Argus Bakken Basin Index

Argus’ reporting on OCTG prices began with the acquisition of Pipe Logix, the leading independent provider of OCTG and Line Pipe market information, in September 2022. Since 1980, Pipe Logix has produced the Pipe Logix Index, an equally weighted index of tubing, production casing and surface casing which are the three categories of pipe used in every well.

The Pipe Logix Index has been adopted by some of the largest suppliers and consumers of OCTG to settle sales contracts. However, following conversations with industry experts- pipe mills, OCTG distributors and oil & gas companies, Argus determined a need existed for a basin specific OCTG index. The various basins across the US involve very different tubular programs in regards to the tonnage of tubing, production casing and surface casing used. For example, production tubing is often 10% or less of the total OCTG tonnage in wells involving longer lateral completions, like in the Permian basin.

Argus concluded the Permian, Eagle Ford and Bakken basins, three of the most active regions in the US, as the best starting point for the newly launched indexes. For suppliers and buyers active only in certain basins, the Permian, Eagle Ford and Bakken Indexes provide a pricing trend specific to Argus’ reporting on OCTG prices began with the acquisition of Pipe Logix, the leading independent provider of OCTG and Line Pipe market information, in September 2022. Since 1980, Pipe Logix has produced the Pipe Logix Index, an equally weighted index of tubing, production casing and surface casing which are the three categories of pipe used in every well.

The Pipe Logix Index has been adopted by some of the largest suppliers and consumers of OCTG to settle sales contracts. However, following conversations with industry experts- pipe mills, OCTG distributors and oil & gas companies, Argus determined a need existed for a basin specific OCTG index. The various basins across the US involve very different tubular programs in regards to the tonnage of tubing, production casing and surface casing used. For example, production tubing is often 10% or less of the total OCTG tonnage in wells involving longer lateral completions, like in the Bakken.

Argus concluded the Permian, Eagle Ford and Bakken basins, three of the most active regions in the US, as the best starting point for the newly launched indexes. For suppliers and buyers active only in certain basins, the Permian, Eagle Ford and Bakken Indexes provide a pricing trend specific to their area of interest. Years of survey work analyzing basin specific well casing designs of tens of thousands of wells has allowed Argus the opportunity to determine the weightings in which the indices are based. 

The Bakken Index is published on a monthly basis on the last Wednesday of the month and provides accurate and timely distributor spot price trends of the casing and tubing program used in a typical Bakken well.

The Bakken Index can be accessed through the Argus Direct online platform and is analysed with pricing trends of other Pipe Logix indexes as a part of the OCTG Service. area of interest. Years of survey work analyzing basin specific well casing designs of tens of thousands of wells has allowed Argus the opportunity to determine the weightings in which the indices are based.