The U.S. Gulf of Mexico is expected to set another oil production record in 2020 with most of the growth coming from deep water projects, according to a new study.
Average production next year is expected to exceed 1.9 million barrels a day, according to the Norwegian-based energy research and consulting firm Rystad Energy.
Oil production in the Gulf of Mexico has grown every year since 2013.
At the same time, producers in the Gulf of Mexico have been cutting costs with total investments less than half of what they were just five years ago. Development costs have fallen 60 percent since 2015, according to Rystad, and operational expenditures are down 7 percent.
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