An incredibly bullish report by the International Energy Agency predicts that the U.S. could be turning out 17 million barrels of oil a day by 2023, as shjale production hits its stride, News Radio 1200 WOAI reports.
Houston oil analyst Andy Lipow tells News Radio 1200 WOAI that number is not outside the realm of possibility.
"Given that the technology has continued to improve and the producers have been able to lower their costs, it is not out of the question that U.S. oil production could go to 15 to 17 million barrels a day," Lipow said.
Current U.S. production is at about 10 million barrels a day, itself the highest in nearly fifty years.
The IEA says that will in effect 'cap' global oil prices at $65 a barrel for the foreseeable future, bad news for long time oil exporting nations which rely only on oil exports for their income.
"It certainly does put pressure on OPEC, because they are no longer the force that we reckoned with many decades ago."
In fact, the IEA says it is possible that between the four of them, the U.S., Canada, Norway, and Brazil could produce all of the world's oil needs by 2023, essentially putting OPEC out of business.
The report comes as OPEC leaders gather in Houston for CERA, the world's largest energy conference.