Understanding Oil and Gas Investment Opportunities

A recent article published in the Wall Street Journal has highlighted just how good an investment opportunity domestic gas and oil represents by suggesting that the US oil and gas boom has so much moneymaking potential that it could enable the country to once again dominate global organizations like the World Bank and the United Nations. Oil production in Texas has doubled throughout the course of the last three years, reversing a twenty-two-year decline. In November 2012 alone, the state was responsible for an average output of 2.139 barrels every day, which was the largest monthly output seen since February 1987.

In 2012, the gas and oil boom in Texas added two hundred and thirty-eight billion dollars to the country’s economy. That number has been predicted to rise to four hundred and sixteen billion dollars within the next seven years. This demonstrates the fact that the profits that these resources are capable of generating are going to continue to grow for a substantial period of time.

The Benefits

Oil and gas investment opportunities can be particularly rewarding due to the tax benefits that are associated with them. These benefits can include upfront deductions to intangible drilling costs and tax credit for developing certain varieties of tight formation.

Economist James Kwak of the University of Connecticut School of Law points out that the boom in gas and oil production that the US is experiencing is enabling the nation to become less dependent upon unstable regions for its energy needs. This means that investing in these resources could help to increase the power that the US has in the world, as boosting its gas and oil production could elevate its levels of self-sufficiency and makes sure that it is not reliant upon other countries for these commodities.

Oil Production Increasing

It is clear that the wealth of oil and gas investment opportunities in places like the Louisiana and Texas Gulf Coast regions are advantageous to both investors and to the country as a whole. They are capable of generating substantial profits for a prolonged period of time and can are also beneficial to the US economy and to its global status.

It is predicted that at some point this year, the US will be responsible for producing more crude oil than it exports, which hasn’t happened since 1995.

The International Energy Agency has stated that the country is likely to become the number one oil-producing nation by 2020 due to continued improvements in the productivity of companies that extract this commodity.

Gas Also on the Rise

Gas is an equally profitable resource, with the Wall Street Journal predicting that abundant supplies will be produced for the next few decades.

The gas and oil industries are not likely to reduce in profitability in the near future. Their moneymaking potential is not only great but also possesses a high level of longevity, making these resources an impressive opportunity for those who wish to earn a large amount of money from their investments.

A recent article published in the Wall Street Journal has highlighted just how good an investment opportunity domestic gas and oil represents by suggesting that the US oil and gas boom has so much moneymaking potential that it could enable the country to once again dominate global organizations like the World Bank and the United Nations. Oil production in Texas has doubled throughout the course of the last three years, reversing a twenty-two-year decline. In November 2012 alone, the state was responsible for an average output of 2.139 barrels every day, which was the largest monthly output seen since February 1987.

In 2012, the gas and oil boom in Texas added two hundred and thirty-eight billion dollars to the country’s economy. That number has been predicted to rise to four hundred and sixteen billion dollars within the next seven years. This demonstrates the fact that the profits that these resources are capable of generating are going to continue to grow for a substantial period of time.

The Benefits

Oil and gas investment opportunities can be particularly rewarding due to the tax benefits that are associated with them. These benefits can include upfront deductions to intangible drilling costs and tax credit for developing certain varieties of tight formation.

Economist James Kwak of the University of Connecticut School of Law points out that the boom in gas and oil production that the US is experiencing is enabling the nation to become less dependent upon unstable regions for its energy needs. This means that investing in these resources could help to increase the power that the US has in the world, as boosting its gas and oil production could elevate its levels of self-sufficiency and makes sure that it is not reliant upon other countries for these commodities.

Oil Production Increasing

It is clear that the wealth of oil and gas investment opportunities in places like the Louisiana and Texas Gulf Coast regions are advantageous to both investors and to the country as a whole. They are capable of generating substantial profits for a prolonged period of time and can are also beneficial to the US economy and to its global status.

It is predicted that at some point this year, the US will be responsible for producing more crude oil than it exports, which hasn’t happened since 1995.

The International Energy Agency has stated that the country is likely to become the number one oil-producing nation by 2020 due to continued improvements in the productivity of companies that extract this commodity.

Gas Also on the Rise

Gas is an equally profitable resource, with the Wall Street Journal predicting that abundant supplies will be produced for the next few decades.

The gas and oil industries are not likely to reduce in profitability in the near future. Their moneymaking potential is not only great but also possesses a high level of longevity, making these resources an impressive opportunity for those who wish to earn a large amount of money from their investments.