US to become world leader in oil and gas thanks to fracking
The United States will leapfrog Saudi Arabia and Russia to become the
world's biggest producer of oil and gas in the next five years as the
controversial practice of "fracking" for hydrocarbons contained in shale
rocks has enabled the country to increase production massively,
according to an authoritative new report.
In a development that will reshape the geopolitical map, US oil and
gas production is set to leap by about a quarter by 2020 as the rapid
growth of hydraulic fracturing, or fracking, propels the country towards
providing all its own energy by 2035, according to this year's keenly
watched World Energy Outlook report from the International Energy
Agency.
Fracking is a highly controversial practice that involves blasting a
mixture of sand, water and chemicals into shale rock to release the oil
or gas inside. The process, which has been linked to earth tremors and
water pollution, has boomed as rising oil prices and advances in
horizontal drilling techniques have made available resources thought
unrecoverable.
It was initially used to extract gas but it is increasingly being
used to produce oil in states such as North Dakota and Texas. The
fracking boom will push US oil production up from 8.1 million barrels a
day last year to 11.1 million in 2020 while gas extraction will jump
from 604 billion cubic metres a day to 747 billion, the IEA said. Maria
van der Hoeven, the IEA executive director, said: "North America is at
the forefront of a sweeping transformation in oil and gas production
that will affect all regions of the world."
The US presently imports about a fifth of its energy and has
increasingly relied on Middle Eastern oil over the past five decades.
However, by the time the country is self-sufficient in energy in 2035
nine tenths of Middle Eastern oil exports will be consumed by Asia, with
China a particularly big customer. In a report, the IEA said that global
carbon emissions from generating energy rose by 3.2 per cent to a record
31.2 gigatonnes in 2011 as a 30 per cent jump in fossil fuel
"consumption subsidies" to $523bn (£329bn) helped to entrench fossil
fuels as the dominant source of energy. Much of that increase performed
a useful social function, as it resulted from governments in the Middle
East and North Africa helping their populations to buy staples such as
petrol and heating oil. However, the sheer scale of the fossil fuel
subsidies will make it harder to curb global warming, when set against
just $88bn worth of subsidies to renewable energy last year, the IEA
said.
- The Independent
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