Oil & Gas Industry In USA

CONTENTS
Introduction

History of Oil & Gas Industry

Oil & Gas Reserves

Major Oil & Gas Fields

Oil & Gas Production History

Oil & Gas Consumption History

Oil & Gas Exports & Imports

Refineries & Petrochemical Industry

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 Oil & Gas Industry In USA

INTRODUCTION
The first residents of what is now the United States immigrated from
Asia prior to 15,000 years ago by crossing Beringia into Alaska.
Archaeological evidence of these peoples, the ancestors of the Native
Americans is dated to 14,000 years ago.

Christopher Columbus was the first European to land in the territory of

what is now the United States when he arrived in Puerto Rico in 1493.
The subsequent arrival of settlers from Europe began the colonial history
of the United States. The Thirteen English colonies that would become
the original US states, were founded along theeast coast beginning in
1607. Spain, France and Russia also founded small settlements in what
would become US territory. The Thirteen Colonies grew very rapidly,
reaching 50,000 by 1650, 250,000 by 1700, and 2.5 million by 1775.
High birth rates and low death rates were augmented by steady flows of
immigrants from Europe as well as slaves from the West Indies.
Occasional small-scale wars involved the French and Indians to the
north, and the Spanish and Indians to the south. Religion was a powerful
influence on many immigrants, especially the Puritans in New England

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 Oil & Gas Industry In USA
and the German sects in Pennsylvania, with boosts from the revivals of
the First Great Awakening. The colonies by the 1750s had achieved a
standard of living about as high as Britain, with far more self
government than anywhere else. Most free men owned their own farms
and could vote in elections for the colonial legislatures, while local
courts dispensed justice. Royal soldiers were rarely seen.

The colonists did not have representation in the ruling British

government and believed they were being denied their
constitutional rights as Englishmen. For many years, the home
government had permitted wide latitude to local colonial governments.
Beginning in the 1760s London demanded the colonists pay taxes. The
new foreign taxes on stamps and tea ignited a firestorm of opposition.
The British responded with military force in Massachusetts, and shut
down the system of local self government in what the colonists called
the Intolerable Acts.
After fighting broke out in April 1775, each of the colonies ousted all
royal officials and set up their own governments, which were
coordinated out of Philadelphia by the Continental Congress.
The American Revolution escalated into all-out war. Despite local King
George loyalists, the new nation declared independence in July 1776 as

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 Oil & Gas Industry In USA
the United States of America. After Americans captured the British
invasion army in 1777, France became a military ally, and the war
became a major international war with evenly balanced forces. With the
capture of a second British invasion army at Yorktown in 1781, the
British opened peace negotiations. The Treaty of Paris in 1783 proved
highly favorable to the new nation.

The new national government proved too weak, so and

a Constitutional Convention was called in 1787 to create an alternative.
The resulting Constitution of the United States ratified in 1788 created a
federal government, based on the ideology of republicanism, equal
rights, and civic duty. The first ten amendments known as the Bill of
Rights quickly followed, guaranteeing many individual rights from
federal interference. The new national government under
President George Washington built a strong economic system, designed
by Alexander Hamilton, that settled the wartime debts, created a national
bank and sought economic growth based on cities and trade, more than
farming. Hamilton formed the Federalist Party to gain wide local support
for the new policies, which were opposed by Thomas Jefferson. The Jay
Treaty of 1795 opened a decade of trade with Britain, which was at war
with revolutionary France. Jefferson, a friend of France who feared
British influence would undermine republicanism, set up an opposition

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 Oil & Gas Industry In USA
party, and the First Party System based on voters in every state, began
operation in the mid 1790s. Jefferson tried to coerce the British into
recognizing America's neutral rights, stopping seizing sailors on
American ships, and stop aiding hostile Indians in the West. When that
failed the U.S. declared the War of 1812 against Britain. The war was
militarily indecisive but guaranteed American independence, as well as
friendly relations with the British Empire, which controlled Canada.
With the Louisiana Purchase in 1803 westward expansion of the
United States crossed the Mississippi River. This was encouraged by the
belief in Manifest Destiny, by which the United States would expand
east to west, reaching the Pacific after the conquest of Mexico in 1848.
The slaveholding South in 1861 tried to break away and form its own
country in response to threats to its peculiar institution-- slavery.
The Civil War lasting four years became deadliest war in American
history. Under the leadership of Republican Abraham Lincoln the
rebellion was crushed, the nation reunified. the slaves freed, and the
South put under Reconstruction for a decade.

Very rapid economic growth, fueled by entrepreneurs who created

great new industries in railroads, steel, coal, textiles, and machinery,
manned by millions of immigrants from Europe (and some from Asia),
built new cities overnight, making the U.S. the world's foremost

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 Oil & Gas Industry In USA
industrial power. With Germany threatening to win World War I in part
by sinking American ships, the U.S. entered the war in 1917, supplied
the material, money and to a degree the soldiers needed to win. The U.S.
partly dictated the peace terms, but refused to join the League of
Nations, as it enjoyed unprecedented prosperity in the 1920s. The crash
of 1929 started the worldwide Great Depression, which was long and
severe for the entire country. A New Deal Coalition led by Franklin D.
Roosevelt dominated national elections for years, and the New Deal in
1933-36 began a new era of federal regulation of the business, support
for labor unions, and provision of relief for the unemployed and Social
Security for the elderly.

The U.S. joined the Allied Forces of World War II in December 1941
after the Japanese attack on Pearl Harbor. Postwar hopes that the
newUnited Nations would resolve the world's problems failed, as Europe
was divided and the U.S. took the lead in the Cold War with a policy of
containing Soviet expansion. Containment led to wars in Korea (a
stalemate) and Vietnam (lost). Economic prosperity after the war
empowered families to move to the suburbs and engage in a Baby
Boom that pushed the population from 140 million in 1940 to 203
million in 1970. The industrial economy based on heavy industry gave

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 Oil & Gas Industry In USA
way to a service economy featuring health care and education, as
America led the way to a computerized world. The end of the Cold War
came in 1991 as Soviet Communism collapsed. The U.S. was the only
military superpower left, but it was challenged for economic supremacy
by China, which remained on good terms with the U.S. as it embraced
capitalism and by 2010 was growing much more rapidly than the U.S.
The Civil Rights Movement ended Jim Crow and empowered black
voters in the 1960s, leading to the movement of blacks into high
government offices. However, the New Deal coalition collapsed in the
mid 1960s in disputes over race and the Vietnam War. The Reagan
Era of conservative national policies, deregulation and tax cuts took
control with the election of Ronald Reagan in 1980. By 2010,
commentators were debating whether the election of Barack Obama in
2008 represented an end of the Reagan Era, or was only a reaction
against the bubble economy of the 2000s, which burst in 2008 and
became the Late-2000s recession with prolonged unemployment.

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 Oil & Gas Industry In USA

HISTORY OF OIL & GAS INDUSTRY

The history of the petroleum industry in the United States goes back to
the early 1800s, although indigenous people in the US have used
petroleum since prehistoric times. Petroleum became a major industry
follwing the oil discovery at Oil Creek Pennsylvania in 1859. For much
of the 19th and 20th centuries, the US was the largest oil producing
country in the world.

Native Americans had known of the oil in western Pennsylvania, and

had made some use of it for many years before the mid 19th century.
Early European explorers noted seeps of oil and natural gas in western
Pennsylvania and New York. Interest grew substantially in the mid-
1850s as scientists reported on the potential to
manufacture kerosene from crude oil, if a sufficiently large oil supply
could be found.
Salt was a valuable commodity, and an industry developed near salt
springs in the Ohio River Valley, producing salt by evaporating brine

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 Oil & Gas Industry In USA
from the springs. Wells were sunk at the salt springs to increase the
supply of brine for evaporation. Some of the wells were hand-dug, but
salt producers also learned to drill wells by percussion (cable tool)
methods. In a number of locations in western Virginia, Ohio, and
Kentucky, oil and natural gas came up the wells along with the brine.
The oil was mostly a nuisance, but some salt producers saved it and sold
it as illuminating oil or medicine. In some locations, enough natural gas
was produced to be used as fuel for the salt evaporating pans. Early salt
brine wells that produced byproduct oil included the Thorla-McKee
Well of Ohio in 1814, a well near Burkesville, Kentucky in 1828, and
wells at Burning Springs, West Virginia by 1836.

The US natural gas industry started in 1821 at Fredonia, Chautauqua

County, New York, when William Hart dug a well to a depth of 27 feet
intogas-bearing shale, then drilled a borehole 43 feet further, and piped
the natural gas to a nearby inn where it was burned for illumination.
Soon many gas wells were drilled in the area, and the gas-lit streets of
Fredonia became a tourist attraction.

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 Oil & Gas Industry In USA

On August 28, 1859 George Bissell and Edwin L. Drake made the first

successful use of a drilling rig on a well drilled especially to produce oil,
at a site on Oil Creek near Titusville, Pennsylvania.

The Drake well is often referred to as the "first" commercial oil well,
although that title is also claimed for wells in Azerbaijan, Ontario, West
Virginia, and Poland. However, before the Drake well, oil-producing
wells in the United States were wells that were drilled for salt brine, and
produced oil and gas only as accidental byproducts. An intended
drinking water well at Oil Springs, Ontario found oil in 1858, a year
before the Drake well, but it had not been drilled for oil. Historians have
noted that the importance of the Drake well was not in being the first
well to produce oil, but in attracting the first great wave of investment in
oil drilling, refining, and marketing.
The success of the Drake well quickly led to oil drilling in other
locations in the western Appalachian mountains, where oil was seeping
to the surface, or where salt drillers had previously found oil fouling

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 Oil & Gas Industry In USA
their salt wells. During the American Civil War, the oil-producing
region spread over much of western Pennsylvania, up into western New
York state, and down the Ohio River valley into the states
of Ohio, Kentucky, and the western part of Virginia (now West
Virginia). The Appalachian Basin continued to be the leading oil-
producing region in the United States through 1904.

The principal product of the oil in the 1800s was kerosene, which

quickly replaced whale oil for illuminating purposes in the United
States. Originally dealing in whale oil which was widely used for
illumination, Charles Pratt (1830-1891) of Massachusetts was an early
pioneer of the natural oil industry in the United States. He was founder
of Astral Oil Works in the Greenpoint section of Brooklyn, New York.
Pratt's product later gave rise to the slogan, "The holy lamps of Tibet are
primed with Astral Oil." He joined with his protégé Henry H. Rogers to
form Charles Pratt and Company in 1867. Both companies became part
of John D. Rockefeller's Standard Oil in 1874.

OIL & GAS RESERVE

USA proven oil reserve were 39 billion bbls in 1970, in 2006 was 21
billion, in the last year 2009 was 18 billion, USA production were 9.6

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 Oil & Gas Industry In USA
million bbls per day by now the US production declined to 5.1 million
bbls per day, USA maintains a strategic petroleum reserve at four sites
in the Gulf of Mexico with a totally capacity of 727 million bbls of
crude oil.
The maximum totally withdrawal capability from the US strategic
petroleum reserve is 4.4 million bbls per day this is roughly 32% of US
oil imports .

USA Crude Oil Proved Reserves (MM BBL)

45000

40000

35000
Oil Reserves (MM Barrels)

30000

25000

20000

15000

10000

5000

0
1900 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000
Date

MAJOR OIL & GAS FIELD

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 Oil & Gas Industry In USA

THE BIGGEST FIVE OIL FIELDS IN USA

FIELD STATE

Prudhoe Bay Alaska

Mississippi Canyon Offshore Gulf

Wasson Texas

Kuparuk River Alaska

Alpine Alaska
The biggest five oilfields in USA by reserve are:
1) PRUDHOE BAY OIL FIELD 

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 Oil & Gas Industry In USA
Prudhoe Bay oil field is a large oil field on Alaska's North Slope. It is
the largest oil field in both the United States and in North America,
covering 213,543 acres (86,418 ha) and originally containing
approximately 25 billion barrels (4.0×109 m3) of oil, the amount of
recoverable oil in the field is more than double that of the next largest
field in the United States, the East Texas oil field. The field is operated
by BP; partners are ExxonMobil and ConocoPhillips.

2) MISSISSIPPI CANYON OIL FIELD 

Mars is located in the Gulf of Mexico about 130 miles southeast of
New Orleans, USA. The discovery well was drilled on Mississippi
Canyon block 763 using the drillship Discoverer Seven Seas.

Data from four other wells and six sidetrack wells was used, together
with 3D seismic work, in order to make the necessary decisions about
development. Shell Deepwater Production is the operator and has 71.5%
interest. The remaining 28.5% interest is held by BP Amoco (now
known as BP).

3) WASSON OIL FIELD 

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 Oil & Gas Industry In USA
Wasson field is a triangular-shaped oil and gas producing area in
southwestern Yoakum and northwestern Gaines counties on the Llano
Estacado of West Texas, five miles east of the New Mexico line. The
field, which covers 62,500 acres, is so large that early wells, located
several miles from each other, were regarded as discovery wells in
separate fields. Bennett was the first of those fields. It developed after
the L. P. Bennett No. 1, drilled by Honolulu Oil Corporation and
Davidson Drilling Company (later Cascade Petroleum Company), was
brought in on April 6, 1936. Wasson field (later South sector) was
recognized after Amon G. Carter, Sr., and Continental Oil Company
found oil in their Wasson No. 1 on June 19, 1937. Denver pool was
named for its operator, Denver Producing and Refining Company, which
made a producer of the Whittenburg No. 1 in September 1937. However,
these producing areas, as well as those called Baumgart, Clawater,
Dowden, Kendrick, and Roberts, were defined as sectors within the
same field on December 1, 1939, when the Railroad
Commission determined that all of them produced from the same
structure and combined them under the name of Wasson field.

4) KUPARUK RIVER OIL FIELD 

The Kuparuk River Unit is the fourth largest oil field in North
America, covering 170,000 acres, the field is located 40 miles west of
Prudhoe Bay, in the Arctic coastal plain,  Oil was discovered in the area
in 1969 by ARCO and production began in 1981.

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 Oil & Gas Industry In USA

 ConocoPhillips is the majority owner of the Kuparuk River Unit,

Other companies with an ownership stake include BP Amoco, Unocal,
ExxonMobil, and ChevronTexaco, It currently produces approximately
230,000 barrels of oil per day, It is estimated to have 6 billion barrels of
original oil in place, and 2 billion barrels of recoverable oil reserves. The
links below provide additional information on Kuparuk.

5) ALPINE OIL FIELD 

The Alpine oil field is the five largest oil field in USA,
ConocoPhillips drilling rig near the Alpine field, 250 miles north of the
Arctic Circle on Alaska's North Slope.

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 Oil & Gas Industry In USA

THE BIGGEST FIVE GAS FIELDS IN USA

FIELD STATE

San juan basin gas area New Mexico- Colorado

Newark east Texas

Hugoton gas area Kansas

Pinedale Wyoming

Prb coalbed Wyoming

The biggest five gas fields in USA by reserve are:

1) SAN JUAN BASIN GAS AREA

The San Juan Basin is one of the most prolific gas producing regions
in the country, located in northwestern New Mexico and southwestern
Colorado. It is roughly a circular area of about 15-20 thousand cubic
miles of sedimentary rock. San Juan Basin produces approximately 70%
of gas in New Mexico. In the year 2003 alone around 1.1 mmcf of gas
was produced from about 29,000 wells. These wells range in depth from
2,000 feet to over 7,500 feet.

The major producing formations in this basin are the Dakota, Mesa
Verde, Pictured Cliffs and the Fruitland coal. Current remaining
recoverable reserve estimates for northwestern New Mexico are 12.9
Tcf. The development of the Fruitland coal seam resource starting in
1988 dramatically changed this basin. Currently, almost 65% of the total
production from this basin is from this one resource.

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 Oil & Gas Industry In USA

2) NEWARK EAST FIELD

The Newark East Field is a geological formation discovered in 1981

and is located in Wise, Denton, and Tarrant Counties Texas. Newark
East field and its associated Newark East Field unit produce mainly
natural gas.

The Newark East field has over 2,300 gas wells. Production from the
Newark East Field unit comes from the Barnett Shale, Viola Limestone,

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and Ellenburger Group. Devon Energy is the main owner and operator
of the Newark East Field

3) HUGOTON GAS AREA FIELD

Hugoton Natural Gas Area is a combination of large natural gas
fields in the U.S. State of Kansas, the largest of which is the Hugoton
Field. Its name is derived from the town of Hugoton, Kansas, near which
the Hugoton Field was first discovered.

Atural gas in the Hugoton area was first discovered in 1922 in Seward
County, three miles west of Liberal. Because this well did not
produceoil, it was considered to have little value and remained unused
for several years. In 1927, gas was discovered at the Independent Oil
and Gas Company's Crawford No. 1, about 2,600 feet (790 meters)
below the surface southwest of Hugoton, Kansas, in Stevens County.
This is now considered the center of the Hugoton Natural Gas Area. By
the end of 1928, five wells had been drilled in the field and the first

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 Oil & Gas Industry In USA
pipeline was transporting gas to local markets. In 1929, Argus Pipe Line
Company started construction of a pipeline to furnish gas to Dodge City,
Kansas. Construction of major pipelines in the 1930s encouraged further
drilling in the area. Today, approximately 11,000 wells produce gas and
oil in the Kansas portion of the Hugoton area, and thousands of miles of
pipeline carry Hugoton gas to many parts of the U.S. Approximately
7,800 wells produce gas from the Chase Group in the Hugoton Field.

4) PINEDALE FIELD
The Pinedale Field is a 90 square mile geological formation located in
the Greater Green River Basin in Southwest Wyoming. Pinedale field
and its associated Pinedale Field unit produce mainly natural gas

The Pinedale Field, one of the largest gas fields in the Greater Green
River Basin of southwest Wyoming, is being developed along with
Jonah Field, as a significant over-pressured, tight-gas sandstone
reservoir in the Upper Cretaceous Lance Pool. The Pinedale Anticline
has a 5000 foot thick gross hydrocarbon bearing section comprised of
fluvial and flood-plain facies rocks deposited in a broad alluvial valley
nearly coincident with the anticline structure. Since the acquisition of the

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 Oil & Gas Industry In USA
initial 3D seismic survey in the Mesa area in late 1999, Ultra has used
3D seismic data to guide drilling location selection, define drilling
hazards, and extend Lance Pool production laterally and vertically on the
anticline. Specialized seismic processing has facilitated ability to
identify stratigraphic sweet spots in the field, over-pressure, and
handle azimuthal anisotropy. Efforts to better understand the inter-well
geometry of sand bodies and the behavior of the massive
hydraulic frac'ing techniques used to enhance production has lead to the
use of cross well tomography and micro-seismic frac monitoring to map
the orientation and fabric between wells. The interpretation and
understanding from these applications has enhanced the reservoir model
and validated much of the geological and geophysical understanding of
the Pinedale Field.

5) PRB COALBED FIELD

The Powder River Basin also contains major deposits of petroleum,
the oil and gas are produced from rocks ranging from Pennsylvanian to
Tertiary, but most comes from sandstones in the thick section
of Cretaceous rocks, Recent controversy surrounds the extensive coalbed
methane extraction in the region. In the last decade, nearly 7000 such
wells have been drilled. An extensive network of gas pipeplines
connecting these wells has been built, along with a series of
pressurization plants, as well as power lines to provide electricity to
operate the system. In addition, thousands of miles of new access roads
have been constructed.
Extracting the gas requires water to be pumped to the surface in order
to release the gas trapped in the coal seam. While some of the water is
successfully utilized in agriculture production such as livestock water
and crop irrigation, some waters are naturally high in salinity

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 Oil & Gas Industry In USA
and sodium adsorption ratio. There has been controversy on how to best
manage these saline waters.

In 2007, Powder River Basin coalbed field produced 442 billion cubic
feet of gas, making the field the 5rd largest source of natural gas in the
United States.

OIL & GAS PRODUCTION HISTORY

Early 2002 About 5.9 million barrels of oil per day, plus about 2
million barrels of natural gas liquids and condensate; and 55 billion
cubic feet of gas per day. Oil production is a decline from 8-9 million
b/d in 1986.Update, 2005: at the end of 2005, US crude oil production
stood at 4.86 million b/d, the lowest value in more than 50 years.
Imports (10.01 million b/d) amounted to 67% of consumption, even
when US production was at its peak in 1970 (and accounted for more
than 40% of all the oil produced in the world), it could not keep up with
consumption. Today's 21 million barrels per day consumption FAR
outpaces our domestic production of 4.86 million barrels per day.

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 Oil & Gas Industry In USA

350000

300000

250000
Oil Production (M BBL)

200000

150000

100000

50000

0
0 4 9 3 8 2 7 1 6 0 5 9 4 8 3 7 2 6 1 5
192 192 192 193 193 194 194 195 195 196 196 196 197 197 198 198 199 199 200 200
n- l- n- l- n- l- n- l- n- l- n- l- n- l- n- l- n- l- n- l-
Ja Ju Ja Ju Ja Ju Ja Ju Ja Ju Ja Ju Ja Ju Ja Ju Ja Ju Ja Ju
Years

In the U.S about 35% of oil and gas production comes from reservoirs
of Tertiary age (largely in the Gulf Coast and California); about 25% is
from reservoirs of Pennsylvanian age (West Texas, Rockies,
Midcontinent), and about 12% is from reservoirs of Cretaceous age.

OIL & GAS CONSUMPTION

HISTORY
The United States enjoy high per-capital incomes that are connected
with oil consumption. The United States consumes 20.680730 million
barrels per day of oil, where 8.5 million of that came from its products

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 Oil & Gas Industry In USA
and 12.185 million barrel per day is imports,which its consumes is more
than 25% of the world's total, and is predicted to continue increasing.
Increase in resource consumption is caused by three factors:
1- population growth
2-new uses found for a resource
3-increase in demand for a resource to increase living standards
The rate of consumption for oil is increasing at a rate of about 2%
yearly, the USA consumed nearly 23.75 trillion cubic feet of natural gas
in 2007, the United States consumes more oil and gas than any other
nation on the planet. Although it accounts for less than 5 percent of the
world's population.

25000

20000
OIl Consumption (M BBL)

15000

10000

5000

0
73 75 77 79 81 83 85 87 89 91 93 95 97 99 01 03 05 07 09
19 19 19 19 19 19 19 19 19 19 19 19 19 19 20 20 20 20 20
Years

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 Oil & Gas Industry In USA

OIL & GAS EXPORT & IMPORT

Today, the US does exports crude oil - about 19,180 barrels per day,
all of it to Canada. We could keep it in the US, but it would cost more to
ship it to a US refinery (that might already be oversupplied) 1500 miles
away than to a Canadian refinery 200 miles away. It all comes back to us
as refined product, anyway -- mostly gasoline, because even with all our
refineries going flat out, we cannot process enough crude oil (including
the 4 million barrels per day that we produce, and the 9 million barrels
per day we import) to meet our needs. So we also import about 3 million
barrels of refined product (mostly gasoline) every day, most if it from
Canada.

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 Oil & Gas Industry In USA
In 2002, Canada led the world in our sources of imports, at 17%, with
Saudi Arabia (13.7%), Mexico (13.5%), and Venezuela (12%) in a
virtual three-way tie for second. The year before the percentages were
Canada - 15.4%, Saudi Arabia - 14%, Venezuela - 13%, and Mexico -
12.1%. Canada has been the leader since at least 2001. In 2002, US
imports from the Persian Gulf region amounted to 19.8 percent of our
total imports. The same year, a total of 40% came from OPEC member
nations -- which include countries such as Venezuela and Indonesia that
are outside the Persian Gulf.

COUNTRY RELIANCE ON U.S. MARKET

Saudi Arabia 15%
Russia <1%
Norway 3%
Iran 0%
Venezuela 44%
UAE <1%
Kuwait 12%
Nigeria 55%
Mexico 92%
Canada 99+%
Algeria 16%
Iraq 41%
Libya 4%

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 Oil & Gas Industry In USA

Imports of Crude Oil (Thousand Barrels)

160000

120000
Imports of oil (M Barrels)

80000

40000

Years

Crude Oil Exports (Thousand Barrels)

80000

70000

60000
Petroleum Exports (M Barrels)

50000

40000

30000

20000

10000

0
1 2 3 5 6 8 9 0 2 3 5 6 8 9 0 2 3 5 6 7 9
198 198 198 198 198 198 198 199 199 199 199 199 199 199 200 200 200 200 200 200 200
n- n- v- r- p- b- l- c- y- t- r- g- n- n- v- r- p- b- l- c- y-
Ja Ju No Ap Se Fe Ju De Ma Oc Ma Au Ja Ju No Ap Se Fe Ju De Ma
Years

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 Oil & Gas Industry In USA

U.S. Natural Gas Imports (MMcf)

450000
400000
350000
300000
Gas Import (MM Cf)

250000
200000
150000
100000
50000
0

n 3

n- 4
ov 73
p- 4
6
ay 78
ar 80
n- 2
ov 84

ar 91

ov 95

8
ay 00
ar 02

ov 06
p- 5

ay 89

p- 6

p- 7
09
Se -197
Ju 97

Ju 98

Ja 199

Ju 99

Ja 200
Ja 198

Se -198

Se -199

Se -200
N -19

M -19
M -19

N 19

M l-19
M -19

N -19

M -20
M -20

N 20

20
1

1
-

-
l

l
n
Ja

Years

U.S. Natural Gas Expotrs (MM CF)

120000

100000

80000
Gas Export MM Cuft

60000

40000

20000

0
3 4 6 8 0 2 4 5 7 9 1 3 5 6 8 0 2 4 6 7 9
197 197 197 197 198 198 198 198 198 198 199 199 199 199 199 200 200 200 200 200 200
n- v- p- l- y- r- n- v- p- l- y- r- n- v- p- l- y- r- n- v- p-
Ja No Se Ju Ma Ma Ja No Se Ju Ma Ma Ja No Se Ju Ma Ma Ja No Se

Years

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 Oil & Gas Industry In USA

REFINERIES & PETROCHEMICAL

INDUSTRY
An oil refinery is an industrial process plant where crude oil is
processed and refined into more useful petroleum products, such as
gasoline, diesel fuel, asphalt base, heating oil, kerosene, and liquefied.

Petroleum gas Oil refineries are typically large sprawling industrial

complexes with extensive piping running throughout, carrying streams
of fluids between large chemical processing units.

Early US refineries processed crude oil to recover the kerosene. Other

products (like gasoline) were considered wastes and were often dumped
directly into the nearest river.

The invention of the automobile shifted the demand to gasoline and

diesel, which remain the primary refined products today.

In fact, obtaining a permit to build a modern refinery is perceived by

many American oil companies to be so difficult and costly that no new

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 Oil & Gas Industry In USA
refineries have been built (though many have been expanded) in the
United States since 1976.
The most important refineries in USA are:

Rank COMPANY STATE BBL/DAY

EXXONMOBIL
1 REFINING & SUPPLY Texas 572,500
CO
EXXONMOBIL
2 REFINING & SUPPLY Louisiana 503,000
CO
BP PRODUCTS
3 NORTH AMERICA Texas 455,790
INC
CITGO PETROLEUM
4 Louisiana 429,500
CORP
BP PRODUCTS
5 NORTH AMERICA Indiana 405,000
INC
EXXONMOBIL
6 REFINING & SUPPLY Texas 344,500
CO
7 SUNOCO INC (R&M) Pennsylvania 335,000

8 CHEVRON USA INC Mississippi 330,000

DEER PARK
9 REFINING LTD Texas 329,800
PARTNERSHIP
10 WRB REFINING LLC Illinois 306,000

As a result, some believe that this may be the reason that the US is
becoming more and more dependent on the imports of finished gasoline,
as opposed to incremental crude oil. On the other hand, studies have

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 Oil & Gas Industry In USA
revealed that accelerating merger activity in the refining and production
sector has reduced capacity further, resulting in tighter markets in the
United States in particular.

Most products of oil processing are usually grouped into three

categories: light distillates (LPG, gasoline, naphtha), middle distillates
(kerosene, diesel), heavy distillates and residuum (fuel oil, lubricating
oils, wax, tar). This classification is based on the way crude oil is
distilled and separated into fractions (called distillates and residuum) .
 Liquid petroleum Gas(LPG)
 Gasoline (also known as petrol)
 Kerosene and related jet aircraft fuels
 Diesel fuel
 Fuel oils
 Lubricating oils
 Petroleum coke

31
 Oil & Gas Industry In USA

REFERENCES

World oil and gas review 2008.

BP Statistical Review of World Energy/June 2009.
Technical paper intermediate energy info book.
WEB SITES
www.theoildrum.com
www.iecenergy.com
www.eia.doe.gov
www.bp.com
www.energyandcapital.com
http://en.wikipedia.org/
www.worldoil.com

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