US shale oil production set to fall to 7.49M b/d in August
Oil production from the seven top US shale regions is expected to fall by 56K b/d m-o-m to 7.49M b/d in August, the lowest level since July 2018, according to Drilling Productivity Reports from the Energy Information Administration (EIA). The largest production decline is predicted to come from the Eagle Ford Basin in Texas, which is expected to fall by 23K b/d m-o-m to 1.11M b/d. Production in the Permian Basin is predicted to decline for the fifth consecutive month, decreasing by 13K b/d m-o-m to 4.15M b/d, the lowest since March 2019.
Out of the seven main shale formations, the only increase in production is set to come from the Bakken Basin, which is due to increase by 18K b/d m-o-m to 1.11M b/d. However, it is unclear whether the EIA has factored in the shutdown of the Dakota Access Pipeline, which has been ordered to close by a US district court by August 5.