The United States is Set to Become World’s Top Oil Exporter

The Energy Information Administration projects U.S. crude production this year will average 12.4 million barrels per day (bpd) this year, a nearly 140 percent increase from just ten years ago. With production levels this high, the United States became the world’s largest oil producer, decreasing our dependency on imports and positioning the U.S. as the world’s largest crude oil exporter. In the next three years, the International Energy Agency projects the United States will become a leading exporter on an “annual average basis.” Much of the growth can be attributed to shale oil output produced through a process called fracking. Shale production has grown from less than 1 million barrels per day in 2010 to more than 7 million barrels per day today. With these levels of crude oil production, the United States would already be a net exporter if there was enough pipeline and export capacity. These growing pains are being addressed expeditiously with export rates climbing while U.S. oil is taking market share from the Organization of the Petroleum Exporting Countries. Last year, 15 new pipeline projects were announced, according to Morningstar Commodities Research, that will bring a wave of crude oil to the Gulf Coast over the next few years, with much of the crude to be exported. These planned pipelines will unlock production from the Rockies, Oklahoma, and North Dakota, with the network of pipelines stretching from Corpus Christi to Nederland, Texas. Existing pipelines joined by this planned buildout would lift inbound Gulf Coast crude pipeline…

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