The global production of oil and petroleum liquids is estimated to have reached an average of 103 million barrels per day in 2024. That’s an increase of approximately 900,000 for the year, which is a relatively modest year-over-year increase, owing mostly to a slowdown in China’s economic growth.
While America is the global leader in both oil and gas production, several other nations are major producers, with large multinational companies driving extraction. This article will discuss the top oil and gas-producing nations, and their production compared to America’s.
The Top 5 Oil-Producing Nations In The World
1) America
America is the world’s largest oil-producing country, with an output of 21.91 million barrels per day in 2023. This is double the output of the next largest oil-producing nation. America is also the top producer of lease condensate and crude oil, with Texas being the country’s largest oil-producing state.
America is often described as a swing producer for its production fluctuations alongside market prices.
America is also a major oil consumer. In 2023, it consumed an average of 20.5 million barrels per day of petroleum products.
2) Saudi Arabia
In 2023, Saudi Arabia produced 11.1 million oil barrels per day, making it the second-largest producer in the world. As a major OPEC member, Saudi Arabia is also the world’s largest petroleum exporter. It is home to 17% of the world’s proven petroleum reserves.
The Saudi economy is heavily reliant on its petroleum sector. It accounts for roughly 42% of its GDP, 87% of budget revenues, and 90% of its export earnings.
3) Russia
Despite economic sanctions and trade restrictions imposed on it since its invasion of Ukraine, Russia remains one of the world’s top oil producers. In 2023, it produced 10.75 million barrels of oil daily, around 11% of the global total.
Most of Russia’s reserves are between West Siberia’s Central Siberian Plateau and the Ural Mountains. Russia has responded to export bans from countries like the US, UK, and Canada by meeting heavy demand from China and India.
4) Canada
Canada is fourth, producing 5.7 million barrels per day in 2023, 6% of the global share. Much of its oil production comes from the oil sands of Alberta, Atlantic offshore fields, and the Western Canada Sedimentary Basin.
The majority of Canadian energy exports are to America. In 2023, 60% of American crude imports originated from Canada, a 27% increase compared to 2013.
5) China
China is the fifth-largest oil producer, responsible for 5.26 million barrels per day in 2023, around 5% of total production.
The northeast and north-central regions supply most Chinese domestic production. Mature fields such as Daqing have been heavily drilled for oil for many decades, so companies are heavily investing in enhanced oil recovery techniques, including polymer, stream flooding, and water injection, to offset some of the production declines.
Additionally, China is now the second largest consumer behind the US.
The Top 5 Natural Gas-Producing Nations In The World
1) America
America leads global natural gas production, producing 1.35 trillion cubic meters, nearly a quarter of total production in 2023. It accounts for 25% of global production. This output has increased by over 350 billion cubic meters in the past decade, largely due to increasing coal costs and advancements in fracking technologies.
It’s also the largest consumer of natural gas, with demand totalling 886.5 billion cubic meters in 2023. Most of this demand was for home heating and electricity generation. Appalachia leads production, contributing 29% of total output.
2) Russia
Russia is the second-largest exporter and producer of natural gas, at 586.4 billion cubic meters in 2023. It boasts the world’s largest known natural gas reserves. Gazprom, the state-owned energy group, is reported to hold a 16.3 percent share of global natural gas reserves.
European rejection of natural gas following its invasion of Ukraine led to a 41% decrease in revenues in the first three quarters of 2023.
3) Iran
Iran is third, producing 251.7 billion cubic meters. It also has the second-largest natural gas reserves (shared with Qatar), but its infrastructure severely lags behind America’s and Russia’s.
Iran’s production has tripled in the past decade, making it the Middle East’s largest producer. With a US $80 billion investment in its gas fields, Iran plans to boost its production capacity by 30% within five years.
4) China
In 2023, China produced 234.3 billion cubic meters of natural gas, which has grown by 92.3% since 2013, largely thanks to government incentives to transition away from coal to reduce air pollution and meet emissions targets.
However, China still relies on imports from Australia, Turkmenistan, America, Malaysia, and Russia to meet half of its demand. Shale, coal-bed methane, and natural gas hydrates are among the unconventional gas sources that account for 43% of China’s total output.
5) Canada
Canada has a proven natural gas reserve of 83 trillion cubic feet and produced 190.3 billion cubic meters in 2023. The Western Canadian Sedimentary Basin is the primary source of Canadian gas production, and significant offshore fields are located near Newfoundland and Nova Scotia.
Looking Forward…
For the next decade, America is near-certain to continue leading oil and natural gas production given the strength of its current lead. However, Russia, China, and Saudi Arabia, in particular, will continue to be extremely significant and influential players in global energy supply.
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