U.S. overtaking Russia as liquid fuels producer-IEA
LONDON, Sept 12
LONDON, Sept 12 (Reuters) - Booming shale oil and biofuels output will make the United States the biggest producer of liquid fuels outside OPEC this quarter, well above Russia, the International Energy Agency (IEA) said on Thursday.
The IEA, adviser on energy policy to industrialised nations, said U.S. liquids production was propelled by new tight oil output from states such as Texas with major shale formations, as well as by higher supplies of biofuels like ethanol and biodiesel.
The new sources of fuel have pushed U.S. liquids production to its highest for a generation, helping it rival Russian fuel output for the first time in a decade.
U.S. oil and gas liquids production for the third quarter of this year is forecast at 10.28 million barrels per day (bpd), the IEA said, second only outside the Organization of the Petroleum Exporting Countries to Russia at 10.81 million bpd.
But U.S. output of biofuels of a little over 900,000 bpd will push total U.S. liquid fuels production to around 11.2 million bpd, well ahead of Russia, which has produces a negligible volume of biofuels.
"Including biofuels (ethanol and biodiesel), the U.S. is set to become the leading non-OPEC liquids producer as of 3Q13," the IEA said in its monthly Oil Market Report. (Reporting by Christopher Johnson, editing by William Hardy)