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A member of the drilling team on an oil rig in the Permian Basin near Wink, Texas.
Nick Oxford | Reuters
The United States will maintain or even increase oil production, despite low energy prices and slowing economic growth, said Wednesday Deputy Secretary General for Energy Dan Brouillette.
In the United States, shale producers will continue to produce a record 12 million barrels a day over the next year, he said, citing forecasts from the Energy Information Administration. They could even reach 13 million barrels, he added.
"US production will continue for a long time," CNBC's Brouillette said.
WTI (West Texas Intermediate) crude futures in the United States have fallen nearly 20% since their peaks in 2019 at the end of April, as oil prices were dragged down by the intensification of oil prices. fears of an economic slowdown that would have begun to have an impact on oil consumption.
But Brouillette rejected fears that oil demand will be affected by slower growth.
"Growth is slowing slightly … beginning of 2019. But I suspect that as the economy picks up, we will start to see the demand grow too, and that will be good news for oil producers." , did he declare.
On Wednesday, Brent crude futures were valued at $ 61.34 per barrel and those in the US market at $ 52.40 a barrel, at the high of this year between $ 74 and $ 66 per barrel in April.
Our biggest challenge in the US is not to maintain production, but to put the product on the market. We are developing infrastructure … at a fast pace, but we need to do more.
Dan Brouillette
US Assistant Secretary of Energy
In the United States, shale drillers are facing growing production hurdles as budgets shrink to billions of dollars and the number of drilling rigs in operation has declined this year, M said. Brouillette. the biggest problem.
"Our biggest challenge in the US is not to maintain production, but to bring the product to market. We are developing infrastructure … at a fast pace, but we need to do more. We need more oil and gas pipeline capabilities to reach these export markets, "he said.
In fact, said Brouillette, there will be increased production, not declining production, in the United States.
Last year, the global appetite for natural gas grew faster than ever since 2010. Most of this supply is expected to come from the United States, as it aims to be a leading exporter of liquefied natural gas. (LNG).
Gas production in the United States rose 11.5% in 2018, representing the fastest growth since 1951, according to the International Energy Agency. Currently, Australia and Qatar are the two largest exporters of LNG, a form of liquid refrigerated fuel for shipping.
However, in the midst of the trade war, Chinese tariffs on US natural gas could put Washington's ambitions on hold, with the Asian giant accounting for a large share of global demand and becoming the world's second largest importer of LNG.
Brouillette, however, rejected this idea, highlighting the strong demand from the rest of Asia.
He said sales to South Korea and Japan were "very, very important" compared to China. With the figures from Mexico added to this total, "the future is rather promising," he added.
"We continue to see continued growth in LNG exports worldwide," added Brouillette.
– CNBC's Tom DiChristopher contributed to this report.
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