• 4 minutes Get First Access To The Oilprice App!
  • 7 minutes Blame Oil Price or EVs for Car Market Crash? Auto Recession Has Started
  • 11 minutes Japanese Refiners Load First Iran Oil Cargo Since U.S. Sanctions
  • 13 minutes Oil prices forecast
  • 7 hours *Happy Dance* ... U.S. Shale Oil Slowdown
  • 7 hours Emissions from wear of brakes and tyres likely to be higher in supposedly clean vehicles, experts warn
  • 6 hours Is Natural Gas Renewable? I say yes it is.
  • 2 hours Oceans "Under Fire" Of Plastic Trash
  • 1 hour Chinese FDI in U.S. Drops 90%: America's Clueless Tech Entrepreneurs
  • 6 mins Renewables in US Set for Fast Growth
  • 8 hours Making Fun of EV Owners: ICE-ing Trend?
  • 17 hours Algorithms Taking Over Oil Fields
  • 6 hours Socialists want to exorcise the O&G demon by 2030
  • 19 hours Europe Slipping into Recession?
  • 1 day How Is Greenland Dealing With Climate Change?
  • 24 hours Nuclear Power Can Be Green – But At A Price
  • 21 hours UK, Stay in EU, Says Tusk
Alt Text

Papua New Guinea Clans Unite Against Exxon

Disgruntled Papua landowners are standing…

Alt Text

Norway’s Oil Production To Fall To 30-Year Low

Crude oil production in Norway…

Al Fin

Al Fin

Al Fin runs a number of very successful blogs that cover, energy, technology, news and politics.

More Info

Trending Discussions

Oil Exploration Boom in the U.S.

The de facto Obama moratorium on oil well drilling in the Gulf of Mexico has spurred new exploration and production on the US mainland. Local economies are beginning to experience boom times never experienced before. It is a phenomenon that may well spread across the US, as the oil & gas mania locates useful hydrocarbons wherever they are to be found.

US Oil Production
WSJ

For much of this decade, energy companies pioneered new drilling technologies that allowed them to recover natural gas from a subterranean rock called shale. By drilling down and then out laterally, companies were able to exploit greater areas of the shale. And by injecting massive doses of water, sand and chemicals into the ground, they could crack open the gas-bearing rocks, allowing gas to flow to the surface.

...The shale boom won't begin to end American dependence on imported oil, but industry experts say it is driving a significant and potentially enduring shift in the way oil is produced domestically.

"It's a game-changer for U.S. oil production," said Bill Durbin, head of global markets research at Wood Mackenzie. "The U.S. has always been perceived to be a very mature oil province with relatively little prospect for growth. Now we're seeing the declines in production being arrested by the increase in unconventional oil."

Nationally, the balance between oil and gas exploration onshore has tilted heavily toward oil. The number of oil-seeking rigs has nearly tripled since June 2009, and now makes up 42% of all rigs in use, a prevalence not seen since 1997, according to data compiled by oilfield-services company Baker Hughes Inc.

Among states, Texas has seen the greatest increase of rigs in the past year, adding 300, a 73% increase. North Dakota added 83 rigs in the last year, Oklahoma gained 71, and Colorado picked up 30. Analysts at IHS Cambridge Energy Research Associates have identified 20 significant shale prospects across North America.

Industry executives and analysts say the growth is likely to continue, at least as long as oil prices remain over $70 a barrel. _WSJ

Yes, this boom is likely to continue for as long as oil prices remain over $70 a barrel. In other words, as long as demand continues, the supplies will be located -- sometimes where you least expect them.

The Obama - Holdren - Salazar - Boxer coalition of energy starvation will not control the US government indefinitely. When the left-Luddite Malthusians are finally swept from power, a wider array of energy options will be placed upon the table for consideration.

When the energy markets are opened up, it is possible that demand will be insufficient to maintain oil prices at current inflated levels. Sure, the value of the dollar will continue to decline as long as US debt expands exponentially -- which drives the price of commodities higher, when priced in US dollars.

But other, more stable measures of value will come into more widespread use. When priced in more stable currencies, the price of oil is likely to fall in the long run, rather than rise.

By. Al Fin




Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News