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Mr. Erik Milito - The House Committee on Natural Resources ...

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January 2012<br />

TABLE 3 – NET (Alternative Minus Baseline)<br />

<strong>Natural</strong> Gas Liquids Producti<strong>on</strong>, milli<strong>on</strong> barrels<br />

Increase in producti<strong>on</strong> relative to amount associated with baseline number of leases and permits issued<br />

Year<br />

Colorado<br />

M<strong>on</strong>tana<br />

New Mexico<br />

North Dakota<br />

Utah<br />

Wyoming<br />

Total<br />

2011<br />

0.1<br />

0.0<br />

0.5<br />

0.0<br />

0.1<br />

0.3<br />

1.0<br />

2012<br />

0.3<br />

0.0<br />

2.2<br />

0.0<br />

0.4<br />

1.4<br />

4.3<br />

2013<br />

0.3<br />

0.0<br />

2.6<br />

0.0<br />

0.5<br />

1.6<br />

5.0<br />

2014<br />

0.4<br />

0.0<br />

3.5<br />

0.0<br />

0.6<br />

2.1<br />

6.7<br />

2015<br />

0.5<br />

0.0<br />

4.1<br />

0.0<br />

0.7<br />

2.4<br />

7.8<br />

Average<br />

0.3<br />

0.0<br />

2.6<br />

0.0<br />

0.5<br />

1.6<br />

5.0<br />

Source: Ec<strong>on</strong>omics Internati<strong>on</strong>al Corp. calculati<strong>on</strong>s based <strong>on</strong> informati<strong>on</strong> from BLM Oil & Gas Statistics (2010) and<br />

ICF Internati<strong>on</strong>al Rocky Mountain Forecasts (2011)<br />

When it comes to oil producti<strong>on</strong>, (Table 4), returning to the 2007/2008 average level of leases and permits issued would<br />

result in a 9.9 milli<strong>on</strong> barrel a year average increase <strong>on</strong> federal lands in western states oil producti<strong>on</strong> over the 2011-2015<br />

period relative to the producti<strong>on</strong> that would occur under 2009/2010 average leasing and permitting levels.<br />

A return to 2007/2008 federal leasing, permitting and new drilling levels would generate a projected average of 3.6<br />

milli<strong>on</strong> additi<strong>on</strong>al barrels of oil each year over the next 5 years from the state of Wyoming al<strong>on</strong>e. In Utah, oil producti<strong>on</strong><br />

would grow by an average of 1.4 milli<strong>on</strong> barrels each year over the next 5 years under a return to 2007/2008 federal land<br />

productivity measures. And North Dakota would experience an average 800,000 barrel per year jump each year over the<br />

projected horiz<strong>on</strong>.<br />

Figure 13:<br />

Oil Producti<strong>on</strong> From Leases <strong>on</strong> BLM Lands*<br />

*Western States (Includes Colorado, M<strong>on</strong>tana, New Mexico, North Dakota, Utah and Wyoming)<br />

Source: Ec<strong>on</strong>omics Internati<strong>on</strong>al Corp. calculati<strong>on</strong>s based <strong>on</strong> informati<strong>on</strong> from BLM Oil & Gas<br />

Statistics (2010) and ICF Internati<strong>on</strong>al Rocky Mountain Forecasts (2011)<br />

22

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