Posted August 6, 2014
Compelling Case for Exporting Crude Oil and LNG
The Hill (Toby Mack): America , along with its oil and gas producers, energy supply chain companies, and millions of American workers, are quite literally "missing the boat" as a result of the federal government-imposed ban on crude oil exports, and severe limits on liquefied natural gas (LNG) exports. Eliminating these restrictions would set the stage for dramatically more rapid growth in energy production and for the supply chain businesses that support energy operations.
Applications to export as much as 25 billion cubic feet per day (bcf/d) equivalent of natural gas are stuck in the Department of Energy's limbo of lengthy review processes. Recently released studies and analysis indicate that each additional 10 bcf/d of natural gas produced to meet export demand would create 110,000 new jobs and $20 billion annually of new business for the energy supply chain - construction contractors, equipment companies, materials suppliers and production service providers. And with other nations rushing to fill the void left by the absence of U.S. exports, this window of opportunity will close and the business lost if we don't accelerate processing of these applications.
On the crude oil front, research firm IHS Energy conservatively projects that enabling exports would cause U.S. production to increase by an average of 1.2 million barrels per day by 2016, which would result in an additional $86 billion of GDP per year. With models showing about half of production-related output being created by the energy supply chain, this yields approximately $40 billion more per year in potential business for supply chain companies, with about another 200,000 new jobs.
Read more: http://bit.ly/1AVtaTg
More industry news:
The Amazing Marcellus Shale Boom: http://bit.ly/X1z4Dc
Blog: All Four Colorado Oil, Gas Ballot Measures Withdrawn as Promised: http://dpo.st/1umioB8
LNG Issue Needs Real Solution: http://bit.ly/1ogHIrz
LTE: Hydraulic Fracturing Has Solid Safety Record: http://bit.ly/X1ADAX
Fracking Revolution Continues to Cut U.S. Oil Imports: http://on.mktw.net/1tXz04I
ABOUT THE AUTHOR
Mary Schaper is a Digital Communications Manager for the American Petroleum Institute. She previously worked on Capitol Hill for the Senate Energy and Natural Resources Committee as Digital Director and for Senator Lisa Murkowski. Before coming to D.C., she spearheaded digital strategy for Murkowski's successful Senate write-in campaign in 2010. Schaper enjoys traveling and taking in the local culture alongside her husband, their son and loyal springer spaniel.