US crude output is expected to ramp up as OPEC plans to curb output in support of prices, which might not sit with the cartel. It is said that US production could increase by 20% (about 2MM b/d) by the end of Aug. as more shut-in wells are being brought back on stream. Jamie Webster of the BCG Center for Energy Impact quipped, "In its bid to balance the market, OPEC has perhaps again forgotten that shale plays by its own rules." However, how fast and far US shale activity can be sustained remains uncertain since many operators have slashed spending budgets.
展开▼