A new survey from Deloitte indicated in the past two years, there has been a 150 percent increase in the number of oil and gas executives who believe energy independence is only 5 to 10 years away. The 2014 Oil & Gas Survey: The Next Chapter of the Energy Renaissance concluded natural gas production is meeting consumer demand, while oil drilling in the U.S. continues to outpace other nations.Recent trends in the industry have improved the U.S.’s energy situation in the past decade, with 80 percent of respondents believing the country is on a fast track toward self-sufficiency. Much of the change can be attributed to higher levels of production in shale regions across the U.S. Advancements in fracking technology have allowed once unattainable oil and gas to be retrieved quickly and safely, leading to an energy boom.
“Advancements in fracking technology have allowed once unattainable oil and gas to be retrieved quickly and safely.”
The U.S. is now the leading producer of natural gas in the world, according to British Petroleum, and, oil production is reaching new heights as well. The Deloitte survey noted the U.S. is on pace to reach its previous record of daily production – set in 1971 – by 2016. The effect has been that overall optimism around the industry is at an all-time high, with the U.S. quickly becoming a dominant leader in oil output.And with a focus on expanding the existing pipeline network in the country while also opening up more regions for exporting, the need for oil and gas on a global scale is increasing. Additionally, U.S. Census data estimated the world population is expected to reach nearly 10 billion people by 2050, which will place further emphasis on the demand for resources.Oil prices falling in recent monthsWith the price of oil dropping to nearly $75 per barrel, worries over continued production have begun to sink in for global markets. However, this hasn’t deterred drilling from occurring at high levels in the U.S. While OPEC and other nations struggle to reconcile the fall in oil prices with economic goals, the U.S. has largely bypassed much of the negative effects, according to FuelFix.Drillers are still producing at record levels with many expecting to increase production even further in the coming months.”I still think, unless they fall significantly further, U.S. production is going to see dramatic increases in growth,” said Jason Bordoff, director of Columbia University’s Global Energy Policy, according to FuelFix.Even with rig counts declining, the amount of oil and gas being extracted from each rig is on the rise, meaning not only is the industry growing, but fracking is becoming more efficient. The result is that the U.S. is essentially insulated from temporary volatility in the global market because of such a large reserve of resources.The fracking boom of the last decade has been made possible by the use of frac sand on drilling sites, which makes it easier for resources to be extracted from shale deposits miles beneath the ground.FB Industries Inc. – The Unsurpassed Solution for Frac Sand Handling & Storage.