The EIA, a section of the U.S. Department of Energy, predicts world oil production will grow at 1.16% per annum, during the period 2005 â€“2030, compared to consumption growth of 1.19% during the same period. For natural gas, the supply is forecasted to be in deficit through 2030, which is a positive for the Canadian natural gas industry since the deficit is likely to result in increased demand for imports from Canada.
Because the slowdown of the U.S. and global economies has substantially reduced demand for the near term, the Alberta provincial government introduced a new transitional rate for companies that drill new gas or conventional oil wells at a depth of between 1,000 and 3,500 m. The changes made by the government are likely to save companies that meet the drilling criteria and will be positive in stimulating spending and drilling.
Although the short term appears to be bleak for oil, the long term will bring record demand as more global economies emerge. According to Jim Rogers, oil reserves are dropping at an alarming rate of 7% per year. Of course when the lack of available supply is obvious and oil prices resume their upward climb, oil producers will be competing against each other for the business of oil service companies. Enterprise Oilfield Group is perfectly positioned to take advantage of this anticipated demand with its fleet of over 260 trucks and heavy-duty units, and its ability to offer a full array of services to multiple clients simultaneously.
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