Texas Soon to Become Third in Oil Production, Just Behind Saudi Arabia

Oil production in Texas soon will surpass Iraq and Iran and will become the number three oil-producing region in the world, behind only Russia and Saudi Arabia.

According to CNN Money, HSBC Bank predicted in a report that Texas’s boom in oil production during the last two years could result in the state passing OPEC countries Iran and Iraq as oil prices rise around the world.

“It’s remarkable. The [Permian Basin oil field] is nothing less than a blessing for the global economy,” Bob McNally, president of Rapidan Energy Group, told CNN.

The boom in Texas production comes just two years after the oil fields there were seeing much lower production levels at the tail end of the Obama administration.

“In 2014, it was amazing. 2016 was down in the dumps. Two years later, it’s back to crazy,” Texas railroad commissioner Ryan Sitton told the news network.

Production cutbacks in Russia and OPEC nations have also led to a rise in U.S. oil prices, a boon for the economy as companies in Texas struggle to find qualified workers and the infrastructure required to support the surge.

“To say there’s a shortage of bodies is an understatement,” CSI Recruiting president Jeff Bush told CNN. He said lower production under the Obama administration had left companies struggling to adjust to the economic boom in time.

“These service companies took it on the chin the last few years. They’re trying to make hay while the sun shines, but you can’t do that if you don’t have people,” he said.

“Right now, everything’s an issue: Water, sand, buildings, transportation. You name it,” Sitton added.

President Donald Trump last month in a tweet stated that he had spoken to Saudi Arabia’s King Salman, urging the OPEC leader to increase oil production to counter rising prices.

“Just spoke to King Salman of Saudi Arabia and explained to him that, because of the turmoil & dysfunction in Iran and Venezuela, I am asking that Saudi Arabia increase oil production, maybe up to 2,000,000 barrels, to make up the difference…Prices to high! He has agreed!” Trump said in June.


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