.jpg)
3 hours ago
1
Article content
(Bloomberg) — Oil industry consultant Rystad Energy has slashed its estimate for US onshore crude growth by more than half for this year, amid lower commodity prices and higher costs brought on by President Donald Trump’s global trade war.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
SUBSCRIBE TO UNLOCK MORE ARTICLES
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account.
- Share your thoughts and join the conversation in the comments.
- Enjoy additional articles per month.
- Get email updates from your favourite authors.
THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account
- Share your thoughts and join the conversation in the comments
- Enjoy additional articles per month
- Get email updates from your favourite authors
Sign In or Create an Account
or
Article content
Article content
Expansion of oil production in the lower 48 US states is expected to be less than 150,000 barrels a day, as measured from the end of last year to the end of 2025, Rystad said Monday in a report. That’s down from a previous growth estimate of about 300,000 barrels a day. The consultant expects oil output in the region next year to decline based on current prices.
Article content
Article content
“We expect activity declines to be most concentrated in the Permian, as other basins already are in maintenance mode,” said Amber McCullagh, senior vice president at Rystad, referring the Permian Basin, the world’s biggest shale patch, which is located in West Texas and New Mexico.
Article content
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Article content
Crude prices have plunged more than 10% this month in the wake of Trump’s trade war and a decision by OPEC to beef up a production increase scheduled for later this year. Those lower prices, coupled with the trade war, have caused significant unease across the industry and threatened to undercut the president’s own goal of ramping up fossil-fuel production.
Article content
Earlier this month, the Energy Information Administration reduced its total US oil production forecast for the year, which also includes offshore and conventional wells on land. It now expects 13.51 million barrels a day, down from a previous projection of 13.61 million, amid growing unease about the US shale patch.
Article content
—With assistance from Mia Gindis.
Article content
Advertisement 1
English (US)