by Jeff Della Rosa (JDellaRosa@nwabj.com)
U.S. crude oil production is expected to exceed pre-pandemic levels in 2023, and as production and inventories rise, fuel prices are expected to fall, according to the U.S. Energy Information Administration (EIA). The production is expected to average 12.4 million barrels per day in 2023, surpassing the record high set in 2019.
The EIA released Tuesday (Jan. 11) the January Short-Term Energy Outlook which projects that U.S. crude oil production will rise for nine consecutive quarters, from the fourth quarter of 2021 through 2023. Also, OPEC is expected to increase crude oil production to 28.9 million barrels per day in 2023, up from an average of 26.3 million barrels per day in 2021.
U.S. commercial crude oil inventories will rise to 465 million barrels at the end of 2023, which is about 11% higher than the inventories at the end of 2021.
