Watch out Saudi Arabia! U.S. oil production expected to rapidly increase

The International Energy Agency says that U.S. production of petroleum is set to exceed that of Saudi Arabia's for the first time since 1991. A growing sign of the future of the American energy sector.

LOS ANGELES, CA (Catholic Online) - The production of oil and related substances like ethane and propane between Saudi Arabia and the United States was nearly the same in June and August, about 11.5 million barrels per day; however, the U.S. still has the potential to increase output by 2.5 million barrels per day if demand increases, and that lead will jump even higher if America's biofuel production is included.

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Production of oil in the U.S. has played a vital role in causing the oil market to stabilize. The global price of crude oil has fallen in the last two years, despite the ongoing civil war in Syria and the wars in Iraq, Libya and the Ukraine.

Since 2012, the American increase of 3.5 million barrels a day has nearly equaled the total increase in the world's oil supplies.

The ability to extract oil from shale has revolutionized the American oil industry. Advances in hydraulic fracking and horizontal drilling have enabled untapped oilfields in Texas and North Dakota to become commercialized.

Back in 2008, oil production in the U.S. hovered at about 5 million barrels per day, but as of early September that number is over 8 million barrels. The number is expected to rise above 9 million barrels per day before the end of 2014.

This increased production has helped shrink America's energy trade deficit, and encouraged increased investment into products and chemicals derived from oil.

Another welcome effect is the lowering of the amount of oil the U.S. imports. In 2005 the U.S. imported 60% of its oil, but in 2015 that number is expected to be just 21%.

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