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Hail Shale
US Crude Exports Hit 57-Year High

American crude oil exports hit their highest level since 1957 this summer, according to new data from the U.S. Census Bureau. Reflecting the country’s new energy fortunes, U.S. exports rose 35 percent from May to June this year, hitting a 57-year high predominantly because of a surge in flows north to Canada. Reuters reports:

Exports jumped 35 percent from May to 389,000 barrels per day in June, almost all of that sent to Canada, according to data from the U.S. Census Bureau released on Wednesday….The June surge of more than 100,000 bpd is the biggest monthly rise since the onset of the U.S. shale oil revolution, which has unlocked billions of barrels of reserves and fueled a production boom that has the potential to exceed domestic demand.

The rise shows that U.S. crude from places such as North Dakota and Texas is finding more buyers in Canada, particularly on the Atlantic Coast where refiners are still dependent on costlier Brent-linked crude from the North Sea or West Africa. Although a decades-old U.S. law generally bars exports of domestically produced crude, shipments to Canada are broadly allowed, as are re-exports of foreign oil.

The shale revolution continues to rewrite the U.S. energy script—just a decade ago these kinds of headlines would have seemed absurd. But thanks to fracking, America has a newfound bounty of both oil and gas, and the country’s energy debate has shifted from one of scarcity to one of abundance, as politicians and the media wrangle with the issue of ending a four-decade long ban on crude exports. These are the kinds of problems we’d like to have, because whatever the outcome, the fact remains: the United States is becoming more energy secure, courtesy of the shale boom.

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  • ShadrachSmith

    Energy production has become a Democrat political issue. If you want more fossil fuel production, you should vote for Republicans. It really is that simple.

    • Thirdsyphon

      As this article pretty well demonstrates, it really isn’t that simple. Under Obama, energy production in America has boomed to heights that nobody could have imagined when he was sworn in.

      • ShadrachSmith

        That US production has soared due to technology is the great irony of Obama’s presidency. And Obama has done everything he can to prevent it. Shall we talk about Keystone 🙂

  • PDX_traveler

    The problem is, how long will this bounty last? Tight oil depletes fast. Plus, because of the free-for-all in drilling, we are flaring away inordinate amounts of gas – a disaster in terms of ecological impact as well as in lost patrimony…

  • Duperray

    Nobody can say that present Administration is responsible for US oil production upturn…! Rather, their rich-left-thinking Dem’s predicators see with despair the opposite of their holy-views occuring….
    It is better for world stability that oil money goes to US rather than middle east producers because history shows that eventually a big portion of this money goes into islamic djihadist weapons…

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