Don’t Bet Against American Shale

The United States stands on the precipice of global energy supremacy. Over the past decade, the confluence of innovative drilling techniques with favorable market and regulatory conditions has made the extraction of tight domestic resources economical. This has resulted in an energy boom which has transformed fears of American energy shortages into proclamations of energy dominance. But is it here to stay?

Not long ago, the U.S. was threatened with declining oil reserves and a growing reliance on energy imports. However, now it is the largest producer of petroleum liquids and natural gas in the world. With the termination of the Crude Export Ban in 2015, shipments of cheap American oil and gas are entering the world’s busiest energy markets and changing the playing field. U.S. exports have degraded the Organization of Petroleum Exporting Countries (OPEC)’s market influence and bolstered U.S. foreign-policy leverage. Furthermore, record-setting American onshore production is also driving a resurgence in U.S. manufacturing.

Demand for new infrastructure, technology, and skilled labor in the oil and gas value chain has become a reliable engine of economic growth. Lower feedstock and energy prices also translate to cost advantages for domestic heavy industries, increasing America’s global competitiveness. Finally, despite consuming more oil and gas than any other country in the world, the United States is on pace to become a net energy exporter before 2025. The Shale Revolution is here…

 

Click Here For Remainder of Article 

Posted in: Opinion

About the Author:

Post a Comment