• 4 minutes Is The Three Gorges Dam on the Brink of Collapse?
  • 8 minutes The Coal Industry May Never Recover From The Pandemic
  • 11 minutes China Raids Bank and Investor Accounts
  • 9 hours Biden admits he has been tested for Cognitive Decline several times. Didn't show any proof of test results.
  • 2 hours Putin Forever: Russians Given Money As Vote That Could Extend Putin's Rule Draws To A Close
  • 1 hour During March, April, May the states with the highest infections/deaths were NY, NJ, Ma. . . . . Today (June) the three have the best numbers. How ? Herd immunity ?
  • 12 hours Apology Accepted!
  • 4 hours Tesla Model 3 police cars pay for themselves faster than expected, says police chief
  • 15 hours U.S. natural gas at major disadvantage in Europe and China.
  • 16 hours Biden came out of his basement today (Thursday) and said , "we have 120 Million deaths from Covid 19.
  • 3 hours Why Oil could hit $100
  • 3 hours The Political Genius of Donald Trump
  • 16 hours Putin Paid Militants to Kill US Troops
  • 21 hours CoVid in Spain, 9 months before China
  • 20 hours Per most popular Indian websites it was Indian troops not Chinese troops breach of LAC that caused the clashes. If you know any Indian media that claim to the contrary please provide the link
  • 21 hours The world is headed for big problems - interview with very smart economist

Breaking News:

OPEC Production Falls To Three Decade Low

Are Oil Prices About To Drop?

Are Oil Prices About To Drop?

The market is in a…

COVID-19 Could Crush Argentina’s Shale Boom

COVID-19 Could Crush Argentina’s Shale Boom

Argentina’s shale oil drillers are…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

The EIA Cuts U.S. Oil Output Projections

U.S. crude oil production will continue to set records, but the pace of growth could be slower than what was thought just a month ago, according to the EIA’s latest Short-Term Energy Outlook (STEO) which revised down output estimates compared to the previous month—a first downward revision in six months.

According to the March STEO, U.S. crude oil production averaged 11.9 million bpd in February, down slightly from the January average. The EIA now expects U.S. oil production to average 12.3 million bpd this year and 13.0 million bpd next year, with most of the growth coming from the Permian.

Compared to the EIA’s February STEO, the latest estimate lowers the expectation for 2019 U.S. crude oil production by 0.9 percent, from the 12.41 million bpd expected in February to 12.3 million bpd in the March forecast. For 2020, the EIA cut its production forecast by 1.3 percent, from 13.2 million bpd projected last month, to 13.03 million bpd in the March estimates.

The latest projections from EIA are in line with many analyst forecasts which have warned that although U.S. oil production will keep growing, the pace of that growth is not be sustainable over time because many of the ‘sweetest spots’ have already been drilled out, the decline rates at wells are fast, and because smaller independent drillers are not making money, thus disappointing shareholders who expect returns, not record high production.

The number of active oil and gas rigs fell sharply in the United States in the week to March 1, with the number of active oil rigs falling by 9 to reach 834 and the number of gas rigs falling by 2 to reach 193.

Related: Are Semi-Solid State Batteries A Gamechanger?

“The U.S. active oil rig count reached a 10-month low of 834 rigs as of March 8, suggesting the rate of U.S. crude oil production growth could slow,” the EIA said in its March STEO.

Although U.S. crude oil production is estimated to have remained near 11.9 million bpd for the past four months, it still expects American oil production to increase by 1.3 million bpd in 2019 and by 700,000 bpd in 2020, the EIA noted.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Mamdouh Salameh on March 13 2019 said:
    By reducing its projections of for US oil production marginally from 12.41 million barrels a day (mbd) to 12.3 mbd in 2019 and from 13.2 mbd to 13.03 mbd in 2020, the US Energy Information Administration (EIA) is trying to project a semblance of credibility.

    One explanation is that the EIA couldn’t continue with its practice of issuing exaggerated figures about US oil production despite authoritative reports talking about a slowdown in the Permian which contribute more than 60% to US shale oil production.

    The EIA claimed that US oil production averaged 10.6 mbd in 2017 when it was actually 9.36 mbd according to the authoritative 2018 OPEC Annual Statistical Bulletin. In 2018, it claimed that US production averaged 11.7 mbd but later it admitted that it was 10.9 mbd. Now the EIA is saying that US production will average 12.3 mbd in 2019 but judging by its record over the 2017 and 2018 figures, we should expect a production of around 11 mbd in 2019.

    Philip Verleger, a highly respected economist in the United States wrote in an article titled:” US Oil Production Is Headed for a Quick Decline” he posted on oilprice.com on the 11th of March that he is projecting a decline of 1-2 mbd in US oil production mostly from US shale oil production by 2020. This could translate into a US production range from 10.0-11.0 mbd in 2019 and 11.0-12.0 mbd in 2020.

    Dr Mamdouh G Salameh
    International Oil Economist
    Visiting Professor of Energy Economics at ESCP Europe Business School, London

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News