Deliverance Day: The New Middle East Of America By 2020?

Seeking Alpha ^ | February 17, 2013 | Stephan Dube

[2ndDivisionVet]

North America has become the fastest growing oil and gas region in the world. Production of shale oil and gas and oil sands resources are increasing year after year as new infrastructures are developed, new extraction technologies are used and more resources are found. The surging supply growth could change North America into the new Middle East by 2020 according to a GPS report produced by Citigroup (NYSE: C).

If accurate, the energy industry would generate benefits from exploitation of oil and ensure endless economic wealth for the country. As a matter of fact, crude oil is off its all-time highs, countries with the most precious liquid within their borders are set to benefit as worldwide demand for crude continues to rise.

Treasure chest buried in our own backyard

Geological reports have confirmed that North America has more oil than anywhere else in the world. As of 2011, the U.S. Government estimated that the world has proven reserves of approximately 1.35 trillion barrels. This number represents the net amount of oil still in the ground that has a reasonable certainty of recovery. Current political, economic, and technological challenges are some of the factors that are taken into account to provide this number. Thus, proved reserves takes into consideration current feasibility for exploitation.

In accordance with the U.S. Energy Information Administration, the U.S. is ranked 13th on the top 15 countries in the world with the biggest oil reserves. As of 2010, proved oil reserves were 20.68 billion barrels with a total production of 9.68 million b/d (barrels per day). Consumption rate were 19.15 million b/d. In comparison, Saudi Arabia, ranked 1st with the largest single reserve, had proved oil reserves of 262.6 billion barrels, production of 10.52 million b/d which 1.47 million b/d were exported to the U.S...

[2ndDivisionVet]

Comments?

[Java4Jay]

Extraction and processing of shale oil and oil sands is extremely tough on our environment.

[2ndDivisionVet]

Really? You have any links that aren’t left-wing?

[Owen]

Fundamental errors strewn throughout it.

Saudi Arabia’s quoted reserves are CRUDE, not ALL LIQUIDS. Their production and reserves both are crude — which is the only stuff that really matters for transportation.

The US quote of 9+ mbpd is all liquids. Apples and Oranges. That number includes propane and butane and ethane and ethanol, none of which contain 5.6 million BTUs per barrel. It’s not the same stuff as crude, which DOES contain 5.6 million BTUs/barrel.

The vast majority of the decline in US imports much ballyhooed is because of the economic smash that has been administered to consumption. The uptick in US crude production is tiny and remains about 4-5 mbpd below its peak 30 years ago.

This whole thing is horribly overhyped and eventually a great many people will die because of it.

[Owen]

Another little item of absurdity from US ‘oil production’ is called “refinery gain”.

What refinery gain means is when you take viscous, heavy crude (relative to gasoline) and refine it into gasoline, you get a volume gain. 1 barrel of crude might make 1.3 barrels of gasoline. That 0.3 barrel number is called “oil production” by the US (and pretty much no one else does this).

Far worse, if we take Nigerian crude, refine it to gasoline, and see that 0.3 barrel gain, we call that “US oil production” — and we call it that EVEN IF WE SHIP THE GASOLINE OUTSIDE THE US.

There is just a ton of lying going on.

[blueunicorn6]

So, if you put sand in the hole, oil comes out? Wow. So, if Hillary packed sand up her a**hole, oil would come out? Pack sand up your a**, Hillary! Save the world!

[nomad]

Prove it! I`m sure some Soros backed junk science is just the ticket.

[Cyber Liberty]

I smell troll. Smells like...crude oil.

[bmwcyle]

You need to start reading about the new advancements in the industry. You are about 20 years behind.