US Crude Oil Reserves Surpass Saudi Arabia and Russia
Oslo, Norway -based Rystad Energy estimates the US now has 264-B bbls of recoverable Crude Oil
The United States now holds more recoverable Crude Oil reserves than Saudi Arabia and Russia, according to a new report.
Norway-based Rystad Energy estimates the US now has 264-B bbs of recoverable Oil from existing fields, discoveries and undiscovered areas compared to 212-B for Saudi Arabia and 256-B for Russia.
The consulting firm’s analysis of 60,000 fields worldwide conducted over a three-year period shows total global Crude Oil reserves at 2.1-T bbl, or 70X the current production rate of 30-B bbl a year.
Unconventional Crude Oil was found to account for 30% of global recoverable reserves, with offshore accounting for 33%. The 7 largest global oil companies hold 10% of the total, according to the firm.
Of the US reserves, more than 50% are estimated to be in the form of unconventional tight (shale) Oil, with Texas alone believed to hold some 80-B bbl.
The US shale Oil boom was the catalyst for the drop in prices since June 2014, when Saudi Arabia led an OPEC policy of increasing production to price out unconventional producers.
The resulting surplus saw prices drop below 30 bbl earlier this year before recovering to around 50 bbl recently.
Rystad said its estimates were different to other sources like the BP Statistical Review, which are based on official reporting from national authorities.
“Some OPEC countries like Venezuela report official reserves apparently including yet undiscovered Oil, while others like China and Brazil officially report conservative estimates and only for existing fields,” it said.
Rystad warned that its estimates suggested there was a “relatively limited” amount of recoverable Crude Oil left on the Planet.
“With the global car-park possibly doubling from 1 to 2-B cars over the next 30 years, it becomes very clear that Crude Oil alone cannot satisfy the growing need for individual transport,” the firm said.
- By Robert AndersonPaul Ebeling, Editor