U.S. Energy Information Administration said last week it forecasts crude oil production in the U.S. will grow to 13.7 million barrels per day and marketed natural gas production will grow to 114.3 billion cfd in 2025. EIA said Aug. 21, “Most of the forecast growth in oil and natural gas production comes from the Permian region … where we expect productivity gains, new and expanded infrastructure, and high crude oil prices will support rising production.”
EIA forecasts crude oil production in Permian Basin will increase by 430,000 b/d from 2023 to 6.3 million b/d in 2024 and 6.6 million b/d in 2025 “partly due to drilling productivity improvements.”
And EIA forecasts marketed natural gas production in Permian Basin will rise by 1.9 billion cfd in 2024 and by 1.0 billion cfd in 2025 to average 25.8 billion cfd in 2025. “Most of the natural gas production in the Permian is associated natural gas and comes from oil-directed wells,” EIA said. “We expect crude oil prices will remain sufficiently high to support growth in crude oil production and associated natural gas production in the region.”