[Editor's note: This story was updated at 8:15 a.m. CDT June 1. Subscribe to Oil and Gas Investor here.]
U.S. crude oil production jumped 215,000 barrels per day (bbl/d) to 10.47 million bbl/d in March, the highest on record, the Energy Information Administration (EIA) said in a monthly report on May 31.
Production in Texas rose by 4% to almost 4.2 million bbl/d, a record high based on the data going back to 2005. The Permian Basin, which stretches across West Texas and eastern New Mexico, is the largest U.S. oil field.
Output from North Dakota held around 1.2 million bbl/d, while output in the federal Gulf of Mexico declined 1.1% to 1.7 million bbl/d.
The agency also revised February oil production down by 5,000 bbl/d to 10.26 million bbl/d.
U.S. crude oil output rose above 10 million bbl/d late last year for the first time since the 1970s, overtaking top oil exporter Saudi Arabia, but it still lags behind top producer Russia, which pumps just below 11 million bbl/d.
U.S. oil imports from Venezuela increased to 17.3 million bbl in March from 13.21 bbl in February. Last month's level was close to the all-time low of 13.20 million bbl, reported in January 2003. OPEC-member Venezuela's oil output has declined amid political unrest.
Gasoline demand in March was 9.4 million bbl/d, up 1%, or 94,000 bbl/d, from a year earlier, according to the report. At the same time, gasoline exports rose to 951,000 bbl/d, up 361,000 bbl/d from a year earlier.
Demand for distillate fuels, including diesel and heating oil was 4.2 million bbl/d, up 0.4%, or 15,000 bbl/d, from a year earlier. Distillate fuel exports were 1.15 million bbl/d in the month, down about 12,000 bbl/d from a year earlier.
U.S. natural gas production in the Lower 48 states rose to an all-time high of 88.8 billion cubic feet per day (Bcf/d) in March, up from the prior record of 87.7 Bcf/d in February, according to EIA's 914 production report.
Output in Texas, the nation's largest gas producer, increased 1.3% in March to 22.7 Bcf/d, the most since April 2016.
In Pennsylvania, the second biggest gas producing state, production dipped to 16.4 Bcf/d in March, down 0.6% from February's record high of 16.5 Bcf/d. That compares with output of 14.8 Bcf/d in March 2017.
The U.S. has been the world's biggest producer of gas since 2009, ahead of Russia.
Meanwhile, gross natural gas production in the U.S. Lower 48 fell for the first time in a year, sliding in January from a record high the month before, says the EIA.
Oil and gas operating costs in the U.S. shale basins have come down recently following a drop in crude prices, BP’s head of upstream Bernard Looney said on Feb. 5.
Shale producer Centennial Resource Development joined rivals Diamondback Energy and Parsley Energy in canceling drilling rig additions next year.