OPEC has reiterated its commitment to curb an oversupply and possibly extend its alliance with Russia beyond this year.
Meanwhile, Deputy Energy Secretary Dan Brouillette sees a “phenomenal” outlook for U.S. oil production in both 2018 and 2019, which may potentially erase the support from OPEC and its allies.
The Energy Information Administration calculates that daily output, which was the highest since 1972 last year, could hit a new record of 10.6 million barrels this year, the Wall Street Journal reports. The EIA even predicts the U.S. will become a net exporter by 2029, and if all other energy is included, in just four years.
BP PLC’s latest world energy outlook sees the U.S. will make up 18% of world oil and related liquids supply in a little over two decades, compared to second-place Saudi Arabia at 13%.
For more information on the oil market, visit our oil category.