The Energy Information Administration (EIA) lowered its forecast for oil production growth in the USA in 2018 from 1.55 million to 1.53 million barrels per day. At the same time, the level of oil production will reach a historical peak of 10.88 million barrels per day, which will allow America to become the largest oil producer in the world.
EIA expects that next year oil production in the United States will reach a record 12.06 million barrels per day, an increase of 1.18 million barrels, the previous forecast provided for an increase of 1.16 million barrels per day.
The shale revolution allowed American oil producers to become world leaders in oil production, surpassing Russia and Saudi Arabia.
In early October, oil quotes peaked in the last 4 years, but then fell by more than 30% due to investor concern about a market glut.
EIA calculated that the demand for oil in 2018 increased by 520 thousand barrels per day, to 20.48 million. The agency predicts that the demand for oil in 2019 will grow by 330 thousand barrels per day, to 20.81 million barrels.
The material has been provided by InstaForex Company - www.instaforex.com