Tapping Shale Reserves, US Would Become World's Top Oil Producer By 2017

Hugh Pickens writes "The NY Times reports that according to a report by the International Energy Agency, the U.S. will overtake Saudi Arabia as the world's leading oil producer by about 2017, will become a net oil exporter by 2030, and will become 'all but self-sufficient' in meeting its energy needs in about two decades — a 'dramatic reversal of the trend' in most developed countries. 'The foundations of the global energy systems are shifting,' says Fatih Birol, chief economist at the Paris-based organization, which produces the annual World Energy Outlook. There are several components of the sudden shift in the world's energy supply, but the prime mover is a resurgence of oil and gas production in the United States, particularly the unlocking of new reserves of oil and gas found in shale rock. The widespread adoption of techniques like hydraulic fracturing and horizontal drilling has made those reserves much more accessible, and in the case of natural gas, resulted in a vast glut that has sent prices plunging. The agency's report was generally 'good news' for the United States says Michael A. Levi, senior fellow for energy and environment at the Council on Foreign Relations, because it highlights the nation's new sources of energy but Levi cautions that being self-sufficient does not mean that the country will be insulated from seesawing energy prices, since those oil prices are set by global markets. The message is more sobering for the planet, in terms of climate change. Although natural gas is frequently promoted for being relatively low in carbon emissions compared to oil or coal, the new global energy market could make it harder to prevent dangerous levels of warming (PDF). 'The report confirms that, given the current policies, we will blow past every safe target for emissions,' says Levi. 'This should put to rest the idea that the boom in natural gas will save us from that.'" The folks over at The Oil Drum aren't quite so optimistic: shale reserves may have an abysmal EROI. And, of course, Global Warming is a liberal myth.

Comments

Re:It's a sad sign of the times

[ArcherB]

When the partisan political aspect of an issue is already included in the original post.

Bettter to shut down discussions about AGW before they start! It's settled science!

Well, you could reply in kind and say, "There is no way in Hell that environmentalists or our current administration will allow us to become energy independent if it rained oil!" And, sadly, it's true. They will find some cost of extraction that is just too high to spend like they are trying to do with fracking now.

Fact is, liberals hate oil. They were fighting oil drilling long before global warming was ever considered an issue. So, we know it's not GW they are worried about. I think they don't like people making money or they think that we all live in cities where only the very weatlhy have their own cars (with drivers) and think everyone should have to take the subway.

Re:It's a sad sign of the times

[fustakrakich]

If we don't have to buy oil from the Middle east, we can set back and watch them kill themselves over their petty differences without much intervention from us.

Can we include Israel in that bargain? And neither we or Mexico grow enough poppies to leave Afghanistan/Pakistan yet.

Re:"Peak Oil"

[invid]

The goal is to make money.