Petrobras' oil production in Brazil's Campos Basin in June dropped to the lowest level since 2001. Output fell by 1.4% from May and by 15.8% over the past 12 months as the basin's aging fields continue to decline.
The US produced a record 11 million barrels of oil per day last week, helped along by shale production. Capacity could define the upper limits of production, analysts say, with Permian Basin output roughly equal to pipeline capacity.
Two federal lawsuits over the Trump administration's decision to rescind a fracking rule will move forward in California after a judge on Tuesday denied motions to move the cases to Wyoming. The American Petroleum Institute is among the groups that sought to move the lawsuits to Wyoming.
Investment bank HSBC said Texas is on track to surpass Iran and Iraq to become the world's third-largest oil producer next year if it were a country. Output from the US state is seen reaching 5.6 million barrels per day in 2019, compared with a projected 4.8 million barrels per day for Iraq and 3 million barrels for Iran.
Oil companies with diversified portfolios have fared better on the stock market this year than pure-play shale explorers, with Anadarko and Hess up 36% and 35%, respectively, according to Wood Mackenzie. "The oil price collapse has underlined the benefits of having portfolio exposure to cash-generative legacy assets, flexible unconventional opportunities and high-margin international growth," the analysts said.
Enterprise Products Partners unveiled plans to develop a crude export terminal some 80 miles off the Texas coast with the capacity to load Very Large Crude Carriers at a rate of about 85,000 barrels per hour.
IHS Markit scaled back its 2018 forecast for Canadian oil sands production by 6.7% to 2.8 million barrels per day and its 2025 projection by 2.8% to 3.5 million barrels per day as infrastructure constraints threaten to hinder growth. "Even when greater certainty on infrastructure is achieved, it will take time for the impact of subsequent investment decisions to play out on production growth because of the lead time involved in oil-sands development," said Kevin Birn, an executive director at IHS.
Four US senators, led by Sen. Chuck Grassley, R-Iowa, are sponsoring legislation that would enable the US government to sue OPEC members for fixing oil prices in violation of US antitrust law.