U.S. oil output falls for 2nd month to 12.08 mln bpd in June -EIA
U.S. crude oil output fell for a second straight month in June, dropping by 33,000 barrels per day (bpd) to 12.08 million bpd, the U.S. Energy Information Administration said in a monthly report released on Friday.
Still, weekly U.S. crude production jumped to a new weekly record at 12.5 million bpd last week, based on separate EIA data.
Texas crude output rose by 13,000 bpd to a new record at 4.98 million bpd in while production in North Dakota climbed 36,000 bpd to 1.40 million bpd in June, matching a record level touched in December 2018, the data showed.
Output increases in the two states have been major contributors to the United States becoming the world’s biggest oil producer, ahead of Saudi Arabia and Russia. But the rate of growth has slowed amid concerns of slowing demand and oversupply.
In New Mexico, production declined by 14,000 bpd to 885,000 bpd, easing from a record, according to the data.
The U.S. oil rig count, an early indicator of future output, has declined over the past eight months, and was set for another drop in August, as independent exploration and production companies cut spending on new drilling as they focus more on earnings growth instead of increased output.
Meanwhile, monthly gross natural gas production in the lower 48 U.S. states rose to a record high of 101.3 billion cubic feet per day (bcfd) in June from a revised 100.2 bcfd in May, according to the EIA’s 914 report.
In Texas, the biggest gas producing state, output increased 0.7% to a fresh record high of 27.4 bcfd in June from a revised 27.2 bcfd in May.
In Pennsylvania, the second-biggest gas-producing state, output slipped 0.5% to 18.7 bcfd from a revised 18.8 bcfd in May.
Source: Reuters (Reporting by Devika Krishna Kumar and Jessica Resnick-Ault in New York Editing by Marguerita Choy)