Oil in the United States: A Revolution on the Horizon

صورة توضيحية

The phenomenon of shale oil has returned to the forefront of politics. Unconventional oil and gas have been known to exist for some time and are available in large quantities. But the high cost of production has prevented their commercial extraction in the past. The rise of the price of oil since early 2001, however, has reignited interest. This paper examines this new interest and its impact on the price of oil in international markets. It also looks at the possible repercussions that could emerge in the long run among the Gulf Cooperation Council (GCC) States on the economic, political and geostrategic levels. The oil shale resources available globally could enable this resource to become one of the most important unconventional fuel sources in the world. In addition to its ubiquitous presence in North America, it is available in large quantities in Brazil, historic Palestine, Jordan, Indonesia, China, Australia, Estonia, France, Spain, Sweden, Britain, and South Africa. If these countries, which include major industrial nations and others on their way to become significant industrial forces, were to begin extracting their oil, all the economic, political and geostrategic calculations that have been based on conventional fuel will have to be reconsidered.

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The phenomenon of shale oil has returned to the forefront of politics. Unconventional oil and gas have been known to exist for some time and are available in large quantities. But the high cost of production has prevented their commercial extraction in the past. The rise of the price of oil since early 2001, however, has reignited interest. This paper examines this new interest and its impact on the price of oil in international markets. It also looks at the possible repercussions that could emerge in the long run among the Gulf Cooperation Council (GCC) States on the economic, political and geostrategic levels. The oil shale resources available globally could enable this resource to become one of the most important unconventional fuel sources in the world. In addition to its ubiquitous presence in North America, it is available in large quantities in Brazil, historic Palestine, Jordan, Indonesia, China, Australia, Estonia, France, Spain, Sweden, Britain, and South Africa. If these countries, which include major industrial nations and others on their way to become significant industrial forces, were to begin extracting their oil, all the economic, political and geostrategic calculations that have been based on conventional fuel will have to be reconsidered.

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