U.S. crude oil production fell 150,000 barrels per day in May and the global over-supply of liquids was 680,000 barrels per day. The EIA Short-Term Energy Outlook ( STEO ) posted on June 7 showed that U.S. oil production declined by the greatest monthly amount so far since the peak in April 2015 (Figure 1). (Click to enlarge) Figure 1. U.S. crude oil production and forecast, 2015-2016. Source: EIA June STEO and Labyrinth Consulting Services, Inc. Production has declined 950,000 barrels of oil per day (bopd) from 9.69 million bopd in April 2015 to 8.6 mmbopd last month. EIA forecasts that production will decrease another 650,000 bopd by September for a total decline of 1.6 mmbopd since April 2015. Declining U.S. production, an outage of 800,000 bopd because of Canadian wildfires, along with outages in Nigeria and Venezuela of perhaps 1 mmbopd are pushing oil prices higher and contributing […]