Commission of Texas Drilling Permit Online Query System (Includes New Drill, ReEnter&RecompletePermits)Source: Railroad Commission of Texas Drilling Permit Online Query System (Includes New Drill, ReEnter&RecompletePermits)Source: Railroad Commission of Texas Drilling Permit Online Query System (Includes New Drill, ReEnter&RecompletePermits)Source: Railroad Commission of Texas Drilling Permit Online Query System (Includes New Drill, ReEnter&RecompletePermits)Source: Railroad Commission of Texas Drilling Permit Online Query System (Includes New Drill, ReEnter&RecompletePermits)Source: Railroad Commission of Texas Drilling Permit Online Query System (Includes New Drill, ReEnter&RecompletePermits)

4

0.956 0.952 0.9400.966 0.958

1.013

1.228

1.655

2.029

2.105

0.5

1

1.5

2

2.5

2005 2006 2007 2008 2009 2010 2011 2012 2013 Jan.-Mar. 2014

Texas Oil Production

2005 through March 2014

Mil

lio

nB

arr

els

(MM

bb

l)P

er D

ay

05/20/2014

5

16.5717.47

18.96

21.19 20.85 20.53

21.5922.16 21.93

19.83

0

10

20

30

2005 2006 2007 2008 2009 2010 2011 2012 2013 Jan.-Mar. 2014

Texas Total Natural Gas Production

2005 through March 2014

Bil

lio

n C

ub

ic F

eet

(Bcf

) P

er D

ay

05/20/2014 Source: Railroad Commission of Texas Production Data Query System (PDQ)

6

710,480 712,454742,172

816,299

941,253

1,010,869 1,027,277

0

500,000

1,000,000

1,500,000

2008 2009 2010 2011 2012 2013 Jan.-Mar. 2014

Texas Permian Basin

Oil Production

2008 Through March 2014

Ba

rrel

s (B

bl)

Per

Da

y

05/20/2014 Source: Railroad Commission of Texas Production Data Query System (PDQ)

7

352 84315,149

129,795

403,576

715,850

804,299

0

250,000

500,000

750,000

1,000,000

2008 2009 2010 2011 2012 2013 Jan.-Mar. 2014

Texas Eagle Ford Shale

Oil Production

2008 through March 2014

Ba

rrel

s (

Bb

l)P

er D

ay

05/20/2014 Source: Railroad Commission of Texas Production Data Query System (PDQ)

8

252

322

1,232

2,583

3,742

3,496

0

1,000

2,000

3,000

4,000

5,000

2008 2009 2010 2011 2012 2013 Jan.Mar. 2014

Mil

lio

n C

ub

ic F

eet

(MM

cf)

Per

Da

yTexas Eagle Ford Shale

Total Natural Gas Production

2008 through March 2014

05/20/2014 Source : Railroad Commission of Texas Production Data Query System (PDQ)

9

216369

605834

1,041

1,384

1,973

3,045

4,441

4,921

5,159

5,682 5,746

5,309

4,774

0

2,500

5,000

7,500

Texas Barnett Shale

Total Natural Gas Production

2000 through March 2014

Mil

lio

n C

ub

ic F

eet

(MM

cf)

Per

Da

y

05/20/2014

10

11

3,125,000

2,029,496 2,008,000

1,328,000

919,000

797,000

459,000

281,000

Foreign Imports vs. Texas Oil Production

2013 Daily Petroleum Avg. Imports

ERCOT PUBLIC 12

Energy Use Comparison

Total energy consumed:

333,885,158 MWh

Total energy consumed:

324,859,701 MWh

Total energy consumed:

331,624,102 MWh

QUESTIONS?

barry.smitherman@rrc.state.tx.us

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