United States: US production

Crude and condensate production in the US averaged 5,136,100 bopd (the first year-to-year gain in 16 years), up 0.7% from 2006. This 34,500-bpd rise compares quite favorably with a 38,600-bpd drop last year and is no doubt due to record high oil prices.

Alaskan production continued to fall, averaging 730,700 in 2007. Although production continued to decline, this single year drop of 10,800 bpd is far less than the 168,000 bpd decline in 2006.

Lower-48 production averaged above 4.4 million bopd for 2007, up 1% from 2006. Louisiana ranked first in year-to-year production increase, gaining about 115,800 bopd to average just under 1.36 million bopd. North Dakota came in next with a 9,600-bopd gain and an average daily production of 118,900 bopd.

Texas lost 55,500 bopd, the largest statewide decline, which put its production at just under 1.3 million bopd. California came in next with a 13,400-bopd decrease in 2007, putting that state down almost 2% to 670,300 bopd. Colorado lost 12,200 bopd, giving it the largest percentage decrease, almost 19% to 51,900 bopd from 64,100 bopd.

For 2008, EIA forecasts a 1.3% increase in crude production. Most of the increase will be seen in the Gulf of Mexico, where the Atlantis and Neptune deepwater platforms began production in late 2007 with the Thunder Hawk, Thunder Horse and Tahiti platforms beginning production in 2008.

It should be remembered that these production numbers are only estimates; they will be revised over the next two years. There were considerable adjustments in the Department of Energy data for 2007, both up and down. But the general picture will likely remain the same.

Natural gas. Although final Department of Energy figures are not available, World Oil estimates that 2007 US marketed gas production increased for the second year in a row, to 19.75 Tcf. This was 1.9% more than the 19.38 Tcf produced a year earlier, with increases in onshore lower-48 production offsetting declines in the Gulf of Mexico.

US crude and condensate production by state (thousand barrels)

EIA forecasts for 2008 show total marketed production increasing by 1.6%, a result of the new deepwater GOM supply infrastructure startup, which is expected to increase the Gulf’s production by 7.9% for next year.