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2001 Kansas Oil & Gas
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Kansas Geological Survey Open-file Report 2002-38 |
Gas Production
Gas production in Kansas is from online databases at the Kansas Geological Survey (http://www.kgs.ku.edu/PRS/petroDB.html). The production data are sales volumes reported to the Kansas Department of Revenue. Monthly production displayed a seasonal fluctuations through the first five years of the nineties (Figure 4). As gas became subject to commodities markets and gas storage became available, seasonal fluctuations were dampened. Gas production volumes continued to rise until 1996. After 1996 there has been a steadily decline in gas production. Production decline appears to have slowed in 2001. Four gas areas, especially the Permian age Hugoton and Panoma, comprise the majority of Kansas gas production (78% of the gas in Kansas - see http://www.kgs.ku.edu/PRS/Info/topTen.html). During the late 1980’s the Hugoton was the target of infill drilling and both the fields were placed on compression (i.e., vacuum) during the early 1990’s. The result was to increase and accelerate production from the Hugoton and Panoma fields. In the late 1990’s, the new developments were complete, and the production from the fields began to decline. The unprecedented spike in prices during the winter of 2001-2002 resulted in new gas exploration and development throughout Kansas (e.g., coal bed methane in eastern Kansas, redevelopment in Greenwood Gas Area of Morton County).
Figure 4 - Kansas monthly gas production, and
average monthly wellhead price for 1990 through
2001.
In 2001, the wellhead value of oil production was estimated at just over $1,988 million (Figure 5). Monthly value decreased steadily as average wellhead gas price declined from the peak in January. In January monthly wellhead value was almost $350 million in the last four months of the year monthly wellhead value averaged $100 million. In 2001 the value for gas at the wellhead is increased more than $250 million from the 2000 wellhead value (Table 1).
Figure 5 - Kansas monthly and cumulative value of gas production for 2001. The estimated wellhead value of gas production is $1,988 million. The decrease in monthly value in the last during the year is a result of a decrease in price of gas of more than $5.00 per mcf (see Figure 4).
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Last updated August 2002
http://www.kgs.ku.edu/PRS/publication/ofr2002-38/P1-05.html