Crude oil export benefits

A summary of US crude oil benefits as presented by Ryan Lance, CEO and Chairman, ConocoPhillips to policymakers.

Abundance

  • All domestic oil should be allowed to compete freely in the global market.
  • The value received by oil exports would be commensurate with global prices.
  • The domestic price discount on light oil would be greatly reduced.
  • There would be increased cash flow for reinvestment.
  • A greater volume of wells and drilling plays would be come economic.
  • Investment in new production in the US would increase.

Economic benefits

  • Savings to consumers on fuel could hi US$18 billion /y.
  • Job creation and economic development would improve.
  • Between 2016 and 2030, expanded markets would incentivise US$750 billion in new exploration and production investment.
  • The US would gain US$135 billion /y in GDP at the peak.
  • At the peak, 1 million direct or supply chain jobs would be created.
  • Trade balance would improve by US$67 billion /y.
  • The US government would gain US$1.3 trillion in higher federal, state and local taxes and royalties between 2016 and 2030.

Jobs

  • Energy production prevented the US downturn from being worse and spurred recovery.
  • Oil and gas sector jobs expanded while others lagged behind.
  • Since 2007, oil and gas jobs have increased by 65%.
  • Total private sector growth only hit 2%.

Edited from press release by Claira Lloyd

Published on 15/01/2015


Get your FREE Oilfield Technology magazine »

Get your FREE trial of Hydrocarbon Engineering magazine »

Get your FREE trial of World Pipelines magazine »


 
 

Related articles

Pro US crude exports

Ryan Lance, CEO and Chairman of ConocoPhillips has spoken in favour of US exports of surplus crude oil.

US crude exports and re-exports

The US Energy Information Administration has said that crude exports and reexports are continuing to rise.

US crude exports rise in April

According to the US Energy Information Administration (EIA), US crude exports rose to the highest levels in 15 years in April.

US crude inventory levels drop

According to the American Petroleum Institute, that has be a massive crude inventory drop of 12 million bbls.

Recommend magazines

  Hydrocarbon Engineering  Oilfield Technology