The Permian Basin in Texas and New Mexico will see production jump by 80,000 barrels a day, according to EIA's outlook. The basin remains the biggest driver of a recovery in U.S. shale output that began in late 2016.
The Eagle Ford shale, also in Texas, is seen kicking in 23,000 barrels a day towards the regions' growth. Meanwhile, North Dakota's Bakken shale and the Niobrara region in Colorado and surrounding states will each grow output by 12,000 barrels a day, EIA projects.
Drillers across these regions use advanced technology like hydraulic fracturing and horizontal drilling to fracture rock formations and extract oil and gas from the basins.
U.S. shale regions, source: EIA
Just how much U.S. shale oil output can grow was a topic of debate throughout last week's CERAWeek in Houston, one of the world's biggest energy conferences.
Many executives said the industry is on the cusp of another leap forward as producers and service companies adopt a new generation of technologies like predictive analytics and machine learning.
Timothy Dove, president and CEO of Permian driller Pioneer Natural Resources, said the industry is at a technological "tipping point" that could lead to higher efficiency in the oil patch.
"We have the golden goose right before us, and it's our job as operators to perform at a very high level of efficiency to bring this to bear," he told an audience at CERAWeek.Watch: Chevron CEO calls it 'early innings' in shale performance