According to the U.S. Energy Department – domestic oil production will soar for years to come – scaling to levels not seen in nearly half a century by the year 2016. Domestic oil production is projected to increase by an average of 800-thousand barrels a day annually through 2016 – nearly reaching the 1970 historic high of 9.6-million barrels a day. Experts say this annual outlook from the Energy Department’s Energy Information Agency confirms the U.S. is well on its way to achieving virtual energy independence.
The increase should bring the imported share of oil supplies down from the current 37-percent to 25-percent in 2016. The country imported half of its oil supplies just a few years ago. The report predicts the increase in production here at home will contribute to a decline in the world oil benchmark price to 92-dollars a barrel in 2017. That’s 20-dollars a barrel less than the 2012 average of 112-dollars a barrel and should translate into lower prices at the gas pump.