Transformative Changes in World Energy Production and Trade

“Major changes in oil production have transformed the U.S. from a major importer to a major producer and sometime exporter of oil,” writes Thomas Grennes, Poole College professor of economics in Roubini’s EconoMonitor.

“The market power of OPEC and its non-member collaborators has been weakened (Libya and Nigeria have been exempted from current quotas). In addition to new sources of oil production, we are now hearing increasingly about limits to oil demand and when the peak oil DEMAND will be reached (Bloomberg). … “The result of fast growth in oil supply and slower growth in demand has been persistently low oil prices since December 2014.”  In this post, he provides an overview of changes in oil and natural gas production in the U.S., Russia and Saudi Arabia, and the impact of the U.S. Jones Act. Read the full story.