US DOE Report Supports Canada
A new report, commissioned by the U.S. Department of Energy (DOE), confirms that Canadian oil sands can provide that safe, reliable energy source America needs.
According to this report, the United States could reduce the nation’s dependency on non-Canadian sources, including oil from countries that do not always share our interests, such as the Middle East, Mexico and Venezuela.
Following are key findings from the DOE report:
- The United States will rely on oil imported from other countries through 2030, requiring 11 million barrels of oil per day to meet the nation's energy demand.
- Canada could supply our nation with nearly 40% of our imported oil by 2030 per the graphic below.
Source: U.S. Department of Energy
- Crude oil imports into the USA from Mexico and Venezuela have been declining in recent years, therefore the United States will need to replace those imports from another source. Thus, it makes the most sense for the United States to obtain its oil supply from a country with a growing supply and our shared interests.
- Over the next 20 years, Canada has the choice between moving increasing crude oil volumes to the United States or to Asia. Led by China, Asia constitutes the major region for future petroleum product demand. If more oil is shipped to Asia instead of the United States, this would lead to higher U.S. imports of crude oil from non-Canadian sources, notably the Middle East., as the graphic below illustrates.
Source: U.S. Department of Energy
- In all scenarios considered, increases of Canadian crude oil imports into the United States correspondingly reduce imports of foreign oil outside of North America and the scale of “wealth transfers’ to those sources for the import costs of the crude oils.
To read the study in its entirety, click on the links below:
