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[Ripclawe]

AMERICA ....BITCH!

http://online.wsj.com/article/SB10001424052702303492504579111360245276476.html

The U.S. is overtaking Russia as the world's largest producer of oil and natural gas, a startling shift that is reshaping markets and eroding the clout of traditional energy-rich nations.

U.S. energy output has been surging in recent years, a comeback fueled by shale-rock formations of oil and natural gas that was unimaginable a decade ago. A Wall Street Journal analysis of global data shows that the U.S. is on track to pass Russia as the world's largest producer of oil and gas combined this year—if it hasn't already.


The U.S. ascendance comes as Russia has struggled to maintain its energy output and has yet to embrace technologies such as hydraulic fracturing that have boosted American reserves.

"This is a remarkable turn of events," said Adam Sieminski, head of the U.S. Energy Information Administration. "This is a new era of thinking about market conditions, and opportunities created by these conditions, that you wouldn't in a million years have dreamed about."

The U.S. produced the equivalent of about 22 million barrels a day of oil, natural gas and related fuels in July, according to figures from the EIA and the International Energy Agency. Neither agency has data for Russia's gas output this year, but Moscow's forecast for 2013 oil-and-gas production works out to about 21.8 million barrels a day.

U.S. imports of natural gas and crude oil have fallen 32% and 15%, respectively, in the past five years, narrowing the U.S. trade deficit. And since the U.S. is such a big consumer of energy, the shift to producing more of its own oil and gas has left substantial fuel supplies available for other buyers. Nations that rely on peddling petroleum for their economic strength and political clout face dwindling market power as a result. Oil prices so far remain high, however, closing Wednesday at $104.10 a barrel, up 18% from a year ago.

To be sure, Russia is believed to have one of the world's largest, untapped oil-bearing shale formations, creating the potential for a surge in production.

And not everyone in Russia sees a threat from the U.S. The head of one the country's largest energy companies, OAO Gazprom, OGZPY -0.90% has called expanding U.S. shale output "a bubble that will soon burst."

A similar view was expressed Tuesday by Abdallah Salem el-Badri, the head of the Organization of the Petroleum Exporting Countries, who said in an interview that the U.S. oil boom from shale will run out of steam by decade's end.

U.S. energy producers also are drilling more efficiently and cutting costs in other ways. Some companies have said that the amount of oil and gas produced by shale wells isn't dropping as fast as predicted.

Ken Hersh, chief executive of NGP Energy Capital Management LLC, a private-equity fund with $13 billion under management, said the immense amounts of oil and gas uncovered in recent years indicate that the U.S. energy boom could last a long time.

"It is not a supply question anymore," he said. "It is about demand and the cost of production. Those are the two drivers."

 

[Slayer-33]

Time to invade ourselves

 

[Slayven]

America!!! Frack Yeah!!

 

[slit]

ALL BOW BEFORE US!!!

KNELL BEFORE YOUR MASTERS, DWELLERS OF EARTH!!!!!

 

[Yaboosh]

Fracking hell!


Edit: Goddammit Slayven.

 

[ElectricBlue187]

And not everyone in Russia sees a threat from the U.S. The head of one the country's largest energy companies, OAO Gazprom, OGZPY -0.90% has called expanding U.S. shale output "a bubble that will soon burst."

A similar view was expressed Tuesday by Abdallah Salem el-Badri, the head of the Organization of the Petroleum Exporting Countries, who said in an interview that the U.S. oil boom from shale will run out of steam by decade's end.

Ahh the hubris of the doomed

 

[SiteSeer]

so once russia fraks itself it'll be back to #1? big deal. whoever pollutes the most is the #1 producer. don't know if this is a race worth winning.

 

[epmode]

Drill, baby, drill.

 

[OrangeGrayBlue]

We're only 15 years out from a majority of cars on the road being all-electric/hybrid so... meh.

 

[slit]

so once russia fraks itself it'll be back to #1? big deal. whoever pollutes the most is the #1 producer. don't know if this is a race worth winning.

No, because they will go terribly wrong. The U.S. can't even do it without causing a lot of shit. Now imagine the Russians doing it. ⊙_ʘ

 

[Konka]

We're only 15 years out from a majority of cars on the road being all-electric/hybrid so... meh.

Hahahahahaha. Even if we get there at some point we still get to sell our oil to places like India and China where that wont happen for a loooooooong time.

 

[pje122]

But look out that one GAFer said all the oil is going to be gone soon... D:

We're only 15 years out from a majority of cars on the road being all-electric/hybrid so... meh.

 

[SlipperyMoose]

We're only 15 years out from a majority of cars on the road being all-electric/hybrid so... meh.

Here's a thought. We use fuel for more than just cars.

 

[Zoolader]

Fracking is pretty bad for the environment and can contaminate underground water aquifers. So while this sounds great being more energy independent it's also a bit concerning.

edit: and private wells, as seen below.

 

[Liha]

That are bad news für the environment.

 

[SimleuqiR]

whatthefrak.gif

 

[SiteSeer]

No, because they will go terribly wrong. The U.S. can't even do it without causing a lot of shit. Now imagine the Russians doing it. ⊙_ʘ

my point still stands, but with the russians they'll pollute it up in the middle of nowhere --out in some frozen taiga, population 0. america does it in people's back yards. don't know if such a 'victory' is worth celebrating.

 

[delirium]

That are bad news für the environment.

Wasn't this thing proven to be BS? People where doing that WAY before fracking.

 

[slit]

my point still stands, but with the russians they'll pollute it up in the middle of nowhere --out in some frozen taiga, population 0. america does it in people's back yards. don't know if such a 'victory' is worth celebrating.

No, my point is they probably can't do it as effectively. The damage to the environment is another discussion altogether.

 

[Subitai]

so once russia fraks itself it'll be back to #1? big deal. whoever pollutes the most is the #1 producer. don't know if this is a race worth winning.

Pretty much. =/

There is also Australia. They have the huge find they haven't started tapping yet.

 

[xbhaskarx]

We should join OPEC!!

 

[Captain Tuttle]

It boggles my mind that companies aren't pushing cars that run on Natural Gas, we have the supply, we have the infrastructure.

 

[ElbowRocket]

Lemme just have a sip

 

[Trokil]

a toast to you

 

[Antiwhippy]

Seeing what they eat I'm not surprised!

 

[phaze]

Based Shale Gas. It's funny how little time it took.

 

[cdyhybrid]

Where's my oil money though?

 

[Acorn]

Nice, now get a pipeline to the UK so we can stop relying on Putin's whims.

 

[TCRS]

Nice, now get a pipeline to the UK so we can stop relying on Putin's whims.

It's probably cheaper just to ship it over the atlantic. No pirates either (unless you count the irish).