To Avoid Global War, Ensure US Energy Dominance

The world is using more, not less energy, with the United States leading this surge.  This fact will continue changing the world geopolitically and bring changes to global markets.  BP's seminal Statistical Review of World Energy 2019 was released in early June, and the findings revealed that the U.S. is leading the world in production of fossil fuels.  The report counters prevailing wisdom that peak oil demand is rapidly happening, when the exact opposite is taking place.

World oil records were broken in 2018 — according to the Review, "a new oil consumption record of 99.8 million barrels per day (mbpd), which is the ninth straight year global oil demand has increased."  Demand for oil grew 1.5 percent.  This is above the "decades-long average of 1.2 percent."

The Review showed that the U.S. is the world's top consumer at 20.5 mbpd in 2018, and China was second at 13.5 mbpd, with India in third place at 5.2 mbpd.  China and India are growing faster than world and U.S. consumer growth at 5 percent the past decade.  What's noticeable about the data is that "Asia Pacific has been the world's fastest growing oil market over the past decade with 2.7% average annual growth."

BP also released the emergence of a new global oil production record in 2018 that averaged 94.7 mbpd.  This increased from 2.22 million mbpd from 2017.  The U.S. came in at 15.3 mbpd and led all countries by increasing production from 2017 by over 2.18 mbpd.  The U.S. added 98 percent of total global additions, an astonishing figure.

Before the U.S. shale exploration and production (E&P) took off, oil was over $100 a barrel, but since the 2014 oil crash, global oil production has increased by 11.6 mbpd and shows no signs of slowing down.  What Russell Gold of The Wall Street Journal calls "the shale boom" has seen "U.S. oil production increase by 8.5 mbpd — equal to 73.2% of the global increase in production."
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