Yesterday, the International Energy Agency released a 763-page whopper report detailing the meteoric rise of the United States’ oil and gas industry.
Once an “energy-dependant importer,” the US is now among the world’s most prolific oil and gas producers — and within the next few decades, it is expected to churn out more energy resources than any country in history.
The big flip
The report projects that by 2025, oil production in America will match that of Saudi Arabia, and by 2030, it will be exporting 30m barrels of oil and daily — 50% more than the single year yield of any other country in history.
Oil hasn’t been doing so hot in recent years: from its peak at $100 per barrel a decade ago, it plummeted to $30, and currently sits at $60. But that fluctuation has made the US shale industry more alert and prepared for future price hikes.
This projected spike in US oil production is also expected to reduce the country’s dependence on oil imports, giving more business to American companies.
But wait, oil execs: there’s more!
As welcome as these projections are for the US oil and gas industry, they should be taken with a grain of salt, as renewable energy sources like solar continue to get more affordable.
Additionally, while US production is expected to ramp up, IEA projects that global demand will decrease by 100k barrels per day in 2018 — ironically, due, in part, to warmer temperatures.
And on Tuesday, crude oil stocks fell 2%, causing the monocled, twirly-mustachioed tycoons to recede back into their jewel-encrusted lairs.