Forget Biggest State, Texas Could Be Among the World Leaders in Oil Production
Oct 10th 2013 7:03AM
Updated Oct 10th 2013 7:04AM
This segment is from Tuesday's edition of "Digging for Value", in which sector analysts Joel South and Taylor Muckerman discuss energy & materials news with host Alison Southwick. The twice-weekly show can be viewed on Tuesdays & Thursdays. It can also be found on Twitter, along with our extended coverage of the energy & materials sectors @TMFEnergy .
After shrugging off years of slowing crude oil production, Texas is again in the throes of a crude oil bonanza; however, this time the state could be among the largest oil producers in the world. Texas Railroad Commission Chairman Barry Smitherman estimated Texas could produce 4 million barrels of oil per day by 2020. The resurgence is due to the proliferation of Eagle Ford shale and a refocus on the mature Permian Basin. EOG Resources is a name that should be synonymous with Eagle Ford, as the top leaseholder in the play continues to implement innovative ways to lower costs and increase the price it receives for its crude. Meanwhile, Devon Energy is growing its oil production dramatically by focusing on its 1.3 million acres in the Permian Basin. However, investors would be remiss if they overlooked the tremendous value ConocoPhillips is creating throughout Texas and the lower 48 states in general.
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The article Forget Biggest State, Texas Could Be Among the World Leaders in Oil Production originally appeared on Fool.com.Joel South has no position in any stocks mentioned. Taylor Muckerman has no position in any stocks mentioned. The Motley Fool owns shares of Devon Energy and EOG Resources. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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