Permian Region Sees Surge in Oil and Gas Production as Drilling Technology Advances

The Permian region in western Texas and eastern New Mexico has seen significant growth in oil and natural gas production over the past decade, thanks to advancements in drilling technology. Well operators have shifted from short-reach wells to longer lateral wells, with an increasing number of super-lateral wells exceeding 15,000 feet being drilled.

The Permian region is one of the most prolific unconventional oil- and natural gas-producing regions in the world. Data from Enverus shows that between 2015 and 2025, the share of short-reach wells decreased from 43% to just 4%, while mid-length lateral wells increased from 57% to a peak of 90% before settling at 81%. Super-lateral wells, which are virtually nonexistent before 2020, now account for 15% of all new Permian well completions.

The number of new wells being drilled has remained relatively stable, with around 6,000 per year since 2022. However, the average lateral length of a new horizontal Permian well increased by 77% in the last decade, rising from 6,149 feet in 2015 to 10,867 feet in 2025.