The EIA has been overstating U.S. Oil Produciton

[dan_s]

They have been overstating U.S. oil production by a significant amount since March. Their "errors" have been big enough that accurate weekly reports would probably have pushed oil prices toward $60/Bbl.

Tyler Durden, September 4, 2017:"On August 31, EIA released monthly figures for June, and the discrepancy is even larger than the month before. The EIA says oil production in the U.S. actually declined in June, falling by 73,000 bpd to just 9.097 mb/d. Compare that to what the agency thought at the time with its weekly estimates:"
◦June 2: 9.318 mb/d
◦June 9: 9.330 mb/d
◦June 16: 9.350 mb/d
◦June 23: 9.250 mb/d
◦June 30: 9.338 mb/d

Read this: http://www.zerohedge.com/news/2017-09-0 ... es-subdued


As an EPG member that pays attention to my weekly podcasts, you already know that EIA's weekly oil production numbers are nothing more than educated guesses. The EIA has a multi $Billion budget and I'm pretty sure that I could come up with production numbers that are more accurate.

EIA now has a "scape goat". Hurricane Harvey gives them a perfect excuse to "correct" their oil production numbers. I expect this weeks report to show U.S. crude oil product below 9.0 million barrel per day and crude oil inventories to take a big hit.