Oil drillings for 2017 continue to exceed expectations as producers near the halfway mark of the year.

Recently, the provincial government shared an update from the Petroleum Services Association of Canada (PSAC) forecasting a "major increase" in oil and gas activity in the province.

The PSAC drilling activity forecast has set a new estimated number of wells drilled in Saskatchewan for 2017 from 1,940 wells to 2,670 wells. The association considers the updated forecast a significant increase to coincide with the activity occuring this year.

The number of wells already drilled in Saskatchewan for the first three months of the 2017 calendar year is 856, compared to 399 wells drilled during the same period in 2016.

“This announcement is a clear sign of renewed operations in Saskatchewan, in part because of our province’s stable and competitive operating environment,” said Dustin Duncan, the Minister of Energy and Resources.  “After an extended period of cost management and reductions, this industry is showing us once again the kind of resiliency and efficiency that makes it one of our most dynamic economic sectors and a major contributor to Saskatchewan’s economic growth.”

From a nationwide perspective, PSAC is anticipating an estimated 6,680 wells will be created this year. This would set an increase of 2,505 wells and a 60 per cent increase from the originally forecast for 2017 released in November of last year.

 

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