ExxonMobil Shifts to Automated Drilling in Permian Basin Push

ExxonMobil is investing in automated drilling technology to increase oil production and reduce risk in the Permian Basin, a move that has not been previously reported. By 2028, the company aims to transition half of its fleet to automated rigs with robotic equipment, which will allow workers to focus on planning and operations instead of physically moving heavy machinery.

The Permian Basin is one of the largest oil-producing regions in the US, and ExxonMobil operates over 30 drilling rigs there. The use of automated rigs has already shown promising results, with one rig drilling two miles horizontally underground in just six days - a feat that has been achieved only three times before in the company's history.

ExxonMobil's goal is to grow its Permian production by almost 40% to 2.5 million barrels of oil equivalent per day by 2030, while rival Chevron plans to hold production steady at about 1 million boepd. The company's use of automated rigs is part of a broader strategy to boost efficiency and productivity in the region.

Bart Cahir, ExxonMobil's senior vice president of unconventionals, said that by removing workers from high-risk areas, the company can eliminate accidents and increase drilling speed. 'When we take people off the rig floor, those same individuals are now able to think ahead and plan for the next operation, and that combination gives us efficiency,' he explained.

ExxonMobil is also developing over 40 technologies to improve oil recovery in the Permian, with the aim of doubling its output by the early 2030s. The shale industry typically extracts just 10% of the oil in the ground due to the tight, compacted rock.