The Banking Executive Magazine - April 2022 Issue

Who Owns World Resources? United States The United States U.S. is the top pe- troleum liquids producer in the world, averaging 18.6 million barrels per day (b/d) to account for 20% of the world’s production in 2020. It is also the top producer of crude oil. Much of the increased U.S. crude oil production is attributable to hy- draulic fracturing, or fracking, in Texas and North Dakota. Saudi Arabia Saudi Arabia contributes 10.8 mil- lion b/d, representing 11% of the world’s total petroleum liquids pro- duction. It holds 15% of the world's proved oil reserves and is the largest crude exporter. Saudi Arabia is mem- ber of the Organization of the Petro- leum Exporting Countries (OPEC). According to the CIA World Fact- book, the petroleum sector accounts for roughly 42% of the country’s gross domestic product (GDP), 87% of its budget revenues, and 90% of export earnings. Saudi Arabia’s major oil fields include Ghawar, Safaniya, Khurais, Manifa, Shaybah, Qatif, Khursaniyah, Zuluf, and Abqaiq. Russia Russia is one of the world’s top oil producers with an average of 10.5 million b/d in 2020, accounting for 11% of global production. The oil industry in Russia was priva- tized after the fall of the Soviet Union, but the state has since forced a consolidation and asserted more control over the sector. Western sanctions imposed after Rus- sia's invasion of Ukraine in 2014 have barred Russian energy compa- nies from accessing United States capital markets and drilling tech- nologies. In 2017, the 14 OPEC members and 10 non-OPEC oil ex- porters led by Russia formed OPEC+, which now sets export quotas for members and plays an influential role in global energy markets. Canada Canada holds the fourth spot among the world’s petroleum liquids pro- ducers. Canada’s main sources of oil production are the oil sands of Al- berta, the Western Canada Sedimen- tary Basin, and Atlantic offshore fields. China China accounts for 5% of oil world’s production. China was the world's largest oil importer in 2017. China's oil consumption of 14.3 million b/d in 2021 made it the world's second- largest consumer in the world after the United States. GAS Natural gas is a naturally occurring hydrocarbon and non-renewable fos- sil fuel that forms below the Earth’s surface. Natural gas is used for heat- ing, cooking, and electricity genera- tion. Natural gas can also be used as fuel for motor vehicles and in the manufacture of plastics. While natu- ral gas does technically still con- tribute to climate change when burned, it also burns much more cleanly than other fuels such as coal and oil. the BANKING EXECUTIVE 10 ISSUE 160 APRIL 2022