In 2023, the US broke its own oil production record by averaging 12.9 million barrels daily, surpassing the 2019 record of 12.3 million barrels, reaffirming its energy leadership.
A monthly high of 13.3 million barrels set the record for the highest production rate ever.
Efficiency in drilling and innovations in the shale sector drove this increase.
With fewer rigs, producers optimized the best wells and extended drilling reaches, pumping more oil per well and boosting productivity.
This boost in oil supply stabilized prices, easing geopolitical and demand pressures. Oil prices fell by 8%, lowering gas costs for consumers.
This strong oil industry performance strengthened the US economy, enhancing its defense against recessions and lessening the threat of inflation spikes similar to the 1970s.
This record production secured the US as the world’s top crude oil producer for the sixth consecutive year.
In December 2023, the country also broke the record for the highest monthly production, averaging 13.3 million barrels per day.
According to the EIA, the US is expected to maintain its global oil production lead in the coming years.
This is because no other country has reached a production capacity of 13 million barrels of crude oil per day.
Saudi Aramco, the Saudi state oil company, had plans to achieve this capacity by 2027.
However, in February 2024, it announced a delay in these plans to focus on the energy transition.