invest globally. fuel locally.

December 6, 2007

Most of the world’s major economies import oil and natural gas to meet their energy needs, even though they may have large amounts of these resources at home. This includes the United States. Today, about 30 percent of total U.S. energy demand is met by net imports of all energy types.

Americans’ participation in the global energy market brings many benefits. It helps our economy grow, which leads to higher incomes and more jobs. Since 1970, the U.S. Gross Domestic Product has more than doubled as U.S. oil imports have increased.

It also gives Americans a wide variety of supply choices. Last year, the United States imported energy from more than 35 nations. Other than North America, no single region accounted for more than 15 percent of U.S. crude oil imports. This diversity of supply reduces the impact of a disruption in any one country, including our own.

For example, when hurricanes temporarily shut-in over 25 percent of U.S. refining capacity two years ago, imports of fuel from overseas helped fill the gap. Thanks to the global energy trade, Americans faced few supply shortages during the crisis.

Access to imports will continue to play a vital role as U.S. energy demand grows. Meeting Americans’ needs in the future will require investments in energy across a wide range of geographic sources, as well as a continued commitment to innovation. Many of today’s energy projects would not have been possible with the technology that existed just a decade ago.

For example, on Russia’s remote Sakhalin Island, ExxonMobil is safely producing oil and gas in a sub-Arctic environment that for many years was considered unsuitable for large-scale development. Off the West Coast of Africa, we are using innovative offshore drilling technology to produce high-quality crude that can reach U.S. shores in about two weeks.

ExxonMobil expects to start-up 18 major projects around the world in the next two years. These projects, at their peak, will produce energy equal to 800,000 barrels a day of oil. That’s enough energy to fuel over 20 million cars. These investments strengthen U.S. energy security by expanding global supplies and providing Americans with more options.

Some have argued for closing doors to oil and gas imports and pursuing “energy independence.” This approach would reduce Americans’ choices and weaken the international system of energy trade and investment that enables the development of additional supplies.

Americans should instead keep our doors open. By investing in energy globally, we can help meet our energy needs locally. And more energy from more geographic sources around the world strengthens U.S. energy and economic security.

This is the third of a three-part series on U.S. energy security.