The United States has played a significant role in global oil production, contributing 17% since 1900, with Texas being a major player, accounting for one-third of the nation’s oil production. Technological advancements like hydraulic fracturing and horizontal drilling led to record U.S. oil production in the 2010s, making the country the world’s largest oil producer and a net oil exporter.
In 2022, the US consumed 32 trillion cubic feet of natural gas, the highest level in 30 years due to increased fracking. Efforts towards carbon-neutral energy may reduce demand, as residential use is gradually being replaced by electrical alternatives. However, industrial demand is anticipated to remain strong in the near term.
Since the first successful oil well in 1859, the U.S. has drilled millions of wells for oil and gas. Drilling surged with demand, technology, and geopolitics, with notable periods like the post-WWII boom and the fracking-driven increase in natural gas wells. This progress has brought economic benefits and energy shifts, yet also raised environmental and social concerns.
Global natural gas consumption has risen 70% from 2000 to 2022, fueled by economic growth and coal-to-gas transition. Hydraulic fracturing in the US has played a major role. Liquefied natural gas (LNG) enables long-distance shipping, but presents climate and energy justice challenges.
Texas has emerged as a prominent oil and gas producer, ranking as the fifth largest oil producer globally if it were its own country. The development of fracking technology and a surge in oil prices led to a significant increase in oil and gas production in Texas from 2000 to 2014. However, the distribution of employment gains during this boom varied across gender, race, and ethnicity. The Texas example underscores the importance of ensuring an equitable distribution of economic benefits in energy systems, especially as governments incentivize low carbon energy initiatives.
Fracking transformed the world energy landscape by unlocking untapped oil and gas resources. It led to increased domestic production, reduced import dependence, and stimulated economic growth. However, concerns have been raised about its environmental and health impacts, and its contribution to carbon emissions.