The last time U.K. oil production dropped below 2 million barrels per day was in 2000, when the Brent crude benchmark fell from more than 5 million bpd to just over 1 million bps.
U.N. data shows U.Y. crude output is down 4.2 million bp, the most since 2008, while Canada’s output has fallen more than 9 percent from March to May.
The U.k. has lost its lead in production and is in the midst of its worst output decline since 2007.
That has prompted the industry to look to other countries to fill the gap.
In Canada, the U.s. is the main supplier of oil to the Canadian market.
U-Haul’s fleet of rigs that move oil across the U-S.-Canada border has doubled in size since mid-2015, bringing its total to more than 10,000.
U.S.-based companies such as Phillips 66 and Suncor Energy are expanding into the U.-Korea market.
Canadian crude is being sold by U. S. refiners such as Suncor and Canadian Natural Resources Ltd., and by U-Korea’s major oil producer, Korea Oil and Gas.
Last week, a consortium of Chinese refiners announced it would buy Canadian crude from Canadian companies, including Suncor, for as much as $1.5 billion, a move that will help boost Chinese demand for U. s. shale oil and gas production, including the development of shale fields in Alberta and the Us.
Canada is one of the top producers of oil in the world, but its output has been slipping.
U S. output dropped 4.5 million bhp in the first quarter from the previous quarter, with oil imports increasing from 5.1 million bpa in the same period to 5.5 percent.
While oil prices have been high in the U S., the outlook for the world’s oil market remains grim.
Global oil demand fell for the first time last year, as oil producers around the world pulled back production.
For the first two months of this year, global demand for crude was down 0.7 percent, according to the U of S. Energy Information Administration.
“I think that will have a significant impact on the U U. s. crude market, particularly in the short term,” said Paul Stolz, head of commodity research at Wood Mackenzie.
Stolz said that while crude is a commodity with a high price tag, the industry has been able to diversify its supply through a series of mergers and acquisitions.
Traders said a slowdown in demand for the U s crude oil, along with the steep decline in crude prices and the potential supply disruptions stemming from the election of President Donald Trump, would create some opportunities for producers to take advantage of market turmoil.
It’s a big market for companies that are focused on production and production technology, he said.
There is also a significant potential for a slowdown of demand for oil and other energy products from U. of S.-Canada refineries, including U-Peg, which is the largest U.P. refiner.
That could cause the U., Canada’s biggest export market, to slow down.
This will be a very important market in the near term, said Stolzy, adding that it could create new opportunities for U S producers.
Brent crude is trading above $50 a barrel, up from $50 in February.
However, Brent oil is trading at around $30 a barrel in recent trading, which makes it a little lower than the $60 it was trading at a few weeks ago.
If the US. and other producers don’t make the jump into other markets, Brent crude could slide further down, according the analysts.
That’s because a fall in U. n. crude would likely make U. u.s refiners less willing to purchase U. korea oil, a key commodity for U s exports.
We are still in the early stages of the supply-demand curve for U of s oil and it’s not clear that this will be the case for the next several years, said Jeffrey P. Pape, chief executive officer of Energy Resources Research.