Despite crude oil prices consistently hovering in the $40 to $45 a barrel range in recent weeks, the International Energy Agency says U.S. drillers need $60 a barrel in order to rebound, according to a Bloomberg report.
While shale drilling shows signs of increasing, crude oil prices need to climb closer to $60 a barrel for U.S. energy producers to wage a true comeback.
Despite recent gains in the U.S. active rig count, demand for growth is expected to remain slow through 2016 while government reports continue to reflect a rise in supply inventories.
U.S. oil production has dropped 12 percent to 8.445 million barrels a day from a record 9.61 million barrels a day in June last year, according to data from the U.S. Energy Information Administration.