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'We really don't plan on giving up our lead,' EOG chief says
George R. Brown Convention Center via Wikimedia Commons

‘We really don’t plan on giving up our lead,’ EOG chief says

William Thomas, chairman and CEO of Houston-based EOG Resources, told the audience at the 2016 NAPE Summit that he does not plan to surrender the lead his company has made as the largest onshore oil producer in continental United States.

“We really don’t plan on giving up our lead,” Thomas said at the George R. Brown Convention Center in Houston.

At the summit, Thomas spoke about the future of horizontal oil drilling in the United States.

Thomas stated his company’s formula for staying competitive is a deep inventory of lower-cost wells, and focusing on better wells instead of new wells.

The company’s decision to stop using gel while hydraulic fracturing reduced added costs. Without gel, oil recovery per well increased, according to Thomas.

EOG Resources made great efforts to eliminate other unnecessary products sold to them by oilfield service companies.

“We don’t rely on the service industry to get our costs down,” Thomas said. “We take ownership.”

Thomas said the majority of the company’s cost reductions have come from technology and efficiency gains. One-third of cost reductions came from cutting rates with service providers.

According to a 2014 company report, EOG Resources was the largest crude oil producer in the Eagle Ford shale play.

EOG Resources is a leading independent exploration and production company and helped pioneer the development of unconventional horizontal shale resources. Thomas was named Chairman and CEO of EOG Resources in January 2014.

The NAPE Summit, held every February, is a networking event that brings together major players in the upstream oil and gas industry.

In related news, Continental Resources CEO sees oil rising to $60 by year end.

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