DOCSLIB.ORG

Analysis and Forecast to 2026 INTERNATIONAL ENERGY AGENCY

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Analysis and Forecast to 2026 INTERNATIONAL ENERGY AGENCY Oil 2021 Analysis and forecast to 2026 INTERNATIONAL ENERGY AGENCY The IEA examines the full spectrum of IEA member countries: Spain energy issues including oil, gas and Australia Sweden coal supply and demand, renewable Austria Switzerland energy technologies, electricity Belgium Turkey markets, energy efficiency, access to Canada United Kingdom energy, demand side management Czech Republic United States and much more. Through its work, the Denmark IEA advocates policies that will Estonia IEA association countries: enhance the reliability, affordability Finland Brazil and sustainability of energy in its 30 France China member countries, 8 association Germany India countries and beyond. Greece Indonesia Hungary Morocco Please note that this publication is Ireland Singapore subject to specific restrictions that Italy South Africa limit its use and distribution. The Japan Thailand terms and conditions are available Korea online at www.iea.org/t&c/ Luxembourg Mexico This publication and any map included herein are Netherlands without prejudice to the status of or sovereignty New Zealand over any territory, to the delimitation of international frontiers and boundaries and to the Norway name of any territory, city or area. Poland Portugal Slovak Republic Source: IEA. All rights reserved. International Energy Agency Website: www.iea.org Market Report: Oil 2021 Abstract Abstract World oil markets are rebalancing after the Covid-19 crisis spurred an unprecedented collapse in demand in 2020, but they may never return to “normal”. Oil 2021, the IEA’s latest medium-term outlook, explains why. Rapid changes in behaviour from the pandemic and a stronger drive by governments towards a low-carbon future have caused a dramatic downward shift in expectations for oil demand over the next six years. This is forcing hard decisions on oil-producing countries and companies, which are reluctant to leave resources untapped or to install new capacity that would only sit idle. Could oil demand peak sooner than expected? Or is the world heading into a supply crunch? What will the implications be for the refining industry and trade flows? Oil 2021 tackles these questions by analysing oil market data, trends in investment and government policies. The report provides a comprehensive outlook for global supply and demand through 2026 and explores some of the challenges and uncertainties that lie ahead. PAGE | 1 IEA. All reserved. rights Market Report: Oil 2021 Table of contents Table of contents Executive summary .................................................................................................................................................................................................................................... 3 Demand ........................................................................................................................................................................................................................................................ 8 Global demand overview ....................................................................................................................................................................................................................... 9 Fundamentals ......................................................................................................................................................................................................................................13 Energy transitions ................................................................................................................................................................................................................................17 Global oil demand by product ..............................................................................................................................................................................................................22 Regional developments .......................................................................................................................................................................................................................40 Supply ........................................................................................................................................................................................................................................................45 Global supply overview .......................................................................................................................................................................................................................46 Investment ...........................................................................................................................................................................................................................................52 OPEC+ supply .....................................................................................................................................................................................................................................62 Non-OPEC+ ........................................................................................................................................................................................................................................76 Refining and trade ....................................................................................................................................................................................................................................91 Refining and trade overview ................................................................................................................................................................................................................92 Refining capacity .................................................................................................................................................................................................................................95 Implications of supply, demand and the energy transition ................................................................................................................................................................104 Regional developments .....................................................................................................................................................................................................................111 Crude and products trade ..................................................................................................................................................................................................................122 Global oil stocks .....................................................................................................................................................................................................................................130 Global oil stocks overview .................................................................................................................................................................................................................131 Focus on Chinese crude oil storage ..................................................................................................................................................................................................133 Strategic oil stock developments in other countries ..........................................................................................................................................................................138 Tables ......................................................................................................................................................................................................................................................141 Annexes .............................................................................................................................................................................................................................................142 PAGE | 2 IEA. All reserved. rights Market Report: Oil 2021 Executive summary Executive summary PAGE | 3 IEA. All reserved. rights Market Report: Oil 2021 Executive summary A new normal for oil markets? The global economy and oil markets are recovering from the historic our forecast period, oil demand was nearly 9 mb/d below the level collapse in demand caused by the coronavirus (Covid-19) pandemic seen in 2019, and it is not expected to return to that level before in 2020. The staggering inventory surplus that built up last year is 2023. In the absence of more rapid policy intervention and being worked off and global oil stocks, excluding strategic reserves, behavioural changes, longer-term drivers of growth will continue to will return to pre-pandemic levels in 2021. And yet, there may be no push up oil demand. As a result, by 2026, global oil consumption is return to “normal” for the oil market in the post-Covid era. projected to reach 104.1 mb/d. This would represent an increase of 4.4 mb/d from 2019 levels. Oil demand in 2025 is set to be 2.5 mb/d The pandemic has forced rapid changes in behaviour: from new lower than was forecast a year ago in our Oil 2020 report. working-from-home models to cuts in business and leisure air
Load more

Recommended publications
  • Cenovus Reports Second-Quarter 2020 Results Company Captures Value by Leveraging Flexibility of Its Operations Calgary, Alberta (July 23, 2020) – Cenovus Energy Inc
    Cenovus reports second-quarter 2020 results Company captures value by leveraging flexibility of its operations Calgary, Alberta (July 23, 2020) – Cenovus Energy Inc. (TSX: CVE) (NYSE: CVE) remained focused on financial resilience in the second quarter of 2020 and used the flexibility of its assets and marketing strategy to adapt quickly to the changing external environment. This positioned the company to weather the sharp decline in benchmark crude oil prices in April by reducing volumes at its oil sands operations and storing the mobilized oil in its reservoirs for production in an improved price environment. While Cenovus’s financial results were impacted by the weak prices early in the quarter, the company captured value by quickly ramping up production when Western Canadian Select (WCS) prices increased almost tenfold from April to an average of C$46.03 per barrel (bbl) in June. As a result of this decision, Cenovus reached record volumes at its Christina Lake oil sands project in June and achieved free funds flow for the month of more than $290 million. “We view the second quarter as a period of transition, with April as the low point of the downturn and the first signs of recovery taking hold in May and June,” said Alex Pourbaix, Cenovus President & Chief Executive Officer. “That said, we expect the commodity price environment to remain volatile for some time. We believe the flexibility of our assets and our low cost structure position us to withstand a continued period of low prices if necessary. And we’re ready to play a significant
    [Show full text]
  • 2015 Annual Report Mission
    2015 annual report Mission Our mission is to facilitate innovation, collaborative research and technology development, demonstration and deployment for a responsible Canadian hydrocarbon energy industry. 2 Vision Our vision is to help Canada become a global hydrocarbon energy technology leader. PTAC Technology Areas Manage Environmental Impacts • Air Quality • Alternative Energy Improve Oil and Gas Recovery • Ecological • CO2 Enhanced Hydrocarbon Recovery • Emission Reduction / Eco-Efficiency • Coalbed Methane, Shale Gas, Tight Gas, Gas Hydrates, • Energy Efficiency and other Unconventional Gas • Resource Access • Conventional Heavy Oil, Cold Heavy Oil Production with • Soil and Groundwater Sands • Water • Conventional Oil and Gas Recovery • Wellsite Abandonment • Development of Arctic Resources • Development of Remote Resources Additional PTAC Technical Areas • Enhanced Heavy Oil Recovery • e-Business • Enhanced Oil and Gas Recovery • Genomics • Enhanced Oil Sands Recovery • Geomatics • Emerging Technologies to Recover Oil Sands from Deposits • Geosciences with Existing Zero Recovery • Health and Safety • Tight Oil, Shale Oil, and other Unconventional Oil • Instrumentation/Measurement • Nano Technology Reduce Capital, Operating, and G&A Costs • Operations • Automation • Photonics • Capital Cost Optimization • Production Engineering • Cost Reduction Using Emerging Drilling and Completion • Remote Sensing Technologies • Reservoir Engineering • Cost Reduction Using Surface Facilities • Security • Eco-Efficiency and Energy Efficiencyechnologies
    [Show full text]
  • Trends in International Arms Transfers, 2020 3
    SIPRI Fact Sheet March 2021 TRENDS IN INTERNATIONAL KEY FACTS w The volume of international ARMS TRANSFERS, 2020 transfers of major arms in 2016–20 was 0.5 per cent lower than in 2011–15 and 12 per cent pieter d. wezeman, alexandra kuimova and higher than in 2006–10. siemon t. wezeman w The five largest arms exporters in 2016–20 were the The volume of international transfers of major arms in 2016–20 was United States, Russia, France, 0.5 per cent lower than in 2011–15 and 12 per cent higher than in 2006–10 Germany and China. Together, they accounted for 76 per cent of (see figure 1).1 The five largest arms exporters in 2016–20 were the United all exports of major arms in States, Russia, France, Germany and China (see table 1). The five largest 2016–20. arms importers were Saudi Arabia, India, Egypt, Australia and China w In 2016–20 US arms exports (see table 2). Between 2011–15 and 2016–20 there were increases in arms accounted for 37 per cent of the transfers to the Middle East (25 per cent) and to Europe (12 per cent), while global total and were 15 per cent there were decreases in the transfers to Africa (–13 per cent), the Americas higher than in 2011–15. (–43 per cent), and Asia and Oceania (–8.3 per cent). w Russian arms exports From 15 March 2021 SIPRI’s open-access Arms Transfers Database decreased by 22 per cent includes updated data on transfers of major arms for 1950–2020, which between 2011–15 and 2016–20.
    [Show full text]
  • Cenovus Energy Inc. (CVE) – Quality and Growth for the Patient Investor
    Portfolio Advisory Group Cenovus Energy Inc. (CVE) – Quality and Growth For The Patient Investor Cenovus was created through the split of Calgary-based Primer on the Oil Sands and energy company EnCana into two separate organizations in late 2009. As a result of this split, many Canadian Steam-Assisted-Gravity-Drainage investors found themselves holding two very different (SAGD) investments: a pure-play natural gas company (EnCana) Including the oil sands, Canada’s oil reserves are the and an integrated oil & gas company (Cenovus). This second largest in the world. Oil sands are composed document aims to provide some insight into the nature primarily of sand, clay, bitumen and water. Bitumen and long-term potential of Cenovus. is the product of oil sands production – a thick oil Cenovus owns oil sands projects that have a tremendous embedded in sand. growth profile over the next decade and are widely Recovery of bitumen is typically achieved by one of viewed as some of the highest-quality assets in the two methods: mining in open pits or drilling. Bitumen industry. However, since inception, the shares of extraction using drilling is referred to as in situ recovery, Cenovus have largely traded within a range. One reason and is generally used for reservoirs that are too deep for is that the company has made a trade-off between near- surface mining techniques to work economically. It is term and future production by drawing cash flows from estimated that approximately 80% of the total bitumen its natural gas business to fund growth in its oil sands recoverable in Alberta can only be produced with in business.
    [Show full text]
  • Equinor Environmental Plan in Brief
    Our EP in brief Exploring safely for oil and gas in the Great Australian Bight A guide to Equinor’s draft Environment Plan for Stromlo-1 Exploration Drilling Program Published by Equinor Australia B.V. www.equinor.com.au/gabproject February 2019 Our EP in brief This booklet is a guide to our draft EP for the Stromlo-1 Exploration Program in the Great Australian Bight. The full draft EP is 1,500 pages and has taken two years to prepare, with extensive dialogue and engagement with stakeholders shaping its development. We are committed to transparency and have published this guide as a tool to facilitate the public comment period. For more information, please visit our website. www.equinor.com.au/gabproject What are we planning to do? Can it be done safely? We are planning to drill one exploration well in the Over decades, we have drilled and produced safely Great Australian Bight in accordance with our work from similar conditions around the world. In the EP, we program for exploration permit EPP39. See page 7. demonstrate how this well can also be drilled safely. See page 14. Who are we? How will it be approved? We are Equinor, a global energy company producing oil, gas and renewable energy and are among the world’s largest We abide by the rules set by the regulator, NOPSEMA. We offshore operators. See page 15. are required to submit draft environmental management plans for assessment and acceptance before we can begin any activities offshore. See page 20. CONTENTS 8 12 What’s in it for Australia? How we’re shaping the future of energy If oil or gas is found in the Great Australian Bight, it could How can an oil and gas producer be highly significant for South be part of a sustainable energy Australia.
    [Show full text]
  • [20Pt]Algorithms for Constrained Optimization: [ 5Pt]
    SOL Optimization 1970s 1980s 1990s 2000s 2010s Summary 2020s Algorithms for Constrained Optimization: The Benefits of General-purpose Software Michael Saunders MS&E and ICME, Stanford University California, USA 3rd AI+IoT Business Conference Shenzhen, China, April 25, 2019 Optimization Software 3rd AI+IoT Business Conference, Shenzhen, April 25, 2019 1/39 SOL Optimization 1970s 1980s 1990s 2000s 2010s Summary 2020s SOL Systems Optimization Laboratory George Dantzig, Stanford University, 1974 Inventor of the Simplex Method Father of linear programming Large-scale optimization: Algorithms, software, applications Optimization Software 3rd AI+IoT Business Conference, Shenzhen, April 25, 2019 2/39 SOL Optimization 1970s 1980s 1990s 2000s 2010s Summary 2020s SOL history 1974 Dantzig and Cottle start SOL 1974{78 John Tomlin, LP/MIP expert 1974{2005 Alan Manne, nonlinear economic models 1975{76 MS, MINOS first version 1979{87 Philip Gill, Walter Murray, MS, Margaret Wright (Gang of 4!) 1989{ Gerd Infanger, stochastic optimization 1979{ Walter Murray, MS, many students 2002{ Yinyu Ye, optimization algorithms, especially interior methods This week! UC Berkeley opened George B. Dantzig Auditorium Optimization Software 3rd AI+IoT Business Conference, Shenzhen, April 25, 2019 3/39 SOL Optimization 1970s 1980s 1990s 2000s 2010s Summary 2020s Optimization problems Minimize an objective function subject to constraints: 0 x 1 min '(x) st ` ≤ @ Ax A ≤ u c(x) x variables 0 1 A matrix c1(x) B . C c(x) nonlinear functions @ . A c (x) `; u bounds m Optimization
    [Show full text]
  • 2.22.21 Laredo Petroleum Announces Fourth-Quarter 2020 Financial and Operating Results
    15 West 6th Street, Suite 900 · Tulsa, Oklahoma 74119 · (918) 513-4570 · Fax: (918) 513-4571 www.laredopetro.com Laredo Petroleum Announces Fourth-Quarter and Full-Year 2020 Financial and Operating Results Provides 2021 Capital Budget and Production Expectations TULSA, OK - February 22, 2021 - Laredo Petroleum, Inc. (NYSE: LPI) ("Laredo" or the "Company") today announced its fourth-quarter and full-year 2020 financial and operating results. Full-Year 2020 Highlights • Fully transitioned development operations to Howard County acreage and successfully completed the Company's first well package • Added 4,000 net acres in Howard County at an average price of $7,200 per net undeveloped acre • Produced an average of 87,750 barrels of oil equivalent ("BOE") per day and 26,849 barrels of oil per day ("BOPD"), an increase of 8% and a decrease of 6%, respectively, from full-year 2019, while reducing capital expenditures by 27% over the same period • Reduced drilling and completions costs during the year by 21%, to $540 per foot from $680 per foot • Reduced unit lease operating expenses ("LOE") by 17% from full-year 2019 • Reduced unit general and administrative expenses ("G&A"), excluding long-term incentive plan expenses ("LTIP"), by 21% from full-year 2019 • Reduced volume of flared/vented natural gas by 58% from full-year 2019, flaring/venting only 0.71% of the Company's produced natural gas during full-year 2020 • Received $234.1 million from settlements of matured/terminated derivatives • Extended all term-debt maturities to 2025 and 2028 and repurchased $61 million of term-debt in open market purchases for 62.5% of par "Despite the unprecedented challenges of COVID and the resulting energy demand and commodity price weakness during 2020, the Laredo team adapted to working remotely and executed on the transformational strategy we communicated in November 2019," stated Jason Pigott, President and Chief Executive Officer.
    [Show full text]
  • Q3 2020 Husky-MDA
    MANAGEMENT’S DISCUSSION AND ANALYSIS October 29, 2020 Table of Contents 1.0 Summary of Quarterly Results 2.0 Business Overview 3.0 Business Environment 4.0 Results of Operations 5.0 Risk Management and Financial Risks 6.0 Liquidity and Capital Resources 7.0 Critical Accounting Estimates and Key Judgments 8.0 Recent Accounting Standards and Changes in Accounting Policies 9.0 Outstanding Share Data 10.0 Reader Advisories 1.0 Summary of Quarterly Results Three months ended Quarterly Summary Sep. 30 Jun. 30 Mar. 31 Dec. 31 Sept. 30 Jun. 30 Mar. 31 Dec. 31 ($ millions, except where indicated) 2020 2020 2020 2019 2019 2019 2019 2018(1) Production (mboe/day) 258.4 246.5 298.9 311.3 294.8 268.4 285.2 304.3 Throughput (mbbls/day) 300.1 281.3 307.8 203.4 356.4 340.3 333.6 286.9 Gross revenues and Marketing and other(1) 3,379 2,408 4,113 4,921 5,373 5,321 4,610 5,042 Net earnings (loss) (7,081) (304) (1,705) (2,341) 273 370 328 216 Per share – Basic (7.05) (0.31) (1.71) (2.34) 0.26 0.36 0.32 0.21 Per share – Diluted (7.06) (0.31) (1.71) (2.34) 0.25 0.36 0.31 0.16 Cash flow – operating activities 79 (10) 355 866 800 760 545 1,313 Funds from operations(2) 148 18 25 469 1,021 802 959 583 Per share – Basic 0.15 0.02 0.02 0.47 1.02 0.80 0.95 0.58 Per share – Diluted 0.15 0.02 0.02 0.47 1.02 0.80 0.95 0.58 (1) Gross revenues and Marketing and other results reported for 2019 have been recast to reflect a change in reclassification of intersegment sales eliminations and a change in presentation of the Integrated Corridor and Offshore business units.
    [Show full text]
  • Yntfletic Fne]R OIL SHALE 0 COAL 0 OIL SANDS 0 NATURAL GAS
    2SO yntfletic fne]R OIL SHALE 0 COAL 0 OIL SANDS 0 NATURAL GAS VOLUME 28 - NUMBER 4- DECEMBER 1991 QUARTERLY Tsit Ertl Repository Artur Lakes Library C3orzdo School of M.ss © THE PACE CONSULTANTS INC. ® Reg . U.S. P.I. OFF. Pace Synthetic Fuels Report is published by The Pace Consultants Inc., as a multi-client service and is intended for the sole use of the clients or organizations affiliated with clients by virtue of a relationship equivalent to 51 percent or greater ownership. Pace Synthetic Fuels Report Is protected by the copyright laws of the United States; reproduction of any part of the publication requires the express permission of The Pace Con- sultants Inc. The Pace Consultants Inc., has provided energy consulting and engineering services since 1955. The company experience includes resource evalua- tion, process development and design, systems planning, marketing studies, licensor comparisons, environmental planning, and economic analysis. The Synthetic Fuels Analysis group prepares a variety of periodic and other reports analyzing developments In the energy field. THE PACE CONSULTANTS INC. SYNTHETIC FUELS ANALYSIS MANAGING EDITOR Jerry E. Sinor Pt Office Box 649 Niwot, Colorado 80544 (303) 652-2632 BUSINESS MANAGER Ronald L. Gist Post Office Box 53473 Houston, Texas 77052 (713) 669-8800 Telex: 77-4350 CONTENTS HIGHLIGHTS A-i I. GENERAL CORPORATIONS CSIRO Continues Strong Liquid Fuels Program 1-1 GOVERNMENT DOE Fossil Energy Budget Holds Its Ground 1-3 New SBIR Solicitation Covers Alternative Fuels 1-3 USA/USSR Workshop on Fossil Energy Held 1-8 ENERGY POLICY AND FORECASTS Politics More Important than Economics in Projecting Oil Market 1-10 Study by Environmental Groups Suggests Energy Use Could be Cut in Half 1-10 OTA Reports on U.S.
    [Show full text]
  • Krisenergy Ltd
    NOT FOR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES OR TO U.S. PERSONS CIRCULAR DATED 12 DECEMBER 2016 THIS CIRCULAR IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. If you are in any doubt as to the action that you should take, you should consult your stockbroker, bank manager, solicitor, accountant or other professional adviser immediately. If you have sold or transferred all your shares in the capital of KrisEnergy Ltd. (the “Company”) of par value US$0.00125 each (“Shares”), please forward this Circular together with the Notice of Extraordinary General Meeting and the enclosed Depositor Proxy Form or Shareholder Proxy Form (as the case may be) immediately to the purchaser or transferee or to the agent through whom the sale or transfer was effected for onward transmission to the purchaser or transferee, subject to the distribution restrictions set out in this Circular. Approval in-principle has been obtained from the Singapore Exchange Securities Trading Limited (the “SGX-ST”) for the listing and quotation of the Notes, the Warrants and the New Shares (each as defined herein) on the Main Board of the SGX-ST, subject to certain conditions. The Notes, the Warrants and the New Shares will be admitted to the Main Board of the SGX-ST and official quotation will commence after all conditions imposed by the SGX-ST are satisfied, including (in the case of Warrants) there being a satisfactory spread of holdings of the Warrants to provide for an orderly market in the Warrants. The SGX-ST assumes no responsibility for the correctness or accuracy of any of the statements made, reports contained and opinions expressed in this Circular.
    [Show full text]
  • Stoxx® Global 1800 Oil & Gas Index
    STOXX® GLOBAL 1800 OIL & GAS INDEX Components1 Company Supersector Country Weight (%) Exxon Mobil Corp. Oil & Gas US 14.06 Chevron Corp. Oil & Gas US 12.31 TOTAL Oil & Gas FR 7.51 BP Oil & Gas GB 5.82 ROYAL DUTCH SHELL A Oil & Gas GB 5.14 Enbridge Inc. Oil & Gas CA 4.57 ConocoPhillips Oil & Gas US 3.42 TC ENERGY Oil & Gas CA 2.97 PHILLIPS 66 Oil & Gas US 2.37 KINDER MORGAN Oil & Gas US 2.26 EOG Resources Inc. Oil & Gas US 2.20 Schlumberger Ltd. Oil & Gas US 1.98 Suncor Energy Inc. Oil & Gas CA 1.89 Valero Energy Corp. Oil & Gas US 1.87 ENI Oil & Gas IT 1.82 MARATHON PETROLEUM Oil & Gas US 1.79 Williams Cos. Oil & Gas US 1.68 Canadian Natural Resources Ltd Oil & Gas CA 1.47 VESTAS WIND SYSTEMS Oil & Gas DK 1.43 Occidental Petroleum Corp. Oil & Gas US 1.27 NESTE Oil & Gas FI 1.23 EQUINOR Oil & Gas NO 1.17 Pioneer Natural Resources Co. Oil & Gas US 1.12 ONEOK Inc. Oil & Gas US 1.05 PEMBINA PIPELINE CORP Oil & Gas CA 1.02 Woodside Petroleum Ltd. Oil & Gas AU 1.02 Hess Corp. Oil & Gas US 1.00 REPSOL Oil & Gas ES 0.97 JXTG HOLDINGS INC. Oil & Gas JP 0.86 Halliburton Co. Oil & Gas US 0.83 CONCHO RESOURCES Oil & Gas US 0.79 SNAM RETE GAS Oil & Gas IT 0.78 BAKER HUGHES Oil & Gas US 0.73 AUSTRALIAN PIPELINE Oil & Gas AU 0.57 DIAMONDBACK ENERGY Oil & Gas US 0.54 Inpex Corp.
    [Show full text]
  • Oil and Gas Technologies Supplemental Information
    Quadrennial Technology Review 2015 Chapter 7: Advancing Systems and Technologies to Produce Cleaner Fuels Supplemental Information Oil and Gas Technologies Subsurface Science, Technology, and Engineering U.S. DEPARTMENT OF ENERGY Quadrennial Technology Review 2015 Oil and Gas Technologies Chapter 7: Advancing Systems and Technologies to Produce Cleaner Fuels Oil and Gas in the Energy Economy of the United States Fossil fuel resources account for 82% of total U.S. primary energy use because they are abundant, have a relatively low cost of production, and have a high energy density—enabling easy transport and storage. The infrastructure built over decades to supply fossil fuels is the world’s largest enterprise with the largest market capitalization. Of fossil fuels, oil and natural gas make up 63% of energy usage.1 Across the energy economy, the source and mix of fuels used across these sectors is changing, particularly the rapid increase in natural gas production from unconventional resources for electricity generation and the rapid increase in domestic production of shale oil. While oil and gas fuels are essential for the United States’ and the global economy, they also pose challenges: Economic: They must be delivered to users and the markets at competitive prices that encourage economic growth. High fuel prices and/or price volatility can impede this progress. Security: They must be available to the nation in a reliable, continuous way that supports national security and economic needs. Disruption of international fuel supply lines presents a serious geopolitical risk. Environment: They must be supplied and used in ways that have minimal environmental impacts on local, national, and global ecosystems and enables their sustainability.
    [Show full text]