production

The United States is emerging as the world’s energy powerhouse. Two months ago, the United States became the largest producer of crude oil. Exports of crude oil, oil products and natural gas are rising rapidly.

Plummeting oil prices, which are largely the result of the U.S. hydraulic fracturing revolution that has nearly doubled oil production in the United States since 2008, have left many oil-exporting nations around the world reeling. The price drops have been particularly hard on nations in the Organization of Petroleum Exporting Countries (OPEC). Myriad OPEC governments are now stuck relying on dwindling oil revenues to fund large portions of their important social welfare programs, many of which are essential to maintaining national stability.

With less than a year left in office, President Barack Obama is upping the pressure on America’s fossil fuel industries with a slew of new regulations and tax proposals.

The decades-old legislation that prevented American producers from exporting oil is officially overturned—despite previous presidential threats to veto a bill to lift the oil export ban. That’s good policy. However, to get the support of “reluctant Democrats,” The Economist reports: “an additional five years of tax credits for wind and solar power” was part of the package. That’s bad energy policy.

Oreos have been for years made in Chicago, Illinois (and several other American cities). Mondelez International, Inc. – the company that delivers us the chocolatey, spherical goodness – announced they would make their next wave of Oreo manufacturing investment not in Chicago, but in Mexico. This move will reduce – not end – Chicago’s role in production. Jobs in the Windy City will be halved – from 1,200 to 600. (Other cities will continue their current roles.)

Approximately 800 million people are currently malnourished, and the world’s population is expected to rise by 2 billion by the year 2050. If we use current technologies—or, Heaven forbid, roll back use of modern agricultural practices—we will have to plow down literally millions of acres to relieve the projected hunger expected to come as a result of the growing population. Fortunately, a widespread embrace of biotechnology and genetically modified (GM) crops can help ensure there is enough food for all.

In today’s edition of The Heartland Daily Podcast, Isaac Orr, research fellow for energy speaks with Wally Drangmeister. Drangmeister, from the New Mexico Oil and Gas Association, joins Orr to talk about oil and gas production in New Mexico.

Even with prices 40 percent lower than a year ago, we remain the world’s No. 1 producer of crude oil and other liquid hydrocarbons. Imports of oil have dropped from 60 percent of consumption to about 35 percent just in the past five years. We’re also the world’s largest producer of natural gas.

After years of rising gasoline prices, people are puzzled by the recent drop that has a gallon of gas at levels not seen in nearly four years. Typically in times of Middle East unrest, prices at the pump spike, yet, despite the violence in Iraq and Syria, gallon of gas is now at a national average of $3.

I live in the best environmental conditions in the history of mankind. Even in Chicago, my air and water is far cleaner than the air and water used by cavemen…