The petroleum industry is one of the world’s primary sources of fuel. It provides people with the necessary power to commute to work, keep a home warm, and enjoy the aspects of modern life. These benefits, however, come with a price tag that some people may find to be a bit heavy.
Petroleum Industry Statistcs
The United States imports 5.3 million barrels of petroleum products every day.
This fossil fuel is created most often when plant and animal life becomes trapped underneath the surface and is then subjected to high amounts of heat and pressure. The use of them is believed to be a major contributing factor to the creation of greenhouse gasses and there is some thought that there is a finite amount of petroleum on the planet – an amount that could be reached in the near future.
Three Essential Facts About the Petroleum Industry
1. The average price for a barrel of petroleum as of January 2014 was $104.71. This is $5 less per barrel than the same average from the previous year.
2. 72.1 billion cubic feet of natural gas that was marketed by the United States was produced in November 2013, the last period for when data is available.
3. There are 1,769 active rotary drilling rigs in operation in the United States right now.
Takeaway: There is certainly a reliance on petroleum products in the developed world right now. As China continues to develop their resources, this global reliance will only create more competition for limited products within the industry. This will ultimately drive up costs for consumers, especially American consumers who utilize these products every day in some way. Finding a way to either reduce imports by producing more efficient items or finding new domestic sources may be the only way for countries to be competitive in the future.
Additional Facts About the Petroleum Industry to Know
1. The United States produces over 8 million barrels of petroleum products per day. This means the American economy utilizes over 12 million barrels daily of this fossil fuel.
2. The State of Alaska contributes over 500,000 barrels per day to the global economy, most of which is utilized by the American public.
3. The average acquisition cost for a barrel by a refiner in January 2014 was $93.64, down more than $1 from the year before.
4. The total amount of petroleum products that was delivered to the domestic market in January 2014 averaged just over 19 million barrels per day – an increase of 3%.
6. Gasoline deliveries are up 1.1% over the previous year.
7. Part of the reason for increased global demand of these products is a cooler winter season as heating degree days rose by nearly 20% in 2013.
Takeaway: There are ebbs and flows within this market, but one simple truth cannot be denied: the United States accounts for about half of the total usage of product within this industry. Although no one person can make a dramatic impact on these statistics, it is possible for everyone to contribute by minimizing waste whenever possible. Not only could this help to prolong reserves that could be limited, but it will ultimately save folks money too.