Although it includes all liquid fuels, thus creating the discrepancy between the graph’s numbers and the numbers from the preceding paragraph, the growth trend is still evident. The explanation of these seemingly meteoric rises in production comes from a variety of nascent projects. For example, the U.S. Federal Gulf of Mexico (GOM) crude oil production averaged 1.25 million bbl/d in 2013, and is forecasted to have 1.38 million bbl/d of GOM crude oil production in 2014 and 1.59 million bbl/d in 2015. There are eight oil projects expected to come online this year, with at least ten more being introduced in 2015, fueling massive production growth offshore. Furthermore, on-land oil shal... ... middle of paper ... ...
Now let’s look at the statistics of drilling here at home. The US proved reserves of crude oil at year end 2012 were estimated at 33.4 billion barrels, up 15.4% from 2011 and the highest since 1976 (OGJ). 1976 started a downfall on domestic drilling that some thought we can never get out of. Contributing factors to high oil output includes increased exploration, improved technology, and sustain high historical crude oil prices (OGJ). Three locations that increased production were Texas (3 billion barrels), Gulf of Mexico, and North Dakota (1.1 billion barrels).
BP became the sole recipient of both the government and environmental organizations attacks, therefore requiring them to rethink their social responsibility and be used as an example for future environmental changes. The economy of the United States, as well as the economies throughout the world, depend on the oil and gas industry to be lucrative. This industry provides vital raw materials that help with hundreds of daily products used in daily lives. Companies, like BP, used technology to locate oil and gas under the earth surface. Through science and technology, they have been able to improve the methods in which to locate one of the most important raw materials available.
More than two billion of this profit went towards the state. Annual production from Oklahoma’s natural gas and oil industry generates $51.7 billion in services and goods. That is approximately one-third of Oklahoma’s gross state product. Oil and natural gas corporations account for 25% of Oklahoma’s tax dollars. Schools, roads, teacher retirement, state colleges, bridges, public parks, wildlife preservation, and the occupations of Oklahoma residents would not be possible without the outbreak of oil.
"Oil companies have escaped more than 60 billion dollars in royalties because of a loophole to get access to more leases. The United States is the third largest producer of oil in the world, and 31 percent of that production comes from land owned by the federal government" (Offshore Drilling Will Enrich Big Oil Companies 2). America maintains this title even though "America's crude oil productivity has decreased since 1985" (Crude Oil Production 1). Currently, oil is becoming more expensive and damaging the economy while America is becoming more dependent on foreign oil; decreasing productivity and narrowing offshore drilling. The oil industry is making an immense profit.
The population of the Gulf is expected to hit 61.4 million by 2025 with Florida and Texas expected to house most of the new population (2011). Tourism boosts the economy by $20 billion each year and seven of the top-ten seaports are located along the Gulf Coast (2011). The Gulf “yields more finfish, shrimp, and shellfish annually than the south and mid-Atlantic, Chesapeake, and New England areas combined,” and is home to about 45,000 bottlenose dolphins (2011). About the Oil Spill On April 20, 2010, a tragic disaster hit the Gulf Coast. British Petroleum’s (BP) Deepwater Horizon rig exploded spewing crude oil into the ocean from the three major cracks in the rig.
Oil is the number one source of energy in the U.S. today. However, the U.S. imports 140 billion worth of its oil supply every day from unstable regions such as Canada and Mexico (news desk). This makes our addiction to oil an even more dangerous game. Dependence on foreign oil, also leaves the U.S. vulnerable to fluctuations in global supply and demand, which in turn could lead to higher prices (Mooney 22). As the future approaches and our dependency on oil is set to increase, a closer look at the environmental, economic, and socio-political risks is demanded and identifying alternative sources of energy is urgent.
Earlier forms of fracking by the United States can be traced back to the late 1940’s. the recent upsurge is caused by the ... ... middle of paper ... ...he state of Colorado houses a fast growing and bankable energy market in the United States. With the nation carrying 100 natural fields of gas, containing three of the largest oil fields, Colorado has manifested itself to be a suited producer and competitor. Colorado doesn’t need any alternatives to its fracking policy. COGA’s (2012) study suggested that Colorado’s towns such as Garfield, Weld, La Plata, Rio Blanco, and Las Animas brought the state $8.1 billion and it directly brought 43,800 jobs with wages being 51 percent higher than states average.
In 1984, the world consumed 58.9 million barrels per day. (A barrel of oil is equal to 42 gallons of petroleum.) In that same year, the United States consumed 15.7 million barrels of oil per day or 30 percent of the total global consumption. This figure continues to grow. According to the Transportation Statistics Annual Report of 1996, transportation has become... ... middle of paper ... ... all-powerful entity in the global economy.