According to the Energy Information Administration (EIA), the United States has remained the world’s top producer of petroleum and natural gas hydrocarbons in 2017, reaching a record high.
The United States has been the world’s top producer of natural gas since 2009, when US natural gas production surpassed that of Russia, and the world’s top producer of petroleum hydrocarbons since 2013, when US production exceeded Saudi Arabia’s. Since 2008, US petroleum and natural gas production has increased by nearly 60%.
For the United States and Russia, total petroleum and natural gas hydrocarbon production, measured in energy content, is almost evenly split between petroleum and natural gas, while Saudi Arabia’s production heavily favors petroleum. Total petroleum production is made up of several different types of liquid fuels, including crude oil and lease condensate, tight oil, extra-heavy oil, and bitumen. In addition, various processes produce natural gas plant liquids (NGPL), biofuels, and other liquid fuels, some as a result of refinery processing gain. US petroleum production increased by 745,000 bpd in 2017, driven by a 21% increase in oil prices to approximately $65/bbl. In the United States, crude oil and lease condensate accounted for 60% of total petroleum hydrocarbon production in 2017, and natural gas plant liquids accounted for 24%. Saudi Arabia and Russia have much smaller volumes of natural gas plant liquids, as well as refinery gain and biofuels production, which combined account for most of the remaining share of U.S. petroleum production.
US dry natural gas production grew slowly in early 2017 because of unfavorable economic conditions at that time. Production increased during the last nine months of the year, ultimately leading to a 5.7-Bcfd difference between the first quarter and fourth quarter of 2017.
Image courtesy of EIA