The US Energy Information Administration (EIA) has revised its forecasts for the American production of crude oil downwards, noted the raw material analyst of Commerzbank, Carsten Fritsch.
The drop in production can even start earlier
“It is now expecting an increase of only 200,000 barrels per day this year.
“The drop in production can even start earlier. This week, some shale oil companies have announced that they would reduce spending and drilling activities in the Permian basin. The president of one of the companies, referring to the industry, spoke of a spectacular drop in business and a likely decrease in oil production.”
