While United States is becoming a self-sufficient energy producer of the world, Iraq is planning to become a leading oil supplier for China. This data has been revealed from world’s leading Energy Authority.
International Energy Authority (IEA), a Paris based energy authority has done this prediction in its world Energy Outlook report. Recently, USA has improved its technology one step ahead and took the initiative to access previous unrecoverable shale gas and its light and tight oil reserves. The US shale gas boom has taken the global outlook towards energy consumption towards a new leap.
According to IEA, "By around 2020, the US is projected to become the largest global oil producer - overtaking Saudi Arabia until the mid-2020s," IAE demanded that cost saving energy access methods of US will give its economy a new dimension.
It was the year of 2000, when Iraq exported 3mb/d, but after the evasion of UK and US forces, it stopped providing output, since 2003. US were keen to support Iraq for oilfield infrastructure reconstruction. Though, ancient process hampered the fast development process.
However, quick recovery is anticipated by the IEA, and said, "In our projections, oil output in Iraq exceeds 6mb/d in 2020 and rises to more than 8mb/d in 2035". IAE also revealed the fact that – "Iraq becomes a key supplier to fast-growing Asian markets, mainly China, and the second-largest global exporter by the 2030s, overtaking Russia."
USA has planned to counter China’s growing defense through construction of new marine bases in Australia’s Northern Territory. USA is also building bonds with India, using smart power techniques for the same issue.
IAE anticipates that Iraq tends to make $5trn (£3.14trn) in revenues - giving it some $200bn (£125bn) annually. IAE illustrated, "Translating oil export receipts into greater prosperity will require strengthened institutions, both to ensure efficient, transparent management of revenues and spending, to set the course necessary to encourage more diverse economic activity."
Source [Yahoo News]