Memorial Day travelers and the businesses that cater to them are reaping the benefits of increased U.S. oil and natural gas production, said API Chief Economist John Felmy.
“As we head into the Memorial Day weekend, motorists are getting some welcome relief at the pump,” said Felmy on a press conference call today. “Thanks to hydraulic fracturing and horizontal drilling, the U.S. is experiencing a renaissance in domestic oil and natural gas production. The benefits for U.S. consumers – as well as manufacturers, the travel and tourism industry and frankly our entire economy – are hard to overstate.”
The national average price of gasoline is about $1 per gallon less than it was at this time last year, according to AAA.
“Government policymakers should not take these things for granted,In order to maintain a robust supply of domestic oil, it is essential that the industry be allowed to explore for and develop new resources.” – John Felmy
“That means companies must be able to lease acreage and obtain permits in a timely fashion. It also means the federal and state governments should avoid punitive tax regimes that would cause energy companies to look elsewhere for the best opportunities.
“Geopolitical turmoil that takes foreign oil supplies offline can be difficult to predict or control, but the U.S. will always have control over how much energy we produce here at home. With the right policies, our energy renaissance can endure for decades and help even more families afford to take a vacation on Memorial Day weekend.”
API represents all segments of America’s oil and natural gas industry. Its more than 625 members produce, process, and distribute most of the nation’s energy. The industry also supports 9.8 million U.S. jobs and 8 percent of the U.S. economy.
SAFE HARBOR STATEMENTS:
Certain statements in this blog post may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release and other potential future plans and objectives of the company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statement.
(Market Watch) – Oil futures rebounded sharply Monday, with the U.S. benchmark closing at its highest level in seven weeks on signs of strengthening Asian demand and expectations a preliminary agreement to curb Iran’s nuclear program won’t see the market immediately swamped with more crude.
On the New York Mercantile Exchange, West Texas Intermediate crude for delivery in May CLK5, +5.70% jumped $3, or 6.1%, to close at $52.14 a barrel. That marked the highest close for a most-active futures contract since Feb. 17.
“The gap between supply and demand is not as wide as people thought it was,” said Paul Crovo, a Philadelphia-based oil analyst at PNC Capital Advisors
US refineries used 15.9 million barrels a day of crude in the week ended March 27, the highest seasonal level in Energy Information Administration data going back to 1989.
Iran and world powers reached a preliminary accord April 2 over its nuclear program. The US and European Union would lift economic sanctions if the International Atomic Energy Agency verifies Iran’s compliance with curbs on its nuclear program
“In the second half of 2015,the trend is more up than down. You’ll start to see more of a demand response to lower oil prices.” – Paul Crovo
People realised that we aren’t going to see a big influx of Iranian oil in the market for at least the next three to six months. The risk reward is poised on the upside,The Saudis raised their prices to Asia and it’s kind of supportive.”
Headquartered in Texas at Dallas, Aschere energy is known to be a leader in the oil and gas industry. The company has a team of very qualified and competent professionals in their employ who have immensely contributed towards making the company play a significant role in the energy revolution that is sweeping through North America, especially the United States. This set of experienced professionals has been able to focus on research and development in all the relevant existing fields. The company continues to participate in a number of fast growing industry trends in the country, prominent among which is the Eagle Ford Shale.
Aschere energy is well known to take a unique approach to the market scenario, by preferring to put most of its resources into regions that have already proven to be doing exceptionally well in the past. They ensure that they employ a number of strategies, making sure that they meet all the challenge, along the way ahead. The company has many partners for different projects with whom they have agreements depending on the requirements and also cost sharing, which is also very important. This helps them deliver the projects they undertake, on time at affordable costs.
Aschere energy however has ensured that they limit the scope the partner commitments but using participation agreements. This clearly sets out strict cost constraints for the well drilling and completion of the other phases of the projects. The company tends to act as an interest partner and take on the responsibility for a considerable share of all the operational expenses. They also maintain good and steady relationship with reputed service companies that help with seismic mapping, drilling, thus enabling many projects to be initiated.
As compared to the competitors in the industry, Aschere energy has been able to produce greater results. This has been made possible by the above mentioned long term standing contractual agreements they have with service companies that provide well and drilling services. By working cohesively in a planned manner with these companies, it has become easier for them to guarantee that every single project is completed to the satisfaction of the client without any delay.
The United States government has also ensured that their policies are altered to support this energy resurgence in the country. These industry friendly policies combined with the sound infrastructure will definitely help the country, to stay ahead of competition in the shale and tight oil industry. It is expected that companies such as Aschere energy will use the various investments made in the infrastructure and technology sectors, to develop further and become key players in the global energy market. They can also increase production, add new professionals and make considerable contributions to the local, state and the national economies.
Besides focusing on successful drilling projects Aschere energy also provides a very positive atmosphere for its employees to grow in their careers along with the company. The company also has internal network of knowledge aimed at this purpose. They offer world class training, professional mentoring and also other relevant educational services. It is no wonder that trained professionals opt to work for this company as they are assured to get the incentive to grow personally and professionally too.
Aschere energy is based out of Texas and it is known to lease out to existing oil and gas fields. These fields offer high production success rates. The company employs state of art drilling technologies and is therefore able to drill and finish the wells, at very affordable and cost effective prices. Their charges are considerably lower than that of their competitors’. Aschere energy basically takes up drilling offset wells that are positioned in close proximity to the existing oil or gas producing sites. These prospects are located well within the reservoirs that are already mapped out.
Energy is known to be a very volatile industry in the world today. The need for additional sources of both gas and oil has never been greater than today, as the consumption grows and the demand consequently increases. Till a few years ago North America and especially United States largely depended on the supplies from foreign lands, especially for their oil and gas requirements. But in the last several years there has been a great change of scene. This has been a kind of renaissance which is now showing the potential for a resurgent US industrial recovery largely based on the production of cheaper local based energy. Thus companies like Aschere Energy are playing a very important role in the energy revolution. There has been a huge increase in tight oil and shale-gas extraction in the recent times, which has added an impetus to this revolution.
Consequently the government policies have also become very industry friendly. This combined with the better access to drilling sites, various market incentives, stabilization of property rights etc, has helped the companies such as Aschere Energy are able to contribute significantly in the field of oil and gas extraction in the United States. These companies are poised to once again strike it big in the field. All the above point have been welcome incentives and the engineers have been successful in using their skills and the latest in the technology field, to help the country inch very close to being self sufficient and more than being able to meet the energy requirements of the country.
The United States might well surpass Saudi Arabia in the daily oil output in the next few years. The driving force is the non-OPEC production which in the next decade will be responsible for the growth in the global supply. Thus the energy revolution in North America appears definitely unstoppable. As the United States also undergoes energy regeneration, you can be sure that companies such as Aschere Energy will have a large role to play in it. This company is poised to be one of the major players in tight oil production in the United States.
Aschere Energy has many partners with whom they have participation agreements. These agreements set out very stringent cost parameters relating to the well drilling and completion phases of all the live projects The company is renowned for maintaining longstanding relationship with well established service providers, who undertake drilling and seismic mapping. This kind of organized planning enables the company to initiate various projects and successfully finish them within the planned time frame.
Over the past year, energy prices have reached lows not seen in almost seven years, and this development has caused many legislators and energy experts to consider whether the United States is relying on outdated energy policy to forge a path into this new era. Not only large energy companies, but smaller concerns such as Aschere Energy Dallas can play a significant role in making the U.S. an energy leader in coming years.
Expanding Energy Increases U.S. Strength
Greater expansion of American energy resources can have a number of favorable consequences for the country. Expansion can create jobs that will stabilize the U.S. economy, creating more jobs, and a more secure workforce that is better able to participate in the consumer economy. But this expansion will also have wider ranging effects. US energy exports to Europe and other countries will diminish the influence of troublesome nations in the world marketplace. In March of 2014, Senator Lisa Murkowski of Alaska pointed out the advantages of using the country’s energy reserves to provide greater security around the world, decreasing reliance on countries with governments that are known to support groups that work to destabilize nations that depend on their oil reserves. Senator Murkowski emphasized the importance of moving quickly to take advantage of this new abundance in energy production to secure the nation’s role as an energy superpower.
U. S. Increases It Market Share
Over the last decade, U.S. energy exports have tripled from 4 quadrillion btu’s to over 11 quadrillion btu’s in 2013. Recent data indicate that America has moved from a net energy importer in the global market to an energy exporter. The Senator from Alaska proposes that the current ban on exporting crude oil be lifted and that second-guessing the marketplace by placing arbitrary restrictions on natural gas for export be stopped, because it directly hampers the country’s ability to use these resources effectively for the national good.
The Role of Smaller Energy Companies
US energy exports can be facilitated not only by relying on the energy giants to lead the way, but also by providing support for smaller energy companies who are also benefiting from the new technologies in oil and gas production. These enterprises are moving into areas such as offshore drilling off the Louisiana coast and refining of crude supplies. Companies like Aschere Energy Dallas can contribute to America’s efforts to increase the country’s expansion of its energy markets to help to create a more peaceful and secure planet.
A decline in gas prices has been a relief to many consumers planning for travel during the winter months. Businesses have also been affected by the fluctuating prices. In response to the changing prices, companies are exploring options to remain stable during the times of uncertainty.
Why are oil prices dropping?
Oil prices have changes due to reduced consumptions and demand for oil. Greater competition from other energy sources is another reason for the reduced gas prices. Higher domestic production levels have also contributed to decreased demand for foreign oil. OPEC’s goal to maintain competitive pricing has been in response to the growing competition and decreased demand. With all of these factors affecting gas prices, consumers and business owners stand to win in several ways.
How are gas prices affecting energy companies?
Companies in different areas are benefiting from the lower gas prices. Lower energy costs increases the amount of funds available to consumers for spending. Companies with transport and logistics needs benefit from the lower prices. Businesses relying on shipping like farmers and manufacturers can spend less in overhead in maintaining their fleets. Energy companies have taken an interesting approach to addressing the lower gas companies.
What are the available opportunities for energy companies?
Companies recognizing a need to increase profitability amid the declining gas prices benefit from exploration. These companies have invested in drilling in deeper waters and other experimental methods like fracking to increase their bottom line. Others are expanding their portfolio of services to explore the opportunity of incorporating renewable energy sources into the services offered. Companies like Aschere Energy have made the decision to pivot and explore new directions to protect their profitability. Aschere Energy has started to invest in developmental drilling practices and focusing drilling efforts in unexpected areas. Energy businesses have learned to diversify their portfolios of services effectively in order to improve their bottom line in a climate where countries are adopting economic policies centered on diversification and energy-independent policies.
Falling fuel prices benefit consumers the most. Businesses can lower their operating costs as a fuel prices continue to drop. Energy companies are investing more in diversification and energy exploration practices to build and grow their businesses. For more information Click Here!
Energy is a volatile industry in today’s world. As consumption increases and demand grows, the need to find additional sources for oil and gas has never been greater. While in the past North America, particularly the United States, has had to rely upon foreign suppliers for much of its oil, a renaissance has taken place in the past several years. As a result, the potential now exists for a U.S. industrial recovery based on the production of cheap energy. With huge increases in shale-gas extraction and tight oil, companies such as Aschere Energy are playing a vital role in this energy revolution.
With companies such as Aschere Energy Dallas and other cities in Texas are poised to once again strike it big in oil and gas. Through a combination of government policies that have become more industry-friendly, increased access to drilling sites, the stabilization of property rights and various market incentives engineers have been able to use their skills and the latest technology to help North America get closer and closer to being self-sufficient regarding energy.
With the United States ready to surpass Saudi Arabia in daily oil output and non-OPEC production being the driving force of global supply growth for the next decade, the North American energy revolution appears ready to be unstoppable. It’s estimated by 2030, one-half of the 16 million barrels per day increase will come from tight-oil, with two-thirds of them coming from U.S. tight oil and oil sands in Canada. As the Southwestern U.S. undergoes an energy revitalization, Aschere Energy will be one of the major players in tight oil production.
Most experts agree that government policy is the driving force behind these changes. While East Asia, Latin America and Africa have substantial shale and tight oil resources that equal or surpass the United States, the combination of government policy and sound infrastructure will allow the U.S. to stay ahead of the competition. With Aschere Energy Dallas and other major oil-production cities in Texas will use the investments made in technology and infrastructure to once again become key players in the world’s energy market, enabling them to increase production, add new employees and make significant contributions to the local, state and national economies.
While the future of the energy industry is always changing, using the correct combination of technology and policy will let the North American energy revolution produce extraordinary results in the coming years.