By Robert KavcicThe US shale boom has caused a surge in demand for crude oil in the US and around the world.
The boom in production has also brought a sharp rise in prices.
Here is what you need to know.
Oil prices rose by more than 40% in the first quarter of 2018 to a record $114.05 per barrel, according to Bloomberg data.
The US crude oil price was $99.15 per barrel.
This is the highest price in a decade and is the biggest jump since February 2009, when the US crude price was nearly $100.
The US has been producing more crude than ever since the 2008 financial crisis, when oil prices were at $100 per barrel and there was no such thing as a “super market”.
US crude production has soared to nearly 7 million barrels per day in 2020 from about 1.3 million barrels in 2017, according the Energy Information Administration (EIA).
US oil production was 5.5 million barrels a day in March 2018.
In recent weeks, the price of oil has been driven higher by an increase in production from shale oil fields in the United States and Russia.US shale oil producers have pumped a record number of barrels into the ground in recent weeks.
But this year, they are not producing the amount of oil that would have otherwise been needed to meet demand.
US shale oil production in 2019 peaked at 3.2 million barrels, according EIA.
The year before, production was only 1.6 million barrels.
The shale oil boom has created a new global supply glut.
US crude exports rose to an average of more than 1 million barrels annually from about 600,000 barrels in 2018.
US production was a little more than 400,000 barrel a day last year, according data from the Energy Department.
In 2018, US crude crude oil imports increased to almost 3.3 billion barrels.US crude oil exports grew to an annual average of about 1 million in the second quarter of 2019, according US Energy Information Agency data.
US exports rose almost 5% to a total of 6.8 million barrels for the first time in 20 years.US exports of crude oil to China fell to an estimated 3.9 million barrels last month from 5.6 billion barrels in the previous quarter, according a report from Bloomberg.
The United States exported nearly 2.5 billion barrels of crude to China in the third quarter of this year.US export of crude and petroleum products rose to $6.2 trillion in 2018 from $5.9 trillion in 2017.
The United States imported $6 trillion worth of oil from China in 2018, according Dataquest.US imports of crude rose to 1.5 trillion barrels last year from 1.1 trillion barrels in 2019.
The oil price bubbleThe rise in oil prices is being driven by investors buying US crude and oil products at a higher price than they paid in other countries.
US oil companies, which earn interest on the oil they export, have increased their share of the market.
US producers also have increased production, and this has also helped push the price higher.
The price of US crude fell from a record high of $110 per barrel in August 2017 to $75 per barrel this year and is expected to remain there in the coming weeks.
Oil companies are buying US shale and conventional oil at record levels, according an article in Business Insider.
The rise is being fuelled by rising demand from the US shale revolution.
The number of new wells drilled in the last six months rose by 30%, according to EIA data.
The number of wells in the U.S. that are producing oil at least 1 millionbarrel per day, the highest number in over 20 years, has jumped to over 5 million per day.
The highest number of oil wells in more than 20 years is 1.8 billion per day recorded in June 2019, when 1.7 billion wells were drilled, according The Wall Street Journal.
The surge in shale oil is also fuelling the US economy.
US economic growth slowed last quarter, with GDP contracting by 0.6% in May, according Federal Reserve Bank of New York data.
This was the first decline in US growth since March 2008.
The decline in the economy is due to the slowdown in oil and other commodities, such as coal and natural gas.
The decline in demand from shale has also pushed up energy prices.
The prices of US oil are down by more then $10 per barrel over the past 12 months, according Bloomberg data, compared to the last 12 months of 2014 when oil was $109 per barrel or $12.20 per barrel per barrel a year.