Why Oil and Gas Are Crucial for the Economy

The fossil fuel industry impacts the economy, directly and indirectly. The health and wellbeing of the economy depend on the growth of the oil and gas industry. These naturally-occurring hydrocarbons don’t just keep the economic wheels running but crown the US as a global trade leader.

According to EIA’s Short-Term Energy Outlook (STEO), the United States has ascended the global rankings and surpassed Russia and Saudi Arabia in crude oil production. Currently, the country is the leading oil producer in the world. This rank opens many gateways to profitable economic opportunities for US residents and offers political leverage to the country.

To protect our status as the global leader, we need to keep drilling oil rigs and producing oil and gas industry thriving.

Oil is The Primary Energy Source In the World

Oil and natural gas fulfill half of the world’s quota for energy requisites. Without oil production, 50% of the world would be steeped in darkness, and the economic engines would come to a jarring halt.

Renewable or sustainable forms of energy cannot cover this share of energy. They're not only costly to produce, but offer low caloric value and unreliable chances of success.

The fossil fuel industry needs to keep running at the current pace if we want our daily commercial, corporate, and residential operations to go on seamlessly.

Energy Independence with Domestic Oil Production

Being a rank-holder in global oil producers saves us from being dependent on another nation for energy. Importing foreign supply of fuel harms the balance of trade and deprives us of the independence we've enjoyed.

The price of oil and gas exports would then govern our domestic economies. The invisible hands of supply and demand will be visibly controlled by foreign oil producers, leading to the onset of an economic decline.

Hydraulic fracturing or fracking was a significant breakthrough for the oil and gas industry, after which the country become energy independent. International conglomerates such as OPEC no longer have their claws in the US' energy industry, thanks to shale oil production.  

Affordable Energy Sourced Locally

Now that the oil industry is expanding and reaching new heights, we can export crude oil. This has allowed domestic exporters to secure a niche in international energy markets and open a new income channel.

Thus, oil companies can make generous profits without charging high prices from local buyers. This is crucial for domestic development because an average American has to pay less on energy and other utilities. Low prices facilitate cheaper production, transportation, and shipping, which keeps the cost in check for value-added products.

 

Now is the time to get your hands into the rich oil reserves and start making the green. If you’re looking for affordable but high-quality oilfield instrumentation, look no further.

Contact Instruments is a leading manufacturer of OEM instrumentation in Canada with a production facility in Leduc, Alberta. They supply drilling equipment such as mud pressure gauges, custom cables, or clipper weight indicators for Canadian and American oil companies at affordable rates.

Check out their full range or call at 780-955-8998 for more information.