The Fundamentals of Petroleum
Oil and Natural Gas
Petroleum is a naturally occurring resource that fuels the U.S. economy and strengthens national energy security. Natural gas is a mixture of gases primarily composed of methane (70-90%) that forms over millions of years from organic matter under heat and pressure. Extracted through drilling, often alongside oil, natural gas is processed into usable energy. Together, oil and natural gas supply more than 60% of the nation’s energy—fueling transportation, heating homes, and cooking food, shaping daily life in countless ways.
As the world’s top producer of oil and natural gas, the United States benefits enormously from domestic petroleum production, which supports nearly 11 million American jobs and enhances energy security.
The Ongoing Demand for Oil and Natural Gas
Oil and natural gas are essential to meeting global energy needs. But some policymakers are pushing for government mandates that restrict energy options and limit consumer choice. Such policies risk driving up costs, reducing reliability and increasing dependence on foreign supply chains—particularly from China.
Beyond Transportation and Energy
Petroleum is more than just a fuel source for transportation, electricity, and heating. It is vital to manufacturing, infrastructure, and technological advancements. Restrictive policies that push for a rapid shift away from petroleum fail to account for its indispensable role in daily life economic stability, and the realities of global energy demand.
5 Point Policy Roadmap to Secure American Energy Leadership
Strong domestic energy policy is crucial for keeping energy reliable, affordable, and secure. The American Petroleum Institute’s Five-Point Policy Roadmap outlines key priorities to strengthen U.S. energy leadership, lower costs for consumers, and reduce reliance on foreign supply chains.
- Protecting Consumer Choice
- Bolstering Geopolitical Strength
- Leveraging Natural Resources
- Reforming the Permitting System
- Advancing Sensible Tax Policy
By prioritizing these policies, the U.S. can maintain its leadership in energy production while ensuring affordability and security for all Americans.