Since then, front-month futures prices have fallen to $78 in December 2022 (51st percentile) and just $70 in June 2023 (43rd percentile).
Chartbook: U.S. oil and gas productionOn the gas side, dry production amounted to 3,063 billion cubic feet (bcf) in April 2023, an increase of almost 6% from April 2022.
Like oil, gas production has continued to increase in a lagged response to very high prices during the second and third quarters of 2022.
Gas production growth is set to slow sharply in the second half of 2023 and into the first half of 2024 which should erode excess inventories during the winter of 2023/24.
Related columns:- U.S. oil and gas output still rising in response to high prices last year (June 1, 2023)- U.S. oil and gas output growth set to slow sharply (May 3, 2023)- U.S. oil drilling falls in response to lower prices (February 27, 2023)John Kemp is a Reuters market analyst.
Persons:
–, Baker Hughes, John Kemp, Mark Potter
Organizations:
U.S . Energy Information Administration, Thomson, Reuters
Locations:
Ukraine, Gulf, Mexico, Saudi Arabia