BAKU, Azerbaijan, April 13. US liquids output (excluding processing gain) in 2023 is expected to increase by 1 mb/d to an average of 20.2 mb/d, Trend reports via monthly oil outlook from OPEC.
According to the report, the forecast has been revised down by 31,000 b/d from the previous month's assessment.
"The lower output anticipation for the rest of the year is mainly due to lower-than-expected upstream activities in 1Q23. Better drilling activity and fewer supply chain/logistical issues in the prolific Permian, Eagle Ford and Bakken shale sites are still assumed for the rest of 2023," the report said.
As OPEC noted, taking into account the high level of oil field drilling and well completions, US crude oil production is expected to rise by 0.7 mb/d year-on-year to average 12.6 mb/d. Average tight crude output in 2023 is forecast at 8.5 mb/d, up by 0.7 mb/d year-on-year.
"The 2023 forecast assumes continuing capital discipline, lower inflationary pressures, as well as moderate supply chain issues and oil field service constraints (labor and equipment). Tightness in the hydraulic fracking and professional labor market is expected to remain a challenge for US upstream producers in this year," the report added.