Shale Marching Higher Despite Lower Oil Prices
The shale oil revolution is still going strong…
That’s the story of today’s chart, which maps U.S. daily oil production in the top-five shale oil regions from 2013 to today… and projects production to 2025. The five regions are: Permian (Delaware), Permian (Midland), Eagle Ford (in Texas), Bakken (in parts of Montana), and Niobrara (in parts of Colorado and Nebraska).
This data comes from a study produced by independent energy consulting firm Rystad Energy.
As you can see, U.S. shale oil production has more than doubled since 2013 – hitting 5.8 million barrels per day this year.
For context, total crude oil production in the United States is roughly 10.7 million barrels per day. That means shale oil makes up 35% of total oil production.
And according to Rystad Energy, shale oil production will grow to 12.6 million barrels per day by 2025.
Why share this insight today?
Earlier this year, we conducted a thorough study of America’s 3,141 counties. Using a proprietary scoring method, we found that more than 70% of American counties are worse off economically now than they were 10 years ago [subscribers of The Bill Bonner Letter can catch up here].
Of the American counties that had improved in our study, many of them were in regions where the shale oil revolution is underway, such as Wyoming, Texas, and the Dakotas. This suggests that fracking has been a boon for those parts of the American heartland.
If shale oil production continues to trend upwards, it should continue to elevate the counties around these top-five shale oil regions.
Courtesy of Joe Withrow, Bonner & Partners (More articles by Bonner here)
The views and opinions expressed herein are the author’s own, and do not necessarily reflect those of EconMatters.
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