On December 6, 2018, the US Geological SurveySummary announced an assessment of continuous oil and gas in Texas and New Mexico's Delaware Basin. It is the largest USGS has ever conducted, with an estimate of 46.3 billion barrels of oil and 281 trillion cubic feet of natural gas
The Wolfcamp Shale and overlying Bone Spring Formation in the Delaware Basin portion of Texas and New Mexico's Permian Basin province contain a lot of energy that is just waiting to be extracted. It means that American energy dominance is within our grasp. Infrastructure needs to be built, refineries need to be built, and government needs to get out of the way and allow industry to do what they do, safely and with an eye toward protecting the environment.
This could be bad news for the Middle East because US/Canada could be the new OPEC. It is clearly horrible news for Russia because they had entertained hope that one day THEY would be able to set the price of crude oil - and change the mandatory exchange currency from dollars to rubles. If wishes were horses, beggars would ride.
The new oil field will produce many tens of thousands of dollars of jobs in the US and will lead to trillions in profit (and taxes for the US Treasury). I've often said that oil is the American escape clause for the massive and increasing national debt. I still believe that could be possible but it's impossible to implement with a government intent on growing larger and spending more.
The location of that much energy under the ground in America's heartland means that it is local, easy to access and easy to defend.
This could be bad news for the Middle East because US/Canada could be the new OPEC. It is clearly horrible news for Russia because they had entertained hope that one day THEY would be able to set the price of crude oil - and change the mandatory exchange currency from dollars to rubles. If wishes were horses, beggars would ride.
The new oil field will produce many tens of thousands of dollars of jobs in the US and will lead to trillions in profit (and taxes for the US Treasury). I've often said that oil is the American escape clause for the massive and increasing national debt. I still believe that could be possible but it's impossible to implement with a government intent on growing larger and spending more.
The location of that much energy under the ground in America's heartland means that it is local, easy to access and easy to defend.