This is the 54th consecutive annual report on drilling activity for the United States. Canadian drilling data has been included with these annual reports since 1948; Mexico provided data for the period 1948-1980.

For 1989, Canada showed a 34.7% decrease in total wells drilled (5804 wells) and a 34.6% decrease in the amount of footage drilled (21,908,914 ft). The 38 new-field wildcat discoveries represented a success rate of 30.9%. Of these discoveries, 19 were in Alberta, 10 were in Saskatchewan, 6 were in British Columbia, and 3 were in the Northwest Territories-Arctic Islands. New-field and new-pool wildcats accounted for 37.4% of the 1487 exploratory discoveries. In Canada, 57.8% of the 2571 exploratory wells drilled were successful.

In the United States, total drilling activity during 1989 decreased 13.5% (to 31,417 wells), and footage drilled decreased 16.2% (to 26,737 mi) compared with 1988. There were 381 new-field discoveries--representing an 18.8% decrease from 1988. The ratio of new-field dry holes to producers was 6.70:1, and the success rate was 13.0%.

Estimates of ultimate reserves reported as discovered in 1983-1989 in the United States are being reviewed by the Joint Task Group on Statistical Integrity.