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Energy

New Report Reveals Just How Energy Rich America Really Is

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From the Daily Caller News Foundation

By DAVID BLACKMON

 

A new report by the Institute for Energy Research (IER), a nonprofit dedicated to the study of the impact of government regulation on global energy resources, finds that U.S. inventories of oil and natural gas have experienced stunning growth since 2011.

The same report, the North American Energy Inventory 2024, finds the United States also leading the world in coal resources, with total proven resources that are more than 53% bigger than China’s.

Despite years of record production levels and almost a decade of curtailed investment in the finding and development of new reserves forced by government regulation and discrimination by ESG-focused investment houses, America’s technically recoverable resource in oil grew by 15% from 2011 to 2024. Now standing at 1.66 trillion barrels, the U.S. resource is 5.6 times the proved reserves held by Saudi Arabia.

The story for natural gas is even more amazing: IER finds the technically recoverable resource for gas expanded by 47% in just 13 years, to a total of 4.03 quadrillion cubic feet. At current US consumption rates, that’s enough gas to supply the country’s needs for 130 years.

“The 2024 North American Energy Inventory makes it clear that we have ample reserves of oil, natural gas, and coal that will sustain us for generations,” Tom Pyle, President at IER, said in a release. “Technological advancements in the production process, along with our unique system of private ownership, have propelled the U.S. to global leadership in oil and natural gas production, fostering economic benefits like lower energy prices, job growth, enhanced national security, and an improved environment.”

It is key to understand here that the “technically recoverable” resource measure used in financial reporting is designed solely to create a point-in-time estimate of the amount of oil and gas in place underground that can be produced with current technology. Because technology advances in the oil and gas business every day, just as it does in society at large, this measure almost always is a vast understatement of the amount of resource that will ultimately be produced.

The Permian Basin has provided a great example of this phenomenon. Just over the past decade, the deployment of steadily advancing drilling and hydraulic fracturing technologies has enabled producers in that vast resource play to more than double expected recoveries from each new well drilled. Similar advances have been experienced in the other major shale plays throughout North America. As a result, the U.S. industry has been able to consistently raise record overall production levels of both oil and gas despite an active rig count that has fallen by over 30% since January 2023.

In its report, IER notes this aspect of the industry by pointing out that, while the technically recoverable resource for U.S. natural gas sits at an impressive 4.03 quads, the total gas resource in place underground is currently estimated at an overwhelming 65 quads. If just half of that resource in place eventually becomes recoverable thanks to advancing technology over the coming decades, that would mean the United States will enjoy more than 1,000 years of gas supply at current consumption levels. That is not a typo.

Where coal is concerned, IER finds the US is home to a world-leading 470 billion short tons of the most energy-dense fossil fuel in place. That equates to 912 years of supply at current consumption rates.

No other country on Earth can come close to rivaling the U.S. for this level of wealth in energy mineral resources, and few countries’ governments would dream of squandering them in pursuit of a political agenda driven by climate fearmongering. “And yet, many politicians, government agents, and activists seek to constrain North America’s energy potential,” Pyle says, adding, “We must resist these efforts and commit ourselves to unlocking these resources so that American families can continue to enjoy the real and meaningful benefits our energy production offers.”

With President Joe Biden and former President Donald Trump staking out polar opposite positions on this crucial question, America’s energy future is truly on the ballot this November.

David Blackmon is an energy writer and consultant based in Texas. He spent 40 years in the oil and gas business, where he specialized in public policy and communications.

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Daily Caller

Key Trump Cabinet Nominees Face A Daunting Energy Policy Mess

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From the Daily Caller News Foundation

By David Blackmon

Just so we can frame this for everyone in the room, China will build 100 new coal plants this year. There is not a clean energy race. There is an energy race.

After a week spent watching hours of the various Senate confirmation hearings for some of President-elect Donald Trump’s cabinet nominees, one compelling thought lingers with me more than any other: Does Democrat Sen. Mazie Hirono of Hawaii have a seat on every Senate committee?

The answer to that is “no,” but it seemed that way as the Senator began her questioning of nominees ranging from Pete Hegseth (Defense) to former Florida Attorney General Pam Bondi (Justice) to former Republican North Dakota Gov. Doug Burgum (Interior) to Chris Wright (Energy) by posing some iteration of the following question: “ … since you became a legal adult, have you ever made unwanted requests for sexual favors or committed any verbal or physical harassment or assault of a sexual nature?”

Sadly, Hirono’s farcical style of questioning turned out to be less of an exception than a rule among the Democratic members of these committees as the week wore on. Democrat Sen. Tim Kaine of Virginia ended his questioning of Hegseth by literally asking if he had ever beaten his wife, an obvious smear which Hegseth denied.

It was all sad to witness, a troubling indicator of the health of both the Democratic Party and the American Republic. But what it all revealed by Friday is that the Democrats are unlikely to claim any scalps from among this week’s slate of nominees. Where energy policy is concerned, that means that the three departments/agencies that are most impactful in that realm are likely to be led by former Republican Rep. Lee Zeldin of New York at the Environmental Protection Agency (EPA), Burgum at the Department of the Interior and Wright at the Department of Energy.

Seldom if ever in this country’s history have three more capable, knowledgeable and effective individuals been in positions of leadership to help reform and recover from the waste and misallocation of taxpayer dollars that have characterized President Joe Biden’s 4-year presidency.

I have written several times here that the inevitable outcome that will result from pretty much every aspect of the Biden Green New Deal policies will be to render America dependent on China for its energy security, due to Chinese dominance of global processing and supply chains for all forms of and raw materials for renewable energy and electric vehicles. This is obviously not a sustainable situation, and it is clear that Trump and his key nominees fully understand that reality.

U.S. dependency on foreign adversaries is not limited to China. One such area involving a different country holds high stakes related to the goal of a renaissance in nuclear power often touted by Republicans and some Democrats alike.

In a revealing exchange, Wright and Republican Sen. John Barrasso of Wyoming discussed America’s recent dependence on Russia, of all countries, for imports of enriched uranium. As Wright pointed out, this is a technology first invented in the United States, but our country has virtually no existing capacity for uranium enrichment today. This is, as Wright called it, “a sad state of affairs” that has been caused in large part by wrong-headed federal environmental and permitting policies.

Unfortunately, the Biden cure for this pressing energy security matter could be even worse. As U.S. and NATO sanctions have gradually shut down Russia’s exports of enriched uranium, the U.S. nuclear industry has become reliant on imports from — you guessed it — China.

“As those [sanctions] shut down Russian uranium … we see more imports from China,” Wright testified. “We need to get beyond that … without shutting down the nuclear power plants we have running today. It is an area that requires urgent action.”

In another revealing exchange, Trump’s nominee for Treasury Secretary, Scott Bessent, disagreed with Democrat Sen. Ron Wyden of Oregon about the Senator’s claim that the United States is involved in “an arms race on clean energy” with China.

“Senator Wyden, just so we can frame this for everyone in the room, China will build 100 new coal plants this year. There is not a clean energy race. There is an energy race,” Bessent replied. Truer words were never spoken, and it is impossible to win that energy race when the United States is increasingly dependent on China for its very energy needs.

These and other Trump nominees have an enormous mess to clean up from the profligate spending and waste of the Biden years. Fortunately for the country, their work begins Monday. Not a moment too soon.

David Blackmon is an energy writer and consultant based in Texas. He spent 40 years in the oil and gas business, where he specialized in public policy and communications.

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Alberta

Before Trudeau Blames Alberta, Perhaps He Should Look in the Mirror

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From EnergyNow.ca

By William Lacey

There has been a lot of talk about how Premier Danielle Smith did not sign a statement of support with the Government of Canada regarding a unified response to any tariff action taken by incoming President of the United States, Donald Trump.

Trudeau singles out Alberta premier for not putting ‘Canada first’ in break with other provinces

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While it is easy to throw stones at Premier Smith and call her actions one of selfishness, placing the interests of Alberta ahead of Canada, I think there are a number of reasons why one could reply that she was well within her right to act as she did. Over the last decade, Trudeau has gone out of his way to vilify the oil and gas industry, through his continual bad mouthing of the industry as being antiquated, and implementing policies that ensured that capital flight from the space accelerated, infrastructure projects were cancelled and massive levels of uncertainty were overlaid on the investment landscape going forward. Despite all this, the oil and gas sector still remains one of the most important economic contributors to the economy and is the largest component of exports from Canada to the United States, and it isn’t even close.

The Observatory of Economic Complexity (OEC)

The ironic thing of all this? To get oil to the refineries in the east, you need to IMPORT it by pipeline from the United States or primarily by ship to Quebec and New Brunswick. Had the Energy East Pipeline been built, Canadian refineries could have had Canadian domiciled product to satiate them. Moreover, had Northern Gateway been built, we would have diversified our client list beyond the United States. Sure, the Trans Mountain Pipeline was built, at extraordinary cost and timelines, and some “credit” is due to the Government getting it done, but the proof is in the current landscape that we operate in.

Now, coming back to the beginning. Why do I think Trudeau should look in the mirror before throwing rocks at Premier Smith? I come back to 2015 when Trudeau said Canada is the world’s “first postnational state” and that “there is no core identity, no mainstream in Canada.” He has gone about taking away what many of us grew up with, namely a sense of Canadian identity, and tried to replace that with shame and no collective identity. What is a post nation state you may ask? Post-nationalism or non-nationalism is the process or trend by which nation states and national identities lose their importance relative to cross-nation and self-organized or supranational and global entities as well as local entities.

So, is it any wonder that people are starting to question what is Canadian any more? At a time when Canada is under significant threat, the irony that Alberta likely represents the best tool in this tools (Trudeau) economic toolbox, is wildly ironic. As they say, karma’s a bitch.

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