A service truck drives past an oil well on the Fort Berthold Indian Reservation in North Dakota, U.S., November 1, 2014. REUTERS/Andrew Cullen/File Photo
Reuters: U.S. crude oil production hit record high in November: EIA
NEW YORK (Reuters) - U.S. crude oil production shattered a 47-year output record in November and retreated slightly in December, the U.S. Energy Department said on Wednesday, as oil production from shale continued to upend global supply patterns.
Oil output rose to 10.057 million barrels per day (bpd) in November, a revision from earlier estimates, the EIA said. December production fell 108,000 bpd to 9.949 million bpd, it said.
November’s figure exceeded the 10.044 million barrels produced daily in November 1970. Output has surged in the last several years due to the shale boom, pushing the United States past Saudi Arabia among top producers. Only Russia now has greater daily oil output.
The new record probably will not last. The U.S. government forecasts production will hit 11 million barrels per day later this year.
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WNU Editor: From a geopolitical/national security/and economic point of view .... the world would be in a different place if the U.S. was not experiencing this oil boom.
A good thing in one hand because the money stay within the country, but in an other hand we have to take care for not becoming a "Oil -Republic" which is not the best model of development.
ReplyDeleteWe leveraged other sources of oil the last few years knowing we had large reserves. As war looms this is good for US and bad for Russia.
ReplyDeleteMichael,
ReplyDeleteWhile I would like to believe that we leveraged other sources of oil in the past knowing we had large reserves, this is unlikely the case. Very respectfully US government officials are not that bright. In actuality we have much production now because fracking came online so quickly that the bureaucrats along with the very powerful environmental groups who essentially direct US energy policy were unable to crush it in the cradle.
As the editor once pointed out, large organizations are sometimes fat, slow, stupid, and ugly. This pretty much describes much of the US government as well as the environmental groups who have essentially had complete control over US energy policy for many, many years. When they conflicted with the fast, beautiful, brilliant, and sleek oil companies and other entrepreneurs who invented fracking and many other things as well as the oil and gas companies they were unable to crush this and many other inventions in the cradle as they very much wish they could have.
"As war looms this is good for US and bad for Russia." While this may be true, it is unlikely such a fortuitous situation for us had anything to do with planning or forethought on the part of US government officials. These people are generally dim bulbs. In actuality if war does loom between the US and Russia it is because mistakes have been made on both sides. The US for its part has done much to inflame this situation unnecessarily and I think still could do much to tone this down. Should we win we can think the oil companies and the entrepreneurs who outfoxed the regulators and the big environmental groups who have controlled US government policy with regards to energy for many long years to make all of this energy production happen!!