The stronger oil price seen in recent months was bound to encourage shale production and this week numbers from the US met predictions.
In early trading on Friday, Brent crude was close to US$70 with WTI above US$66 a barrel.
The strength in the market was welcomed by key players, especially the international oil companies who are reporting this month.
A few major investment banks went back to the drawing board and revised all price targets for the oil price.
Goldman Sachs set a six-month target above US$82 a barrel and JP Morgan was more conservative at US$70 a barrel as an average for 2018.
All the banks are clearly acknowledging that the coordinated action of OPEC and friends is succeeding in reducing inventories and balancing the market.
Earnings season is upon us and international oil companies are reaping the rewards of efficiencies and cost-cutting and a stronger oil price.
Shell delivered results for the fourth quarter above analysts' expectations with earnings of US$4.3 billion compared to US$1.8 billion same period in 2016.
As a result of efficiencies in operations, Shell is now making as much money with oil at an average of US$54 a barrel as it did when the price was around US$100 a barrel.
The company also announced a new discovery in the Gulf of Mexico in the Whale deepwater block that is co-owned with Chevron.
The remainder of the international oil companies will be delivering results soon with Conoco Phillips also releasing strong figures this week.
Compared to a loss of US$35 million in 2016, the company reported net income of US$1.58 billion for the fourth quarter 2017.
ExxonMobil will report on Friday but the company has announced it plans to invest heavily in the Permian Basin in West Texas and increase production by 600,000 of oil equivalent by 2025.
The company has said that recent changes in US tax rates is facilitating more capital investment.
American oil production has officially hit the 10 million barrel a day level and is expected to grow.
It's been almost 50 years since the market has seen such an oil boom in the US.
The US Energy Information Administration issued figures this week, slightly below records set back in November 1970, looking to overtake Russia and Saudi Arabia as major producers.
In 2008, the US was producing about 5 million barrels of oil a day, making it dependent of foreign imports.
Today, the US is exporting more oil and products, thanks to new technology and the rise of shale production.
Net imports to the US are still currently about 2.5 million barrels a day, down from a record high in 2006 of 13.4 million barrels a day.
Despite the rise of US production, global demand remains strong with analysts expecting a growth in global oil demand to be about 1.7 million barrels a day in 2018.
Producers will hope this growth remains strong as they enter the second month of the year with a more optimistic outlook.