WTI (NYSEARCA:USO) finished the week pretty much flat again, rising just 0.4% from the week before.
The trading range has considerably tightened over the last several weeks as physical oil traders shift their focus to spreads rather than going outright long or short futures.
With US oil production a primary focus for many observers, the common belief is that the Permian will provide bulk of the production growth in the years ahead. In this week’s International Petroleum presentation, Energy Aspects gave a presentation on where it expects most of US crude production to come from:
Source: EIA, DrillingInfo, Regulatory Data, Energy Aspects analysis
The Permian according to Energy Aspects is expected to provide all of the US crude oil production growth over the next two years totaling 600k b/d from 2016 level. This alongside NGL, and condensate production will push US production 1.1…