The Impact Of The Petroleum Industry

The reason of the fall in oil prices are the constant change of demand. The need for the oil is actually stagnant. Crude oil is becoming a product of the past. Today, you can harvest energy from solar, wind, water, heat, and waves. According to The Economist, “The use of fossil fuels in the rich world is mostly falling. Emerging economies are not currently taking up the slack”.

Diverse and multi-faceted, the Canadian business market is one of the strongest functioning mixed market economies in the world. Within the Canadian economy, the oil and gas sector stands as one of the largest and most influential sectors. The oil and gas industry is unique as it affects almost every person and sector of the economy worldwide, whether it is through commodity or material input costs. In Canada, this growing industry could allow for the country to be the one of the “biggest energy producers in the world” leading to a massive paradigm shift globally.

Benjamin Sovacool explains in his article that over the period of twelve years, the United States shale gas production increased 24.5 times the amount it produced in 1998. From 0.2 trillion cubic feet to an enormous 4.9 trillion cubic feet. Natural gas is also a huge financial benefit to North America. Before this drastic increase of fracking and natural gas production, the United States imported a clear majority of its oil and energy sources from the Middle East. This caused the middle east to obtain a control over the United States economic situation. For example, the 1979 oil embargo caused by OPEC (organization of petroleum exporting countries). According to Kimberly Amadeo, their decision to increase oil prices by a meager ten percent, caused oil rationing in the United States and worsened the already declining economy at this time. Since the increase in fracking and natural gas production, the U.S. has become decreasingly reliant on imported energy sources. Richard Janson denotes, that the impact of this influx of cheap gas has had many positive impacts on not only the economics of the energy industry, but foreign policy and the United States domestic policy. With the downfall in the need for imports for energy and the rise of hydraulic

This report is going to discuss the oil and gas production, exploration and fields in Bulgaria. The Bulgarian energy sector is comparably small in global terms, but is rather sizable in the country’s industrial portfolio. In detail, I will start the discussion with Morphotectonic provinces of Bulgaria and Bulgarian basins. I will introduce the 5 morphotectonic provinces and several Bulgarian basins. Then I will talk about the oil and gas fields in Bulgaria. The most popular oil and gas fields in Bulgaria are Tjulenovo Oil and Gas Field, which is located at the Black Sea coast on the northern slope of the Varna basin and was discovered in 1951 and is still producing, Dolni and Gorni Dubnik Oil and Gas Fields, these fields are located in the southern part of the Lorn (Moesian) Depression and Chiren Gas-Condensate Field, which is located in the west Fore-Balkan.

Some emergent countries have put a lot of effort to find new reservoir or find the best way to recover oil from deep seas such as The pre-salt in Brazil. America has high projections for the future with fracking. However, lower prices would put at risk investments in unconventional sources. For example, tar sands, shale oil, deep sea and fracking. Our forecast is that the crude oil price tend to slowly rise until the market balance it self to avoid oversupply especially because of the weakening in the global oil

In January 2016, the cost of a gallon of gas dropped below two dollars, and consumers were rejoicing. Driving that car with twelve miles to the gallon car wasn’t so bad. Going to the grocery store was a little cheaper because of the transportation costs of goods. Americans could afford a like extra and never wonder about why the gas dropped. We were still hurting from three dollars or more for a gallon. Companies in the United States started drilling for oil on American soil in larger quantities than before two years earlier in 2014. Jobs in the industry were aplenty. Young adults straight out of high school could go into training for a year and come out making six figures by they were twenty-five. The amount of oil produced was

Gas prices have been decreasing in some states according to my research on google. Since there has been more oil found, we have more of a supply which means that the prices of gas will drop due to supply and demand. Now that we have more oil for gas, the supply has increased which means that even though demand is high, the prices are lower because we have that supply. It has been the lowest in years, dropping from about four dollars a gallon to about three and and a half. Even though this may seem like it isn’t important to the economy, it is because now more people can afford it so more money for the economy to make from its

A good and successful article is an article that is logically organized and does not disrupt the flow of thought and content that is provided in the piece of work as well as a good writing style which keeps the reader engaged throughout their read. The author Andrew Nikiforuk has created a nice and logical structure within his article. He starts by stating how Europeans felt towards Canada before and continues by explaining what has changed their stance towards Canada. He then leads on by describing oil and the specifics of the oil Canada is refining while noting its problems along the way while recounting how Canada changed, explaining why those changes transpired. Towards the end

According to recent figures from the US Energy Information Administration, US oil production will grow to 9.3 million barrels a day in 2016, so that the industry is still healthy production-wise. But for the past few years, the prices remained low and are expected to remain steady or even drop in the near future.

Since June 2014, oil price has fallen by more than 70 percent. Price has recovered few times last year. However, it has sunk this year to levels not seen since 2003 (New York Times, 2016). This drop of price has affected several firms in the industry which we can mention Chesapeake (CHK). In fact, Chesapeake was quoted at more than $20 until late 2014. Today, it is priced below $5. The oil industry is known for its history of booms and busts. It is not the first time that this industry is shaken. In the 1985-86, supply-driven mainly caused the fall of prices. In 2008-2009, price fallen was entirely due to the collapse in demand. However, this reason behind this recent crisis is a little bit special: “price decline appears

The demand for natural resources and other earthly materials continue to rise exponentially throughout the world, especially due to rising populations. Some issues that are in support of fracking include having the opportunity to access an alternative source of fuel, creates more jobs in the oil and gas industry, lowers taxes for Americans by using domestic oil, helps to make certain countries less dependent on others for their resources, stimulates the economy, and also helps to improve overall air quality by using natural gas for electricity instead of coal. According to a study on the “Economic Impacts of the Oil and Natural Gas Industry on the US Economy in 2011” done by Price Waterhouse Coopers LLP “The US oil and natural gas industry’s total employment impact to the national economy in 2011, combining the operational and capital investment impacts, amounted to 9.8 million full-time and part-time jobs and accounted for 5.6 percent of total US employment.” Fracking to access more natural gas and oil not only has helped many to be employed in these industries, but also has a great impact on the way one attains electricity. Some values in support of fracking include profit, quality of life capitalism, sustainability, and economic power.

The economy in the United States continues to struggle through a very sluggish recovery. We are constantly bombarded with terms like green, alternative or renewable energy sources as ways to save money and help the environment. However, there is not an alternative energy company that comes anywhere close to the revenues of the old-fashioned oil and gas industry. The “greenest” energy-as far as money goes- continues to be the multi-billion dollar oil and gas industry. What many people don’t know is that modern technology is helping this industry become more environmentally friendly. Despite gasoline prices almost doubling in the last six years, the rise of hybrid cars and a continued push to lower emissions. Americans have not slowed down on the highway or their demand for gasoline. The United States Transportation Statistics estimates that in 2012, there were 628 motor vehicles and gas per 1,000 people. This is a business that will continue to have demand despite the strength of the economy for many reasons. Demand for gasoline in the United States is just one small part of it.

On April 20, 2010, British Petroleum’s (BP) offshore drilling rig, the Deepwater Horizon, exploded and caused the largest accidental marine oil spill in history, discharging five million barrels of oil into the ocean over a period of three months. During this accident, eleven men working on the oil rig perished and seventeen others were injured severely. This crisis caused major destruction to marine wildlife caused economic harm on fishing and tourism industries and was a public relations nightmare for British Petroleum (Crandall, Parnell & Spillan, 2013). This event was horrendous; I remember the devastation that was left in the wake of this tragedy.

Since the past few decades, owning a car has become a necessity in order to commute from one place to another. However, cars do not work automatically, they require fuel. Since the past decade, the petroleum industry has become one of the leading industries impacting the nation’s economy. Oil has become an essential commodity as it is utilized in transportation vehicles, serves as a raw material for manufacturing plastics, and is utilized in homes for cooking. America’s economy is greatly dependent on petroleum as it is the “black gold” of the nation. The considerable significance of oil has led to the drilling of it, which is not only limited to land, but also the oceans. Offshore drilling is a method in which petroleum is extracted from underneath the seabed. It is one of the significant technological advancements in the past few decades. However, the ones who are involved in the process of offshore oil production are humans, and humans tend to make mistakes. In 1969, due to a human error, an oil spill occurred and natural gas, oil, and mud shot up the well and oozed into the ocean (“Offshore Drilling”). The oil spilled led to an environmental disaster which killed thousands of marine animals and distorted the environment. In order to prevent the same error, the government passed a moratorium in 1981, banning more than 85 percent of the country’s oil drilling sites (“Offshore Drilling”). The moratorium restricted the United States to mass-produce its natural resource.

Because private companies and nations have over-estimated oil reserves it is difficult to be exact but these estimates of world oil reserves are close and further research will reflect this. Also, rapid exploitation may have damaged many reserves' wells and will limit production. It may be that we (the world) have much less than is believed! The United States past its "peak oil" point back in the early 1970's ( for further research refer to Peak Oil Crisis Books) and now imports about two-thirds (2/3) of its oil. The U.S. economy and the current American way of life is supported by energy from other nations. Those nations that have not already past peak oil (maximum production) are very near it. In the future, production will decrease while at the same time demand increases. The spread between supply and demand will cause higher prices (for all products),