We cannot naysay the fact that the oil demand is increasing worldwide and so the prices are also increasing globally. The oil industry does not produce oil for fueling vehicles only there are multiple other uses too. Most countries are dependent on the US for the import of oil and this is a reason, USA’s economy is strengthening.
New investors usually have to face certain barriers while entering the oil industry because existing ones have created a monopoly. In this blog, you will learn some important facts about the oil industry so let’s explore the details:
The US is the Leading Oil Producing Industry
It is a fact that Russia and Saudi Arabia used to be the main suppliers of oil due to massive oil reserves however USA’s speedy refining process has made it one of the leading industries. As per the reports, the US produces 11.6 million barrels of oil per day while Saudi Arabia has a production of 11.4 million barrels per day and the US is the third number with a production of 10.6 million barrels per day.
So, we can say that the USA is in a leading position with the highest production of oil. It is predicted that the US will continue producing maximum oil due to its high reserves.
The Consumption per Year is increasing
We cannot deny the fact that the consumption of oil is increasing with time because most other industries are also dependent on it. People usually think that the main use of oil is for commuting only but this is not the case in reality.
From chemical to petrochemical industry, most of the industries rely on oil production and so is the case with oil-filled radiators as they too are based on oil and prove more energy efficient as compared to other heaters.
The oil Industry offers High Remuneration
It is a fact that people who work for oil companies usually get more salaries as they get favorable remuneration packages as compared to other industries. This is a reason people prefer to apply to oil companies for a bright career. If you have a plan to make a place in the oil industry, make sure you have sound knowledge of the field because these are important things.
Oil is often referred to as Texas Tea
Do you know the fact that 36% of the oil production comes from Texas and this is a reason, oil production in the US is often referred to as Texas tea? The US holds approximately one-third of total reserves and it was often called black gold too.
Oil Industry has Several Barriers for New Entries
It is a fact that the oil industry has barriers for new entries who want to make a place in the market. Existing companies have created a monopoly due to which, new entries face troubles. In short, these are a few facts about the oil industry that are important to know.