Behind the Energy Renaissance in the Western Hemisphere
26 April 2023
It’s no surprise that North and South America have quickly become the center of attention within the Oil and Gas industry on a worldwide scale.
Oil and Gas development has been focused on The Middle East for decades, so what’s behind the shift?
Albeit unconventional, recent discoveries have proven prosperous in the deepest blue waters of Brazil and Gulf of Mexico, the Canadian oil sands, and of course, US shale production.
“There can be no doubt that America is in the midst of an energy renaissance,” says global energy guru Joseph Stanislaw. A few years ago, experts believed that most of the global oil supply would stem from the Soviet Union and Middle East. However, many now confidently claim that oil production within the US, Brazil, Canada, and Venezuela will soon be completely self-sufficient.
For the first time since the mid-90s, the U.S is producing more oil than any other import. A few important points are attributed to this growth:
- Shale– Shale gas has experienced a significant surge allowing the US to be a net natural gas exporter. Locations such as North Dakota and Midland/Odessa have experienced massive activity which could more than triple the current American output of shale oil to five million barrels a day by 2017. This shale oil boom is considered to be a U.S. phenomenon.
- Deepwater – New technology is allowing massive oil drilling in North and South America, from Canada to Brazil and Argentina. In fact, 90% of Brazil’s oil reserves are in the deepest of offshore waters.
- Canada – Crude oil has increased by nearly 50% in the last 5 years making Canada the fifth largest producer of oil in the world.
The US oil and gas boom has shown considerable benefits within the job market, economic development and overall competitiveness within the industry. While this story is still unfolding, it’s safe to proclaim that America’s oil and gas revival certainly commands a new way of thinking.