Deepwater Oil Output to Reach 10 mb/d in 2019

Global deepwater oil production was expected to grow 700,000 barrels  per day (b/d) this year to hit a record high of more than 10 million b/d.

Norwegian research group Rystad Energy said that it "expects global deepwater production to reach record high level and surpass 10 million bb/d."

"With new fields starting up in Brazil and Gulf of Mexico, we expect the total deepwater liquid production to reach 10.3 million bbl/d in 2019. This is an increase of 700 kbbl/d compared to 2018," it said.

In addition to Brazil and the US, Angola, Norway and Nigeria are the largest deepwater producers.

Meanwhile, the International Energy Agency has estimated that the share of deepwater in total offshore production will rise to 30% in 2040, from 23% currently.

Recently, energy consultancy Wood Mackenzie also said that it  expects “a historic year” in 2019 for the U.S. Gulf of Mexico, with Shell’s Appomattox marking the first production ever from a Jurassic reservoir in the Gulf of Mexico.

Drilling in the area is also set to post the first increase in four years and new projects are expected to be sanctioned, according to WoodMac.