Export markets for both crude and refined products will be key to monetizing the growth in U.S. production, according to Greg Haas, director, integrated oil and gas with Stratas Advisors, who was speaking at the recent Midstream Texas conference hosted by Hart Energy.
“Overall we’re going to see roughly 16 million barrels per day (MMbbl/d) by 2026 coming out of North American resource plays from both onshore and offshore and in the U.S. and in Canada,” Haas forecast. This includes tight oil and field condensate production, as well as Canadian oil sands bitumen.
In addition, the market has no shortage of crude and product inventory to work off in the short term.
“We’ve still got a great overhang (of crude stocks). We’ve got about 125 million barrels of crude over the five-year average,” said Haas.