Thursday, September 29, 2016

Energy Independence: The Dream is Becoming a Reality.

Energy Independence: The Dream is Becoming a Reality.

For many years, the argument has raged on regarding how the United States should go about obtaining and paying for its oil reserves. This debate has been the subject of many heated discussions - and it may be for many years to come. However, the concept of U.S. energy independence is becoming a reality much sooner than many people realize, halting the argument in its tracks.

Back in early 2007, many Americans believed that the future of the United States energy industry appeared to be bleak. Since then, however, a major transformation has taken place - primarily in the country's three largest oil fields - in terms of key oil production figures.

The Bakken, the Eagle Ford, and the Permian Basin, have all increased their oil production from 1 million barrels per day to an estimated 4.6 million barrels per day (as of year-end 2014). In fact, the oil production in Texas alone was more than 3.1 million barrels per day, the most in more than 33 years, according to the Energy Information Administration.

Given this steep increase in U.S. oil production of late, a longer-term trend towards energy independence could actually become a reality, lessening our future dependency on foreign oil producers.

There are still some questions with regard to long-term sustainability of U.S. oil production going into the future. However, it could be a positive opportunity and dream come true not just for U. S. oil producers, but also for consumers and investors alike.

Source: U.S. Energy Information Administration. Data represent thousands of barrels per day (bpd) for the month of July 2014.

"As long as the United States - and the world - gets its oil from the Middle East, we will be drawn into the endless crises that seem endemic to the region. American energy independence would not only liberate us, it would also drive down the worldwide price of oil." - Kathleen Trola McFarland