US Is Set to Become World’s Top Oil Producer

United States of America is set to become the leading producer of oil in the world. The government of the United States sees that the production of oil will be further increasing in the year to come. Most importantly, this increase will be happening even among the situations of transportation logjams in the most prolific shale area the country. In spite of this, the government is eyeing an increase in the production of oil in the next year which is a very good sign for the United States. This is the reason for the forecast of the United States emerging as the leading producer of oil by the year 2019 overtaking the present leading producer.

The Energy Information Administration of the United States EIA forecasted in a report on Tuesday that the United States is on the verge of becoming the largest crude oil producer of the world if the present momentum of output of oil production continues. According to Junes Short Term Outlook or SETO, the Energy Information Administration has forecasted crude oil production of the United States averages to about 10.8 million barrels per day in the year 2018 which rose up from 9.4 million barrels per day in the year 2017. The forecast for the production is about 12 million barrels per day in the year 2019. Linda Capuano who is the Administrator of the EIA said that in the year 2019, it is forecasted that the United States will produce nearly 12 million barrels of crude oil per day. She also added that if the forecast holds true then nothing can stop the United States from becoming the leading producer of crude oil in the world.

The crude oil output of the US has remained consistently above ten million barrels per day since the month of February 2018. This is the reason why Saudi Arabia told OPEC that it produced about 10.5 million barrels of crude oil each day in the previous month as the kingdom sought to restrict or limit the rallying prices by ramping up of the output. This is per the people who are quite familiar with this particular matter. But there are concerns that hang over the worsening of the bottleneck in the biggest US shale region and the Permian Basin regarding how it might affect domestic output in the second half of the year.

December 19, 2018 - 00:54
Posted in:
0 comments