Midstream Growth Forecasted as WTI Crude Futures Stay High

Midstream investors may not need to worry about short-term fluctuations in crude oil prices. The outlook for futures prices, particularly through mid-2027 and beyond, is more important. According to recent data, WTI crude futures are projected to stay above $80 per barrel until mid-2027 and around $70 through mid-2028. This could create a strong incentive for domestic drillers to increase production.

The US Energy Information Administration (EIA) has revised its projections, expecting a 1.8% growth in U.S. crude production to reach a record 14.2 million barrels per day (MMBpd) in 2027. This marks a reversal from earlier expectations of a decline in volume.

Midstream ETFs like AMLP and ENFR are well-positioned to benefit from the increased throughput across gathering, processing, and pipeline infrastructure.