South Dakota Provisions That May Be Added to A Pooling Or Unit Designation
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Almost all of the state's crude oil production is concentrated in the northwestern corner of the state, where Harding County produces most of South Dakota's crude oil and natural gas. Since the 1980s, the state's annual crude oil production has ranged between about 1 million and 2 million barrels per year.
The focus of this oil boom, which began around 2008, is on the Bakken formation of western North Dakota, northeastern Montana, and part of Canada. The Bakken formation constitutes one of the largest deposits of oil and natural gas in the United States.
South Dakota leads in mica production It also produces construction sand and gravel, crushed stone, dimension stone, feldspar, gemstones, gold, gypsum, industrial sand and gravel, lime, and silver. Iron ore mined is used for cement clinker.
Crude oil production in South Dakota has ranged between about 1 million and 2 million barrels per year for four decades. In 2022, production fell to 960,000 barrels, its lowest level since at least 1981.
The discovery well was drilled in 1953 in Harding County by Shell Oil Company. The well was drilled to a depth of 9,332 feet. The producing geologic unit is the Red River Formation. The Red River Formation remains South Dakota's most productive geologic unit for oil.
