U. S. Energy Dominance Emerges

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U. S. Energy Dominance Emerges

Imagine a world where the United States sets the price of oil.  Imagine a world in which Saudi Arabia imports energy from the United States.  Imagine a world where U. S. energy gives the North American Continent the world’s best manufacturing costs across most industrial sectors.  Imagine a world in which American foreign policy is not dependent on what happens in the Persian Gulf.  And imagine a world where petrostates like Russia and Saudi Arabia are forced to diversify and make fundamental reforms if they have any hope of surviving the 21st century.

As unbelievable as it might seem to those locked into the economic assumptions of 1973-to-2013, that’s the world we’re in! 

It’s coming at us faster than most people can comprehend.  Less than four years ago, The Washington Post warned that green energy would make fossil fuels obsolete, leaving oil and gas producers with “stranded assets.”  Others predicted that U. S. coal would soon just be a “bad memory.” 

Yet, forty years ago, the Trends editors knew about the energy bonanza trapped in North America’s shale deposits, as did the U. S. Geological Survey.  So, even then, it was clear that OPEC’s dominance would last only as long as it took for innovation to cost-effectively unleash this astonishing natural resource.  That meant that “peak oil” was simply an irrelevant fantasy promoted by those advocating so-called renewable energy. 

The unpredictable wild card in the game was the implacable commitment of “green ideologues” to thwarting this vision of U. S. energy dominance.  And, in retrospect, their success in coopting the coercive power of the state did come frighteningly close to crippling the industry.

But fortunately, we’ve jumped both the technological and man-made hurdles and the future looks exceedingly bright.

According to research firm, Rystad Energy, the United States is poised to ramp up crude oil production by at least 10% in 2018 to over 11 million barrels per day.  Surging shale oil output will allow the United States to finally dethrone Russia and Saudi Arabia as the planet's leading crude oil producer.  That’s important because, even though the United States has been the top “energy producer” if you include coal and natural gas, it hasn't been the global leader in crude oil, since Gerald Ford was President, back in 1975.

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