The U.S. oil and gas industry is about to get even bigger in the next decade, with the country continuing to grow in its role as a global energy superpower. Domestic producers have been exporting gas, liquids, crude and petrochemicals, and these volumes will keep growing.
What will the impact be on prices? At first glance it would be easy to predict they’ll go up as the U.S. gains market share in various regions. However, other countries are also increasing their export volumes, demand dynamics are changing and there are important geopolitical considerations that will impact pricing in both the short and long terms.
“We’ll start to see shorter cycles in the crude oil market so that instead of 15-year cycles, we’re going to see three- to four-year cycles,” Dan Lippe, managing partner, Petral Consulting Co., told Hart Energy.