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Drive Smart – Foreign Oil and America

Foreign oilMany people wonder where America gets the bulk of its oil and how its dependence on foreign oil is affecting gas prices. This occurs for a number of reasons, of course, but the main reason gas prices go up is the price of crude and the general unwillingness of CEOs and oil companies to take a hit in the profit. In fact, as has been reported worldwide, oil companies are still turning in record profits regardless of the change in costs.

Foreign oil has long been an issue in America, as each political candidate appears with a desire to cut the dependence on it. John McCain has said continually that he is ready to cut dependence on it, but how willing are the candidates in reality? Is it possible to cut dependence on foreign oil and, better still, would it make diplomatic sense to suddenly cut ties with US allies?

Canada supplies the United States with more oil than any other country. In March 2008, Canada supplied the United States with 1,795 thousand barrels of oil EACH DAY. The totals keep on rising, too, as Canada continues to supply more oil to the US.

Second in foreign oil for America are their old pals in Saudi Arabia. Not only will the Bush family likely head there to retire, but many Saudis were flown out of the country directly after the 9/11 attacks. The incredibly diplomatic relations America has with the Saudis is largely constructed on the oil barons in the country, which find Saudi Arabia to be an incredibly satisfying piece of geographical significance. The Saudis supplied America with 1,535 thousand barrels in March 2008.

Rounding out the top five foreign oil producers for the United States, Mexico follows Saudi Arabia closely. Sure, America turns away illegal immigrants and cripples the economy courtesy of NAFTA, but Mexico still supplies a huge amount of oil, with 1,232 thousand barrels a day as of March ’08. Nigeria is next, with 1,154 thousand a day in March 2008. Following Nigeria is Hugo Chavez and Venezuela, which likely plays a role in America’s tentative-at-best relationship with the socialist. Venezuela not only was first on the scene in New Orleans after Hurricane Katrina, but they supplied America with 858 thousand barrels of oil a day in March 2008. Iraq, seemingly the hotbed of oil production, supplies 773 thousand barrels a day. With Saudi Arabia and Iraq together not accounting for as much oil as Canada exports to the United States, the idea of Middle Eastern oil dependency seems somewhat skewed.

So what can we do to decrease America’s dependence on foreign oil and save money at the gas pumps? The answer is, as always, to drive a car that gets better fuel economy like Toyota’s Scion. Hop on down to your Scion dealer today; tell them all about foreign oil dependency and the myth of Middle Eastern oil dependency, and test drive a Scion with a big grin on your face. Knowledge is power.

The 100th Anniversary of Middle Eastern Oil

pennsylvania Did you know that we’ve been drilling for oil in the Middle East for 100 years? Well, it’s actually 100 years and a few days as the actual discovery was on May 26, 1908. But you get what I mean.

On that historic day, William D’Arcy found a gushing well of oil in Iran. After drilling for seven years, he was about to give up. But he decided to try one more place. As it turns out, the last place that he tried was a huge success. Little did he know the impact he was going to have on the future of the region, the United States and the world in general.

But his plans almost failed. Only six years after this momentous discovery, his company and the Anglo-Persian Oil Company almost closed up shop. They had everything they needed – the oil, a way to pump it out and a way to distribute it. But they didn’t have customers. The auto industry was still in its infancy at the time and oil just wasn’t in demand like it is today. But World War I and Winston Churchill changed that. Churchill saw the benefits of using oil to run his navy during the war. As a result, oil turned to “black gold” and soon became one of the most precious resources in the world.

Interesting little fact, eh?

Knowing this, you might have a new appreciation for oil and how it came to be popular in our culture and all over the world. Keep this in mind when you visit your local Pontiac dealer and the next time you’re at a party. Since gas prices are the main topic of conversation everywhere, this could be a great icebreaker when there’s a lull in the conversation.

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