EOG expects its service costs to drop 9 percent this year inthe Permian Basin, the largest
"We're really locked in and seeing prices move down," hesaid. Unlike some peers, EOG procures its own sand, water andchemicals for fracking, helping to defray costs.
"We don't need a lot from the service industry except peopleand equipment to pump," Thomas said.
The forecast for a decrease in cost over 2017 levels comesas EOG's peers grapple with rising prices from Halliburton Coand other oilfield service providers, who are eager tocharge more as crude prices climb higher.