North American Drilling Activity in 1969

Abstract

The oil industry in North America drilled more than 34,000 mi of hole in the continent during 1969. Each of the 3 reporting countries--Canada, Mexico, and the United States--registered significant gains over 1968 in at least some of the important areas of statistical measurement. A record number of exploratory tests were drilled in Canada, 2 of which were in a new reporting area--Hudson Bay offshore. U.S. exploration drilled more wells than in 1968, and still managed to improve significantly on its success ratio. Estimates of hydrocarbons found by new-field wildcats in the U.S. indicate that the additional discoveries carried their weight in terms of oil and gas added to our reserves. Mexican exploration achieved marked gains in overall exploratory success and in the pe cent of new-field wildcats that were successful. Total footage drilled continued to climb at a faster rate than the number of tests. The observation made last year, that the industry is being forced to drill deeper to find and recover its reserves, is valid again. U.S. exploration reversed the long term downward trend it has been experiencing since 1956. The statistics for 1969 suggest that the industry can perform its function of augmenting our reserves as long as wildcatting, with its attendant high risks, remains an attractive venture. It is hoped that future analysts will not look back and see the 1969 recovery as just another bump on U.S. exploration's decline curve. INDEX OF TABLES, CHARTS, AND APPENDICES Table End_Page 889------------------------------ Table