US oil production rose to a record high of 10.964 million barrels per day (b/d) in July, mostly due to record output in Texas and North Dakota. Drones of Texas photo via YouTube.
US oil production up 269,000 b/d in July
The US Energy Information Administration reported that in July, record output from Texas and North Dakota helped boost US oil production to a record high of 10.964 million barrels per day (b/d).
As well, the federal agency increased its June output number to just above 10.695 million b/d.
Russia averaged 11.347 million b/d between Sept. 1 and Sept. 27 and, according to Reuters, is on track to hit another post-Soviet high. Saudi Arabia posted 10.4 million b/d in production in August.
The EIA data showed that production in Texas increased to a record high of 4.47 million b/d and North Dakota output climbed to a record high of 1.26 million b/d.
But growth in the Permian has stalled due to pipeline constrictions. And according to Baker Hughes’ weekly rig count, drilling companies cut the number of rigs for a second consecutive week.
The EIA reports that US oil demand rose by 3 per cent in July compared to 2017. The increase was driven by strong distillates demand which jumped 6.8 per cent from July 2017 and gasoline demand rose by 0.7 per cent in July, year-on-year.
Natural gas production also hit record highs, rising to 92.7 billion cubic feet per day (bcfd) in July. The previous record of 90.9 bcfd was set in June.