Oil Production Vital Statistics December 2016
Global total liquids production hit yet another record high of 98.24 Mbpd in November led by OPEC and Russia! Libya’s drive to restore production is a significant factor with production up 280,000 bpd from recent lows. The US oil rig count has risen for 32 consecutive weeks and US oil production has stopped falling. Production from the North Sea and Asia are in decline as the past low price and drive to restore profitability works through the system.
The oil price has significantly broken above the $51 / bbl resistance and Brent is currently at $57. With OPEC + Russia due to decrease production from January first and to maintain lower plateau levels, combined with the relentless rise in demand, the oil price should rally from here, but not by much. The ceiling is set by the cost of new supply that currently resides with the N American LTO frackers. US production has halted its decline which is perhaps a sign of what is coming.
The following totals compare November 2016 with November 2015:
- World Total Liquids +780,000 bpd
- OPEC +950,000
- Russia + FSU +440,000
- Europe -170,000 bpd
- Asia -640,000
- North America -640,000
The net figures from the above are +1.39 Mbpd and -1.45 Mbpd leaving a net -0.06 Mbpd increase compared with the + 0.78 Mbpd global total liquids figure.
Year on Year, OPEC and Russia are the big winners. North America, Asia and Europe the big losers. And on the drilling front:
- US total rig count up 261 to 665 from the low of 27 May
- International rigs up 15 in November
This article first appeared on Energy Matters.
EIA oil price and Baker Hughes rig count charts are updated to the end of October 2016, the remaining oil production charts are updated to September 2016 using the IEA OMRdata.
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