• 3 minutes Don't sneeze. Coronavirus is a threat to oil markets and global economies
  • 5 minutes Boris Johnson taken decision about 5G Huawei ban by delay (fait accompli method)
  • 9 minutes This Battery Uses Up CO2 to Create Energy
  • 12 minutes Shale Oil Fiasco
  • 2 hours Historian Slams Greta. I Don't See Her in Beijing or Delhi.
  • 1 day Indonesia Stands Up to China. Will Japan Help?
  • 15 hours We're freezing! Isn't it great? The carbon tax must be working!
  • 1 day US (provocations and tech containment) and Chinese ( restraint and long game) strategies in hegemony conflict
  • 14 hours Beijing Must Face Reality That Taiwan is Independent
  • 3 hours Let’s take a Historical walk around the Rig
  • 2 hours Tesla Will ‘Disappear’ Or ‘Lose 80%’ Of Its Value
  • 2 days Environmentalists demand oil and gas companies *IN THE USA AND CANADA* reduce emissions to address climate change
  • 23 mins Trump has changed into a World Leader
  • 1 day Might be Time for NG Producers to Find New Career
  • 2 days Anti-Macron Protesters Cut Power Lines, Oil Refineries Already Joined Transport Workers as France Anti-Macron Strikes Hit France Hard
  • 3 days Phase One trade deal, for China it is all about technology war
Alt Text

Oil Is The Only Way Back Up For Venezuela

Venezuela’s economic and humanitarian crisis…

Alt Text

The “Twin Threats” Facing Big Oil

According to a new report…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

U.S. Shale To Break Records Despite Bearish Rhetoric

Crude oil production in the U.S. shale patch is seen rising by 49,000 bpd next month to a record-high daily average of 9.133 million barrels. That’s according to the latest edition of the Energy Information Administration’s Drilling Productivity Report.

A month earlier, the EIA estimated that total shale oil production will rise by 58,000 bpd in November from October, to 8.971 million bpd. The latest report, however, pegged the November average at more than that: 9.048 million barrels daily.

As usual, the production increase is the highest in the Permian, at 57,000 bpd between November and December. This rise will make up for the 12,000-bpd production decline in the Anadarko basin and the 14,000-bpd decline in the Eagle Ford. In the Bakken, Niobrara, and Appalachia, oil production will increase, although more modestly, by 9,000 bpd, 6,000 bpd, and 3,000 bpd, respectively.

While the forecast December average is a record figure, for oil traders the more important news is that production growth is slowing down. This is a welcome change of tune after a slew of bearish reports.

The International Energy Agency, for instance, said in its new World Energy Outlook, that U.S. oil production growth will remain the fastest and greatest in the world, accounting for 85 percent of global oil production growth until 2030.

OPEC also had bad news for oil bulls in its latest Monthly Oil Market Report. In it, the cartel revised down its global oil demand forecast for 2020 and demand for its own oil, too. However, in a silver lining, OPEC also revised down its outlook for U.S. oil production growth by 33,000 bpd.

This many not be a lot, but it is yet another indication that production growth is slowing down, mostly because of prices and persistent pressure from shareholders for higher returns at the expense of production expansion.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage




Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play