Mexican Media Brands
U.S. to Overtake Saudi Arabia, Russia in Oil, Gas Output
America will surpass Saudi Arabia to become the world's largest petroleum producer by about 2020 because of the U.S. boom in extracting oil from shale, according to the International Energy Agency.
#economics
Share
America will surpass Saudi Arabia to become the world's largest petroleum producer by about 2020 because of the U.S. boom in extracting oil from shale, according to the International Energy Agency.
The Paris-based agency also expects the U.S. to overtake Russia as the leading global producer of natural gas by 2015 and become an exporter of the fuel by 2020.
The IEA's 2012 World Energy Outlook predicts that sharply higher oil and gas output and increased vehicle efficiency will make America "all but self-sufficient" in energy by 2035. The U.S. currently imports about one-fifth of the energy it consumes.
Oil and natural gas are extracted from shale by a process called hydraulic fracturing, or "fracking," in which large amounts of chemicals, sand and water are pumped into the ground under high pressure. The process is controversial because of concerns that the chemicals involved could contaminate ground water.
The U.S. will boost crude output, including oil extracted by fracking, from 8.1 million barrels per day in 2011 to an estimated 11.1 million bpd by 2020, according to the IEA. That would compare with an expected 10.6 million bpd for Saudi Arabia. By 2030, North America is likely to be a net exporter of oil, the group forecasts.
RELATED CONTENT
-
On Global EV Sales, Lean and the Supply Chain & Dealing With Snow
The distribution of EVs and potential implications, why lean still matters even with supply chain issues, where there are the most industrial robots, a potential coming shortage that isn’t a microprocessor, mapping tech and obscured signs, and a look at the future
-
China and U.S. OEMs
When Ford announced its 3rd quarter earning on October 24, the official announcement said, in part, “Company revenue was up 3 percent year over year, with net income and company adjusted EBIT both down year over year, primarily driven by continued challenges in China.” The previous day, perhaps as a preemptive move to answer the question “If things are going poorly in China, what are you doing about it?, Ford announced that it was establishing Ford China as a stand-alone business unit.
-
Ford’s $42 Billion Cash Cow
F-Series pickups generate about 30% of the carmaker’s revenue. The tally is about twice as much as what McDonald’s pulls in.