The U.S. has now surpassed Russia as the leading energy producer in the world, producing nearly 2 million barrels of oil per day, reports Bloomberg News.
According to the financial news website, the U.S. produced 1.6 million barrels of oil per day in 2014, according to figures from BP’s Statistical Review of World Energy. With the production of natural gas also increasing at a rapid rate, the U.S. passed Russia as the nation producing the most energy.
“We are truly witnessing a changing of the guard of global energy suppliers. The implications of the shale revolution for the U.S. are profound,” Spencer Dale, BP’s chief economist said in a presentation on the new findings on June 10.
The report also showcased the weaknesses in China’s output, with the nation’s economy growing at the slowest pace since the financial crisis of the 1990s, Fox News reported.
“Growth in some of China’s most energy-intensive sectors, such as steel, iron and cement — which had thrived during China’s rapid industrialization — virtually collapsed in 2014,” Dale said.
Due to the energy boom in America, manufacturing has also soared. More companies are making their products in domestically rather than overseas because the nation produced nearly 90 percent of the energy it consumed last year, Bloomberg noted.
Oil consumption continues to decline worldwide and, specifically in the U.S., has led to a steep drop in gasoline prices. Oil prices have fallen around 40 percent in the past year, and gas prices have also dropped.
Despite increased resistance and restrictions on coal, the world’s coal use increased last year, by 0.4 percent. While that is slower that the average of 2.9 percent, it still poses a problem to environmentalists who wish to remove coal production from all manufacturers throughout the world.
Photo Credit: American Chemical Society