June 19, 2009

Cantarell Depletion Rate Reaches 35 Percent per Year

Robert Campbell reports at Reuters about the amazing rate of decline at the giant Cantarell oil field in Mexico.

Cantarell produced more than 2 million barrels per day as recently as 2004, but yield has plunged as the aging field enters its natural decline phase, sending Mexican oil production tumbling to its lowest level since the mid-1990s.

The giant offshore Akal field and several nearby deposits that Pemex groups as Cantarell produced only 713,000 bpd in April, below Pemex's forecast of 756,000 bpd for 2009. Yields from the area have fallen at annualized rates of more than 35 percent in recent months.

Amazing. 35 percent per year. That is some serious cliff diving. If the end of Ghawar will be equally drastic, the world is going to be in a heap of trouble.

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