United States Oil Production Beats Saudia Arabia Via Fracking, Why Are Gas Prices High?

[applegrove]

United States Oil Production Beats Saudia Arabia Via Fracking, Why Are Gas Prices High?

http://www.inquisitr.com/995051/united-states-oil-production-saudia-arabia-fracking-why-are-gas-prices-so-high/#utm_source=website&utm_campaign=wpbirdnest&utm_medium=web

"SNIP..........................



And it just so happens that the reason United States oil production has has risen more than 50 percent in the past five years is due to fracking. Most of the US crude oil, and natural gas, was stuck in shale rock and was unreachable for many years. Fracking works by pumping a mix of water and chemicals down into wells in order to break up the rock and release the trapped oil. But it took advancements in the fracking technology before it became cost effective for United States oil production.

In fact, the US met 89 percent of its own energy needs in March of 2013 and as of now is the world’s largest oil producer, surpassing even Saudia Arabia according to the PIRA Energy Group:


“(The U.S.) growth rate is greater than the sum of the growth of the next nine fastest growing countries combined and has covered most of the world’s net demand growth over the past two years. The U.S. position as the largest oil supplier in the world looks to be secure for many years.”

......

Part of the reason fracking is cost effective is because the oil futures markets have pushed the price of crude oil over $100 per barrel on the open market. Plus, only some of the fracking equipment has been shifted over from hunting for natural gas.

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[applegrove]

1. Is this why the left is silent on the high price of gas? Because

complaining might result in more fracking and keystone?

[dballance]

2. Oil Prices are set in the GLOBAL market. Not in local US markets.

So fracking and drill baby drill do nothing to positively affect local prices.

[dionysus]

3. because the oil doesnt belong to the US, it belongs to the multinational oil conglomerates who set

their own prices, aided by speculators.

[earthside]

4. Well, Fracked Oil is Cost Effective ...

... at $100+ a barrel.

[Initech]

5. Oil futures market = controlled by Koch Industries

[kelliekat44]

6. BINGO!! nt

[NuclearDem]

7. Because it goes on the world market and the companies with the oil set the prices