U.S. shale production is expected to surge throughout the remainder of the year but investors should be prepared for nowhere near as much growth in 2018, according to Dan Yergin, vice chairman at IHS Markit.
"We still see U.S. shale continuing to grow and being an important part of the supply but I think this year you've got this really powerful rebound and it's baked in for the rest of the year," Yergin told CNBC on Tuesday.
Speaking on the sidelines of the World Petroleum Congress in Istanbul, Yergin explained that shale's impact on the market had changed the structure of the industry.
He pointed to the fact that while the rest of the market was either flat or declining, U.S. shale was continuing to rise "and that's because people want to have that short cycle oil."
Most of the world's biggest energy traders appear to be betting that shale oil production is here to stay. However, while Yergin admitted his views were in the minority among major investors, he predicted "nowhere near as much growth" in 2018.