The BAKKEN OIL BUSINESS JOURNAL is a high-gloss, full-color magazine with a targeted distribution that gets our Advertisers in front of the RIGHT EYES in this industry. Direct mailed to Companies in the Bakken with bonus distribution at Energy Shows.

Issue link:

Contents of this Issue


Page 20 of 51

Read online @ B A K K E N O I L B I Z . C O M / d i g i t a l - j o u r n a l 21 ‚ě§ continued, pg 22 If there's one development that every military leader must face, it's the pros- pect of a reversal of fortune. One day the battle is going in your favor, then, with little warning, the balance chang- es in favor of the other side. With respect to oil, for a long time, the army holding the upper hand was known as OPEC. For reasons tied to politics and technology, the US was willing to wage a low-intensity war against the oil cartel, which was doing its best to extract as much capital as possible from the world's oil consum- ers. The participants, including the US, had become docile and complacent. OPEC was in charge and enjoying its dominance. The bias favoring OPEC stood for about 40 years. Then things changed. A lot. By: CHRIS BISCHOF After years of experimenta- tion, US oil & gas companies successfully combined hydraulic fracturing and horizontal drilling. The merging of the two led to huge production increases. Over the last five years, daily oil pro- duction increased by more than 3.5 million barrels. However, to protect its market share, in 2015 Saudi Arabia in- creased its daily production by 700,000 barrels. Adding to global supplies was Iran, which raised its production from 3.3 million barrels per day (bpd) in 2014 to 4.2 million bpd in 2015. More recently, US sanctions limiting Iran's production were lifted. As a result, Iran's production will in- crease by another 500,000 bpd. Iran is now the leading provider of oil to India. Recently, Iranian oil ministers met with the Energy Minister of Greece with the expectation of resurrecting a former agreement to supply oil to that country. Prior to 2012, Iran was shipping 120,000 barrels a day to Greece. It also appears there are plans to ship Iranian oil in Japanese and Chinese ships. Russian oil output is also growing. The country is now sending their oil to Asian markets via pipelines. But the surge in global production is arriving as growth in the econo- mies of Third World countries and China has begun to slow. C rude The OIL BATTLEFIELD THE WARRIORS Travis Dewitz -

Articles in this issue

Links on this page

Archives of this issue

view archives of BAKKEN OIL BUSINESS JOURNAL - BakkenJournal_Feb-March16