You are here


Rising US crude output suggests Opec may have lost its battle with shale

Total US crude production rises by more than 550,000 barrels a day in the 20 weeks since Opec decided to cut output, US Department of Energy data show

In November, the Energy Information Administration assumed an average 2017 West Texas Intermediate price of US$49.92 per barrel. That estimate has risen to just US$52.28 in April's forecast.


IT WAS all so simple. By lifting restraints on output, Saudi Arabia would stop subsidising high-cost oil producers and halt the rapid rise in US production that was eating into the market share of the Organization of the Petroleum Exporting Countries (Opec). At least, that was the...

Market voices on: