BAKU, Azerbaijan, February 22. Crude production in the US is expected to grow by 450,000 b/d in 2024, Trend reports.
According to the forecast made by the International Energy Agency (IEA), this will be also accompanied by a 320,000 b/d increase in natural gas liquids (NGLs) output.
In January, US oil production is believed to have decreased by 540,000 b/d month-on-month, reaching 19.5 mb/d, following the impact of an intense winter storm that affected significant producing areas in North Dakota, Colorado, Wyoming, and Texas. Of the total losses, NGLs and crude each accounted for 270,000 b/d.
Texas and North Dakota experienced the most substantial reductions, influenced by the trajectory and scale of the storm. Fortunately, no permanent damage was reported, and it is anticipated that February volumes will recover, with forecasts indicating an increase of 170,000 b/d for crude and 80,000 b/d for NGLs.
Thus, the shale patch is anticipated to maintain its dominance in the growth of US crude supply in 2024, with comparatively smaller increases expected from the Gulf of Mexico, the agency noted. Within the Gulf of Mexico, volumes are projected to rise by 70,000 b/d, reaching 2 mb/d, driven by the initiation of the first oil in three major projects.
Furthermore, the growth of light tight oil (LTO) is predicted to decrease by approximately half, dropping from 900,000 b/d last year to 440,000 b/d in 2024, reflecting the impact of reduced activity levels and a diminished inventory of drilled but uncompleted wells (DUCs) across key basins.