ODESSA, Tx. (KOSA) - The United States has broken a new record, producing 12 million barrels of oil every single day.
The report released by the U.S. Energy Information Administration shows the country’s explosive output beating last year’s record 11 million barrel a day, with nearly 5 million of those barrels coming from Texas.
CBS7 spoke to Latigo Petroleum CEO Kirk Edwards who calls the new output a remarkable achievement.
“What it means for the country is incredible because we’re not importing foreign oil,” Edwards said. “We’re able to produce that oil here in the United States, which means it’s great for our schools, it’s great for the royalty owners to have the oil underneath them. It’s great for jobs. So, it’s an incredible milestone.”
We asked Edwards whether or not he’s concerned about the price of oil dipping since the supply keeps gushing more every year.
But he said it’s hard to say since there’s a lot more to consider than just the supply.
He said oil prices in the global market depend on a lot of factors like aggression from unfriendly countries.
“If Iran starts saber rattling and attacking tankers in the gulf—they’ve taken out two tankers, which is hard for them to export oil in Persian Gulf countries when two tankers have been taken out,” he said. “That makes the prices come up. So, it’s such a variable. It always has been in our industry because the oil across the world is in some very volatile hands and right now. It’s a very volatile time, especially in the middle east.”
Edwards also points out that not only is the U.S. output going strong, but many other countries like Iran and Venezuela are scaling back production.
He said that leaves the world increasingly dependent on a U.S. oil economy, which is showing no signs of slowing down.
“The technology keeps getting better, the fracking keeps getting better,” Edwards said. “The wells keep getting better and the laterals are longer. So, there’s still a lot of innovation going on here in the Permian, which we will probably see the production increasing even more with that going on.”