The Oil And Natural Gas Industries

1686 Words Jun 10th, 2015 7 Pages
Around the globe, the oil and natural gas industries are a major part of stable and growing economies, as well as, the individual lives of most people. As individuals we use it to run our vehicles, heat our homes, cook, and much more. Economies, on the other hand, rely on the oil and natural gas industries for the jobs they create, the product they supply, and the added value created by government revenues. In 2011, these industries in the United States made up 5.6 percent of the nation’s total employment, providing $394 billion in labor income (6-15, American Petroleum Institute). They also contributed an estimated $410.3 billion to the nation’s economy through wages, capital spending, and dividends totaling 7.1 percent of the United States’ gross domestic product (GDP) (25-26, American Petroleum Institute). Those percentages may not seem like much alone, but when you consider that one industry, out of hundreds in the United States, makes up those numbers, they seem a lot larger. During the 1990’s, oil and natural gas production had hit a snag spreading worry that the U.S. would become reliant on foreign imports (Inman). One of the world’s leading countries in the industry were beginning to fear the end of a resource that they relied so heavily on.
As traditional oil and gas endeavors began depleting their resources the oil and natural gas industries were forced to find a new source of extraction if they were to continue producing fossil fuels at the same rate. This new…
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