Continental sees 700,000 barrel a day decline in US oil output

[NEW YORK] Daily crude output from the three largest US basins may fall as much as 700,000 barrels over the next year, according to Harold Hamm, chief executive officer of Continental Resources Inc.

Producers including Continental, owner of the most acreage in North Dakota's Bakken Shale, have cut drilling to save costs after oil prices plummeted, Mr Hamm said Tuesday on CNBC. Output has begun to decline, which will lead to higher prices, he said.

Oil producers will need about six months to ramp up drilling in response to higher prices leading to a price "roller coaster" for oil and fuels, Mr Hamm said.

BLOOMBERG