2014 was a record breaking year as shale oil production across the United States surged, but a new report suggests that trend may be shifting.
U.S. gains increased at least 100,000 barrels per day for 10 of the last 16 months. The Eagle Ford saw the same surges, as production increased from approximately 1,2 million barrels daily in 2014 and to over 1.7 million last month.
Even the weekly loses of oil rigs since October hasn’t stopped production from soaring into numbers that have contributed significantly to a worldwide surplus. But this record streak may be coming to an end.
The U.S. Energy Information Administration (EIA) released a report on Monday that predicts oil production in the Eagle Ford Shale will dip in April, and possibly usher in a new trend of slower production. EIA analysts say that the Eagle Ford will produce 1.72 million barrels daily of crude oil and other liquids in April, down from an average of 1.73 million barrels daily this month.
Across the country, production from the six largest shale plays will hit 5.6 million barrels per day in April, which will be the smallest increase since February 2011.
This anticipated decline hasn’t changed the fact that reserves are still very high. EIA reports that stockpiles grew by 4.5 million barrels last week brining the U.S. reserves to 449 million barrels of oil in storage. It has been at least 80 years since the level has been this high.