In this week’s readers’ Q&A session, Jack Gerard, head of the API, the voice of the US oil industry, answers your questions.
In the first of two posts, he discusses the importance of energy efficiency, why drilling curbs should be eased and where the world will find new sources of oil.
In the second post, published above, he discusses peak oil, the potential of natural gas, and what the API’s lobbying achieves.
Next in the hotseat is Magued Eldaief, the head of GE’s UK energy business. He ill be answering your questions next Friday, January 21st. Send in your questions for consideration by the end of Sunday, January 16th to firstname.lastname@example.org.
But for now, over to Jack:
The majors have a history of selling what they believe are their “cast offs” to the small, independent oil and gas producers because they see little value in them. When they all left the US for global markets, writing the US off as “mature” back in the 1970s, the independents picked up the pieces and carried on.
Not only did many continue to make a profit over the years, but they came up with new technology and expertise that cracked the code to making shale gas and now shale oil economic. The US is now a virtual boom town for energy resources.
So it is interesting to see that the majors, now back in the US and rushing to pick up shale assets from the independents, are selling their conventional assets in both the US and Canada.