WASHINGTON - The U.S. Energy Information Administration expects U.S. crude oil production to fall in 2020 and 2021 as efforts to mitigate the spread of the 2019 novel coronavirus disease continue to result in a steep drop in demand for petroleum products and crude oil prices. In its May Short-Term Energy Outlook, EIA forecasts that U.S. crude oil production will average 11.7 million barrels per day (bpd) in 2020 and 10.9 million bpd in 2021. These levels would be 0.5 million bpd and 1.3 million bpd, respectively, lower than the 2019 average of 12.2 million bpd.
The benchmark West Texas Intermediate (WTI) crude oil average spot price dropped from $58 dollars per barrel (b) in January 2020 to $29/bbl in March and $17/bbl in April. This sharp decline in the oil price is already having a significant effect on drilling activity in the United States. The number of active drilling rigs in the Lower 48 states, excluding the Federal Offshore Gulf of Mexico (GOM), totaled 753 as of February, but it fell to 738 in March and 572 in April, the lowest since May 2016. As of May 8, 2020, the Lower 48 land rig count stood at 355 rigs, according to Baker Hughes data.
https://www.worldoil.com//news/2020/5/14/us-projects-falling-rig-counts-crude-production-through-2021
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