ConocoPhillips chairman and ceo Ryan Lance told policy makers at a briefing for the Center for Strategic and International Studies (CSIS) that the US is approaching a surplus of crude oil production a ban on crude oil exports written into the 1975 Energy Policy and Conservation Act when there were energy shortages.
“The US energy situation has improved significantly since the ban was put in place,” Lance said. “Government should recognise the new reality of the renaissance that has transformed North America from energy scarcity to abundance, and enable the industry to keep it going. We have just scratched the surface of its potential, and can help ensure that the renaissance continues as an engine of long-term economic growth by exporting our excess crude oil into the world market.”
He said that US light oil production already exceeded refining capacity on a seasonal basis, would do so all year round 2017 and exports of 1.5m to 2m barrels per day would be needed by 2020.
“Multiple studies confirm the economic benefits of oil exports,” said Lance. “These include increased US production, a higher gross domestic product and average household income, improved balance of trade, creation of one million new jobs at the peak, lower consumer fuel costs, and greater revenue generation for government.
“We urge the federal government to recognise these realities. The Administration and Congress should act immediately,” he stated.
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