Will America control oil prices globally in the future? What about OPEC?

Oil production is not expected to return to normal, but will continue to decline in the coming months, despite a slight rebound in production in August and September, according to a report on Oil Price's Web site by Dan Stevens. , Which will affect oil prices globally.

According to estimates, the weekly production of US oil recently ranged between 12.3 and 12.5 million barrels per day.

However, these figures provided by the US Energy Information Administration are often inaccurate because the Energy Department does not always keep pace with the change in supply and demand trends, he said.

America's productivity
On September 3, Raymond James published a summary of the energy industry that included a statement saying the most important motivation for increasing oil prices and the energy market over the next five years would be a change in the new productivity of the United States.

The IEA, OPEC members, Russia and all parties involved in the energy industry are aware that the significant increase in US oil production during this decade has been the main source of new supplies.

According to Stevens, the widespread idea is that the United States can continue to meet growing global demand for oil over the next decade.

However, he said that lower oil prices due to increased oil shale production have led oil and gas companies to reduce the budget allocated for drilling and completion.

Since 2010, when the shale oil revolution erupted, the productivity of wells has increased by 30% in 2018, but production gains for oil wells have almost stalled in 2019.

Some analysts estimate that the increase in productivity will be 10% this year and will fall to 5% in 2020, according to Oil Price.

Perhaps the most important reason that productivity has fallen dramatically this year is that producers enter full "development mode".

Most of the companies involved in oil exploration were responsible for drilling "main wells" to exploit the Permi Basin and calculate the oil and gas reserves.

Restrictions on production
The writer concluded that the United States is restricting the growth of oil production to increase oil prices, at a time when crude will continue to be the pillar of the global economy.

He said the lack of exploration spending had led to a decline in new oil inventories found.

As a result, the oil-producing countries will be forced to increase oil prices to push the exploration and development engine in the world again, and expected the price of Brent crude to $ 80 a barrel.

It is noteworthy that Russian Energy Minister Alexander Novak said on Thursday that the US oil sector is finding it difficult to attract funding and increase production, and expected to slow the growth of US production.

Other estimates
But energy consultancy Ristad Energy said days ago that US shale oil fields would raise the country's crude production by 1.3 million barrels per day this year.

The company added that US production will increase next year by 1.1 million barrels per day.

Ristad Energie expects US oil and condensate production to reach 12.9 million bpd in December and 14 million bpd by the end of 2020.