EIA Lowers US Crude Oil Production Growth Forecasts
In its latest Short-Term Energy Outlook, the US Energy Information Administration has lowered its forecast for US crude oil production growth this year by 110K b/d to 1.35M b/d. This leads to an expected output of 12.30M b/d in 2019. Production in 2020 was also projected to increase by a slower pace than previously anticipated, rising by 730K b/d y-o-y compared with growth of 790K b/d in last month’s forecast.
US crude runs are estimated to average 17.08M b/d in 2019, up 120K b/d y-o-y, with levels expected to rise to 17.8M b/d in 2020.
By early afternoon in London, ICE Brent was trading at $66.68/bbl, up $10/bbl from the end of Monday’s trading day.