Data from the US Energy Information Administration released on Friday showed US crude production rose to record highs in June. Linn Energy photo.
US crude output hit 10.674 million b/d in June
US crude output jumped by 231,000 barrels per day (b/d) in June to hit a record high of 10.674 million b/d, according to the US Energy Information Administration’s monthly report released on Friday.
As well, the EIA boosted its estimate for May production by 1,000 b/d to 10.4 million b/d.
Production on land in Texas rose by 165,000 b/d to 4.4 million b/d and Gulf of Mexico output increased by 10.3 per cent or 154,000 b/d to 1.7 million b/d.
Rising US production has been a factor in oil markets concerned about a possible oversupply of crude which could lead to a bear market. As well, the market remains concerned about the impact on the global economy from the escalating trade war between the Trump administration and China.
Also on Friday, Baker Hughes issued its weekly US rig count. Last week, the number of oil rigs in the United States rose by 2 to 862 and the rig count is up by 103 over this time last year.
The agency also reported an increase in US natural gas production in the lower 48 states to a record high of 90.8 billion cubic feet per day (bcf/d) in June. The previous record set in May was 89.9 bcf/d.
Natural gas output in Texas rose by 1.5 per cent in June to 23.9 bcf/d. And in Pennsylvania, natural gas production rose by 2.2 per cent to 16.5 bcf/d in June.
Since 2009, the United States has been the world’s largest producer of natural gas.