There is an ongoing power shift in the world energy market that is receiving scant attention in the MSM. The International Energy Agency (IEA) in its annual publication, World Energy Outlook, predicts that the U.S. will dominate the global oil and gas markets for many years to come as a result of the shale boom, which is the biggest supply surge in history.
By 2025, the growth in American oil production will equal that achieved by Saudi Arabia at the height of its expansion, and increases in natural gas will surpass those of the former Soviet Union, the agency said…. The boom will turn the U.S., still among the biggest oil importers, into a net exporter of fossil fuels. (emphasis added)
More @ American Thinker
As is always the case this is cyclic....the US dominated energy markets a century ago...till after WWII when US companies began exploiting resources in other places (only to see criminals in those places STEAL the infrastructure under the guise of 'nationalization'). Then our dominance declined. This too is a peak in the cycle. The newer extraction technologies will eventually deplete the new reserves and production will fall allowing some other country, say Russia, to gain ground. Cycles are a natural part of economic activity. This "dominance" is not permanent. The key is to know when to invest and when to get the hell out of that market.
ReplyDeleteThe key is to know when to invest and when to get the hell out of that market.
DeleteAs is all markets. Can't buy at the bottom and sell at the top, need to do both somewhere in the middle and then you still need luck.