Cure for Industry Hiccups: Congressional Action


While OPEC (Organization of the Petroleum Exporting Countries) and Saudi Arabia hope to have delivered a fatal blow to the American oil and gas industry in the form of unflagging production levels despite the current glut of oil on the market, the reality is more akin to a hiccup.
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Oil Demand and Well Decline Rates Ensure Strong Outlook for Oil Industry


Primary energy consumption continues to accelerate globally despite several years of slow economic growth. With increased consumption, production of oil continues to grow surpassing record level of 90 million barrels per day worldwide. Not only does the oil industry need to produce more to meet ever increasing demand, it also needs to overcome existing well production declines. All active wells ultimately decline in production as resources are tapped, though there is an opportunity for technology to slow or in some cases even temporarily reverse those decline rates. In addition, as existing wells decline, more and more new wells need to be drilled to keep up with demand. Offsetting of oil decline rates for both existing and new wells, therefore, is high on the industry’s agenda for good reason. It is a critical factor to understand future trends in the oil industry.
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Russian Takeover Isolates Crimea, May Further Isolate Russia


Russian President Vladimir Putin has made great sport of mocking sanctions imposed by the United States and the European Union in the wake of his annexation of Crimea by force. That doesn’t mean the sanctions aren’t working or won’t work, going forward. And other results of Putin’s aggression may yet prove more surprising and isolating for Russia.
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EIA Releases 2014 Energy Outlook and the Future for NatGas Looks Bright


The Energy Information Administration’s 2014 Energy Outlook forecasts an increase in natural gas production of 56 percent by 2040, reaffirming what those in the industry already knew: we’re now in a position to not only supply our own needs but to help supply others through our exports as well.
 
Since the US was the world’s fourth-largest importer of LNG as recently as 2007, it’s understandable that some may still be hesitant to get behind the idea of exporting this surprisingly sudden wealth of natural resources. But the fact remains that the US is now the world’s biggest natural gas producer, thanks to the shale oil and gas boom created by hydraulic fracturing, and production is set only to go up for the next several decades, at least.
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