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%.

Read the article online at: https://www.oilfieldtechnology.com/exploration/15012015/crude-export-benefits-nutshell/