The U.S. Energy Information Administration on Tuesday released an early version of its Annual Energy Outlook for 2014. The main item being that the United States will continue to develop its own oil and to press for more efficient cars in order to reduce demand on oil.
The report from the federal government forecasts a rise in U.S. oil production of another 800,000 barrels per day for the coming two years, but sees a rise by 2016, with the U.S. reaching about 9.5 million barrels per day. The previous high was attained in 1970, when production reached 9.6 million bpd.
Predictions are that the oil boom is temporary and is expected to level off around 2020, but by then, there should be a lot more fuel-efficient cars on the roads that the drop in production will not be felt.
Another major change is that the federal government report expects that as oil production begins to decrease, natural gas will rise, according to the EIA by as much as 56 percent by 2040, reaching 37.6 trillion cubic feet per year.
This news should please the environmentalists as well as politicians who want to see the United States turn away from the Middle East, its oil and its problems.