US oil imports will drop to a quarter-century low in 2014

The US seems to be well on its way to energy independence, as the Energy Information Administration (EIA) is predicting that, by 2014, oil imports would reach their lowest level in 25 years.

The reason for this is the exceptional growth of local production in the unlocking of local reserves using hydraulic fracturing and horizontal drilling in states led by North Dakota and Texas, says the report.

The official US data provider and forecaster also said it anticipated increased local production to push oil prices down. It said that internationally traded Brent crude would drop from an average of $112 per barrel last year to $99 in 2014, while US West Texas Intermediate dropped from $94 to $91.

Image by JD Hancock