Since the start of the coronavirus pandemic, the oil industry in the United States has broken a nearly century old record.
Due to a decrease in demand for petroleum products, the volume of production of raw materials in the United States fell to the level of 1931. Then, 89 years ago, there were 11.7 thousand wells in the country. Now their number is only 11 thousand, although last year it was exactly twice as much, and in 2014 it reached a record high of 45.5 thousand.
As noted by the Deutsche Wirtschafts Nachrichten, in this way the United States is adjusting to the modern realities of the oil market, which has undergone major changes due to the coronavirus pandemic.
As News Front previously reported, oil prices plummeted due to the coronavirus pandemic and the ensuing decline in demand. The situation was aggravated by the collapse of the OPEC + deal. The crisis has dealt an unprecedented blow to American oil producers. Work in the shale segment turned out to be practically unprofitable. So, if the price of Brent crude oil fell to 20-year lows, then the American WTI reached negative values.
In April, oil-producing countries nevertheless entered into an agreement within the framework of OPEC +, obliging them to reduce resource production to 9.7 million barrels per day.