U.S. crude oil output hit a new all-time high of 11.5 million barrels per day (MMbbl/d) in September, according to the government on Nov. 30, the latest indicator of a wave of onshore U.S. production that has weighed on global markets.
U.S. crude production rose 129,000 bbl/d in September to 11.475 MMbbl/d, the U.S. Energy Information Administration said in a monthly report. At the same time, demand for gasoline fell and demand for diesel and other distillate heating fuels rose from a year earlier.
Oil production, which was up nearly 21% year-on-year, broke its 1970 record of 10.04 MMbbl/d in November 2017, and has set monthly record highs for four straight months since June.
The increase from August reflected rising onshore output that outstripped production cuts in the U.S. Gulf of Mexico during hurricane season.
Production rose 106,000 bbl/d in Texas, 64,000 bbl/d in North Dakota and 24,000 bbl/d in New Mexico. Production in the offshore Gulf fell by 147,000 bbl/d in the month, as storms including Hurricane Gordon prompted producers to shut in production .
Meanwhile, gross natural gas production in the lower 48 U.S. states rose to an all-time high of 95.9 billion cubic feet per day (Bcf/d) in September, up from the prior record of 94.8 Bcf/d in August, according to EIA’s 914 production report.
In Texas, the nation’s largest gas producer, production increased to a record high 25.1 Bcf/d in September, up 0.7% from August. That compares with output of 22.1 Bcf/d in September 2017.
In Pennsylvania, the second biggest gas producing state, production rose to a record high 17.7 Bcf/d in September, up 2.7% from August. That compares with output of 14.8 Bcf/d in September 2017.
Gasoline demand fell from a year earlier, dropping 260,000 bbl/d to 9.1 MMbbl/d. Demand for distillate fuel, which includes diesel and heating oil, increased 86,000 bbl/d to 4 MMbbl/d.
Recommended Reading
SLB’s ChampionX Acquisition Key to Production Recovery Market
2024-04-21 - During a quarterly earnings call, SLB CEO Olivier Le Peuch highlighted the production recovery market as a key part of the company’s growth strategy.
PHX Minerals’ Borrowing Base Reaffirmed
2024-04-19 - PHX Minerals said the company’s credit facility was extended through Sept. 1, 2028.
BP Restructures, Reduces Executive Team to 10
2024-04-18 - BP said the organizational changes will reduce duplication and reporting line complexity.
Matador Resources Announces Quarterly Cash Dividend
2024-04-18 - Matador Resources’ dividend is payable on June 7 to shareholders of record by May 17.
EQT Declares Quarterly Dividend
2024-04-18 - EQT Corp.’s dividend is payable June 1 to shareholders of record by May 8.