(Central Square) — In the first two months of 2023, U.S. crude oil production approached pre-COVID levels, according to the U.S. Energy Information Administration.
U.S. crude oil production in January and February was the highest since March 2020, when the pandemic began.
US crude oil production was 12.54 million barrels per day in January and 12.48 million barrels per day in February. This is the highest level since 12.8 million barrels per day in March 2020.
U.S. crude oil production plunged to a low of 9.71 million barrels per day in May 2020 during the pandemic, when many states imposed stay-at-home orders. US oil production will not exceed 12 million barrels per day again until August 2022.
Some gas analysts said gas prices could fall as the United States ramps up crude oil production. According to AAA, as of May 5, regular his gasoline sells for an average of $3.561 per gallon in the United States. This is down from $4.247 per gallon for gasoline a year ago. Gasoline sold for $3.627 a gallon a week before him.
“Increased production has historically helped put downward pressure on prices,” Scott Lauerman, media officer for the American Petroleum Institute, said in an email to Center Square. “Since early 2020, the U.S. oil industry has continued to increase domestic crude oil production, but it has fallen below pre-pandemic levels, largely due to government policies, labor force and supply chain restrictions, and a cooling investment environment. We are more than half a million barrels a day down.”
AAA spokesperson Andrew Gross said gas prices could fall below $3 a gallon in more parts of the country.
“U.S. oil production may offer good news, but oil is a global commodity, so we need to look elsewhere for production,” Gross said in an email to Center Square. ‘ said. “Fortunately, domestic demand for gasoline is declining, and so is oil prices. There could be more stores across the country that do, and the next hurdle would be hurricane season.”