The worldview of the quest for alternative, sustainable energy has taken a back seat to the race for energy dominance in the oil and gas producing countries. The Saudis are panicking, Britain is regulating exploration, and the U.S. is enjoying its moment in the sun as oil exploration and production reaches fever pitch, changing the economic clime around the globe.
OPEC’S OIL DISASTER
Signs of Saudi Panic
According to an article by Keith Kohl for Energy and Capital, it’s official: the U.S. is now the world’s largest oil producer, surpassing Saudi Arabia for the top spot. And the Saudi’s are not taking the news lightly. They thought they had some time since the IEA predicted the U.S. wouldn’t gain the top spot until 2015, but that turned out to be an erroneous pipe dream.
Although this news is good for the U.S., it must be kept in perspective. The 11 million barrels per day that the U.S. produces is not entirely crude oil. The figure represents crude oil, natural gas liquids and condensates. “Total liquids production,” not just crude oil would be more accurate.
WoodMac: Wolfcamp spending could surpass that of Bakken by 2017
Wolfcamp shale is expanding and is expected to surpass $12 billion this year to reach an average of 200,000 b/d of crude and condensate ad 700,000 b/d by the end of the decade. Wolfcamp is expected to generate $30 billion in remaining value. However, analysts warn stakeholders to be cautiously optimistic.
Texas oil drilling slips in June, production continues to rise
The state of Texas saw a modest drop of 5% in oil drilling from last year according to data from the Texas Railroad Commission, as the number of wells drilled fell to 1,739 in June. However the daily crude output rose to an average of 2.1 illin barrels a day, up fro 1.7 million a year ago.
Read the entire story by Dallas News staff writer James Osborne at:
U.S. to restrict exports of energy technologies to Russia for oil projects
To punish Moscow for its involvement in the Ukraine, the U.S. government will strictly limit exports of energy technologies to Russia. The sanctions will require U.S. companies wishing to export such technologies to have a permit from the U.S. Department of Commerce. Although the sanctions will not immediately impact current production and sales, it will have an impact on future development.
Britain sets out shale rules with new oil, gas licensing round
Concerns about the impact of hydraulic fracturing have prompted protests in Britain and resulted in outright bans on the practice in France and other countries. The British government has responded by requiring exploration companies to have a license to explore for offshore oil and gas. The license, however, does not give permission to drill. It’s just the first step in the process before the British government will consider allowing any drilling to take place.