U.S. Energy Information Administration said this week the Permian Basin’s share of U.S. production will continue to increase and account for more than 50 percent of all U.S. crude oil production in 2026.
In its short-term energy outlook Tuesday, EIA said U.S. crude oil production reached an annual record of 13.2 million barrels per day in 2024. It is forecast to increase to 13.5 million b/d this year and 13.6 million b/d in 2026. WTI prices are expected to average $62 per barrel in 2026 – down from $70 per barrel in 2025. Permian’s growth will be offset by contraction in other regions.
Permian production will rise by nearly 300,000 b/d in 2025 and 2026 to 6.6 million b/d in 2025 and 6.9 million b/d in 2026.
Also in the report, EIA said it expects downward pressures on oil prices in the next two years as global production grows more than global oil demand. EIA forecasts Brent crude oil price will average $74 per barrel in 2025 (8 percent less than in 2024) and continue to fall another 11 percent in 2026 to $66 per barrel.