U.S. Oil production

U.S. oil production has risen to 9.077 million barrels a day, the highest level in weekly data from the Energy Information Administration going back to 1983. Output will climb to 9.4 million next year, the most since 1972, it forecasts.
Middle Eastern exporters including Saudi Arabia, Iran and Iraq can break even at about $30 a barrel, while some U.S. producers need more than $80, Sanford C. Bernstein & Co. said in a report last month.
OPEC’s policy will spur a crash in the U.S. shale industry, Leonid Fedun, a vice president and board member at OAO Lukoil, Russia’s second-largest oil producer, said in an interview in London before the group’s decision.
“In 2016, when OPEC completes this objective of cleaning up the American marginal market, the oil price will start growing again,” said Fedun. “The shale boom is on a par with the dot-com boom. The strong players will remain, the weak ones will vanish.”
The share prices of U.S. oil producers including Exxon Mobil Corp., Chevron Corp. and Schlumberger Ltd. fell by at least 4 percent in early New York trading today.

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