NEW YORK -- American oil production is approaching record levels again, led by shale projects, potentially foiling efforts by OPEC to support prices. Oil prices were boosted this week after Saudi Arabia and Russia signaled they intend to extend an agreement to limit output. Petroleum exporters' efforts to push prices higher have helped American producers as well, especially shale producers who can react quickly to market developments. Oil prices currently trade between $45 and $55 a barrel, up from US$26 a barrel in February 2016. "With respect to shale oil, the investment decisions and cycles are shorter because it only takes a month to drill and bring a well online," said Ben Shattuck of Wood Mackenzie.

Source: The China Post May 19, 2017 05:48 UTC