US oil output set to bottom out in June, will not recover to pre-COVID-19 levels in 2021 – Saudi Gazette

US oil output set to bottom out in June, will not recover to pre-COVID-19 levels in 2021 – Saudi Gazette

OSLO - US oil production, which has steeply declined as low prices forced shut-ins, will reach a bottom of around 10.7 million barrels per day (bpd) in June, a two-year low, Rystad Energy estimates, before it starts to slowly recover.. US monthly output is not likely to exceed 11.7 million bpd before 2022, a staggering difference from the nearly 12.9 million bpd achieved in March 2020.It was just months ago that US oil production was at an all-time high and seemed unstoppable.. After June 2020, oil production will recover a bit in autumn, ending at around 11.1 million bpd in December.. Natural decline accounts for only about 520,000 bpd of US oil decline throughout 2Q20.In terms of the outlook, a material upward shift in the WTI price strip provides an economic rationale for the faster reactivation of significant curtailed volumes..