U.S. ex­pected to be­come world’s top oil pro­ducer next year

The Telegram (St. John’s) - - BUSINESS -

The U.S. has nosed ahead of Saudi Ara­bia and is on pace to sur­pass Rus­sia to be­come the world’s big­gest oil pro­ducer for the first time in more than four decades.

The lat­est fore­cast from the U.S. En­ergy In­for­ma­tion Ad­min­is­tra­tion pre­dicts U.S. out­put will grow next year to 11.8 million bar­rels per day.

“If the fore­cast holds, that would make the U.S. the world’s lead­ing pro­ducer of crude,” says Linda Ca­puano, who heads the agency, a part of the En­ergy De­part­ment. Saudi Ara­bia and Rus­sia could up­end that fore­cast by boost­ing their own pro­duc­tion. In the face of ris­ing global oil prices, mem­bers of the OPEC car­tel and a few non-mem­bers, in­clud­ing Rus­sia, agreed last month to ease pro­duc­tion caps that had con­trib­uted to the run-up in prices. The United States led the world in oil pro­duc­tion for much of the 20th cen­tury, but the Soviet Union sur­passed Amer­ica in 1974.

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