The United States of America is all set to become the largest producer of oil in the world by the end of the year 2019 at the most and the nation would be achieving this feat by overtaking Russia who is the largest oil producer of the world currently. This is based on the reports of the International Energy Agency (IEA) which was released on Tuesday. The main reason behind this fact is the continuation of the boom of the nation's shale oil in the global markets. Fatih Birol who is the executive director of the International Energy Agency stated at an event in Tokyo that the United States will surpass Russia as the biggest producer of crude oil in the coming year if not in this year.
He also told Reuters separately that the shale growth in the United States is very strong and is increasing at a rapid pace. He added that in almost no time the United States of America will become the number one producer of oil in the whole world. The overall output of crude oil of the nation had gone up to more than about ten million barrels each day at the end of the previous year which is set to go up to more than about eleven million barrels per day by the end of 2018. This production will take the United States above Russia who is currently the top oil producer of the world since Russia lies below the eleven million barrels mark.
Fatih Birol said that the he did not see the oil production of the United States peaking before the year 2020 and at the same time he is not expecting a decline in the coming four to five years as well. The high production of oil in the United States is actually upending the global oil markets which is coming at a time when all other major producers of oil in the world which includes Russia and the members of the Middle East which dominated the Organization of Petroleum Exporting Countries (OPEC) have been withholding the output of oil for the purpose of forcing up the price of oil. Oil from the United States is also being exported increasingly to the largest and fastest growing markets of Asia which is eating away at the Organization of Petroleum Exporting Countries and the share of Russian markets.