The New Cold War Will Be Fought with Oil

June 1, 2022--Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--One single field in the U.S. is set to overtake OPEC-member Iraq in terms of oil production gains, giving the nation a unique geopolitical advantage should the opportunity arise.

Data from Norwegian consultancy Rystad Energy show production from the Permian shale basin is expected to reach 6.5 million barrels per day (BBL/d) next year. Annual gains of about 1 million BBL/d from the Permian, meanwhile, will eclipse Iraq's estimated increase of 400,000 BBL/d by 2023.

And compared to other countries, only Russia and Saudi Arabia are producing more. So far, Saudi Arabia has not shown much desire to put more oil on the market as the de facto head of the Organization of the Petroleum Exporting Countries. Russia's output, meanwhile, will dwindle not by desire, but by foreign intent.