The U.S. may achieve energy independence this decade because of growing North American oil production from shale formations, according to Citigroup Inc. (C)
U.S. shale oil output will grow by 2 million barrels a day as California production increases by 1 million and U.S. Gulf of Mexico output gains 2 million barrels, Seth Kleinman, global head of energy strategy at Citigroup Inc. in London, said in a report today. Foreign imports will drop to 3 million barrels a day, according to the forecast.
“U.S. oil production is rising fast, and net imports of oil are falling sharply,” Kleinman said in the report. Net U.S. oil and product imports are about 8 million barrels a day now, he said.
Canadian production is expected to rise by 1.6 million barrels by 2020, according to the report, which cited the Canadian Association of Petroleum Producers.