According to the U.S. Energy Information Administration (EIA) website article published on February 1, 2023, in 2021, U.S. proved reserves of crude oil and lease condensate increased 16% from 2020, totaling 44.4 billion barrels, according to recently released Proved Reserves of Crude Oil and Natural Gas in the United States, Year-End 2021 report. Proved reserves decreased 19% in 2020 because of pandemic-related constraints on crude oil demand and production. In 2021, however, demand for petroleum and natural gas returned, prices rose, and proved reserves increased.
In 2021, proved reserves of crude oil and lease condensate increased in each of the five states with the most U.S. oil reserves. Two of these states, New Mexico and Alaska, set new state records for proved reserves.
Proved reserves are operator estimates of the volumes of oil and natural gas that geological and engineering data demonstrate, with reasonable certainty, to be recoverable in future years from known reservoirs under existing economic and operating conditions.
Texas is the state with the largest volume of proved reserves of crude oil and lease condensate, and in 2021 it had the largest net increase in proved reserves in the United States. Proved reserves of crude oil and lease condensate increased 12%, or 1.9 billion barrels, in Texas during 2021 and reached 18.6 billion barrels, which was slightly less than the state's 2019 record high. Proved reserves in New Mexico increased 39%, or 1.4 billion barrels, which was the second-largest increase on record for any state. The Wolfcamp/Bone Spring shale play in the Permian Basin remains the largest oil-producing shale play in the United States, and it sits on the border of Texas and New Mexico. To learn more about production areas, see our series of maps of major U.S. shale plays.
