Daily oil production has increased by 22% over the last 4 years.
Since 2008, production has skyrocketed 350% from ~3.8 million barrels per day.
The US is now the world’s largest oil producer exceeding Russia’s output by ~35% and Saudi Arabia by ~38%.
The US is dominating global oil production.
BREAKING: US crude oil production has officially hit a record 13.4 million barrels per day.
Daily oil production has increased by 22% over the last 4 years.
Since 2008, production has skyrocketed 350% from ~3.8 million barrels per day.
The US is now the world’s largest oil… pic.twitter.com/h0Yvuub5mE
— The Kobeissi Letter (@KobeissiLetter) August 14, 2024
US oil production has moved in a straight line higher since the 2020 low.
As OPEC implements production cuts, US production is replacing it.
If a recession hits, oil markets will be highly oversupplied.
Follow us @KobeissiLetter for real time analysis as this develops.
— The Kobeissi Letter (@KobeissiLetter) August 14, 2024
America’s Resilient Oil Drillers Pump Out Another Record
In case you missed it, the U.S. Energy Information Administration (EIA) reported Thursday that domestic oil and gas producers set another new record high in oil production during the week ended August 4. U.S. producers pumped out an amazing 13.4 million barrels per day (bpd) for the week, an increase of 800,000 bpd from the same week a year ago. This latest record represents the highest level of oil ever produced by any nation on earth.
For context, this weekly production record is more than 3 times the 3.794 million bpd the U.S. produced in September 2008, just 16 years ago, and more than double the volume produced in September 2012. That 62-year nadir set in 2008 came the month before the first successful well was drilled into the Eagle Ford Shale, kicking off the shale revolution in oil production that has driven the rise of the domestic industry ever since.
Global demand for crude oil reached yet another all-time high in 2023, is on a pace to repeat that feat in 2024, and seems likely to continue rising for years to come, regardless of how many reports the International Energy Agency and others publish predicting the fast arrival of “peak oil” demand.
AC