EIA raises production forecast for U.S. oil output this year to 13.59 million b/d

U.S. Energy Information Administration this week raised its forecast for U.S. oil production this year.  The EIA said Tuesday in its short-term energy outlook that it expects production to average 13.59 million barrels per day in 2025 – up from its prior estimate of 13.55 million barrels per day.  Brent crude prices are expected to average about $74 in 2025 then fall to $66 in 2026.  EIA predicts gradual increases in production combined with relatively weak global demand growth.  U.S. consumption of petroleum and liquid fuels holds steady at 20.5 million b/d in 2025.

OPEC+ production cuts will reduce global oil inventories and keep crude oil prices near current levels through 2025Q1.