Published on

Published in: Business
  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide


  1. 1. Oil and Our Planet (Part I: A brief history of Oil and Its Economic, Cultural, and Social, Impact) What do you think we should do?
  2. 2. “ We Are Addicted to Oil .” George W. Bush January 31, 2007 <ul><li>I’ve often said one of the worst problems we have is that we’re dependent on foreign sources of crude oil, and we are…It is clear that when you’re dependent upon hydrocarbons to fuel your economy and that supply gets disrupted, we need alternative sources of energy. Sept. 26, 2005 </li></ul>
  3. 3. Oil - The Early Days
  4. 4. Oil The Early Days – Edwin Drake Titusville PA - 1859
  5. 5. Oil Formation and Extraction <ul><li>Formed Remains of tiny sea plants and animals that died millions of years ago </li></ul><ul><li>Conditions Buried under sand and silt and must be trapped under non-porous rock </li></ul><ul><li>Extraction Many methods offshore, to tar pits (Canada) significant drilling and costs. </li></ul>
  6. 6. Oil Formation and Extraction
  7. 7. Why is Oil important? Economic, Social, Cultural Impact <ul><li>America’s key Economic ingredient to becoming a </li></ul><ul><li>superpower. </li></ul><ul><li>Automobiles -Airplanes - Malls -Sporting Events </li></ul>
  8. 8. Why is Oil Important? Economic Impact <ul><li>Petrochemicals/Oil Products </li></ul><ul><li>Products derived from petroleum </li></ul>
  9. 9. Why is Oil Important/Military <ul><li>“ Oil fuels military power, national treasuries, and international politics.” </li></ul><ul><li>Robert E. Ebel – Center for Strategic and International Studies April 2002 </li></ul><ul><li>US has less than 5 percent of the World’s total population – consumes about 25% of the world’s total supply of oil. </li></ul><ul><li>Source: U.S. Department of Energy International Energy Outlook 2003 </li></ul>
  10. 10. Why is Oil Important/Vermont Perspective <ul><li>Tourism -Maple Sugaring </li></ul>
  11. 11. Oil as An Energy Source in the United States <ul><li>Nation’s total Energy Supply </li></ul><ul><li>40% Oil of the nation’s total energy supply </li></ul><ul><li>24% natural gas </li></ul><ul><li>23% Coal </li></ul><ul><li>8% Nuclear Power </li></ul><ul><li>5% Others </li></ul><ul><li>Source U.S. Department of Energy – Annual Energy Outlook 2004 </li></ul>
  12. 12. Oil Reserves Major Producer Proven Reserves Percentage of World total 1. Saudi Arabia 261. 8 25 2. Iraq 112.5 10.7 3. United Arab Emirates 97.8 9.3 4. Kuwait 96.5 9.2 5. Iran 89.7 8.6 6. Venezuela 77.8 7.4 Source: U.S. Department of Energy International Energy Outlook 2003
  13. 13. Oil and Our Planet US Foreign Policy and Oil Part II
  14. 14. Oil and US Foreign Policy <ul><li>After World War II – Oil would influence American foreign policy decisions. </li></ul>
  15. 15. Cold War Cold War and Oil . <ul><li>“ It was to the strategic interest of the United States to keep Soviet influence and Soviet armed forces as far as possible from oil resources in Iran, Iraq, and the Near and Middle East.” </li></ul><ul><li>Source: Klare, Machael. Blood and Oil. Henry Holt and Company, New York: 2004. </li></ul>
  16. 16. Oil and US Foreign Policy (Timeline) <ul><li>1945 (Feb) - Roosevelt Doctrine – Promised Saudi King Abdul Aziz ibn Saud protection for oil. </li></ul><ul><li>Truman & </li></ul><ul><li>Eisenhower Increased Military Aid to friendly producers in the Gulf </li></ul>
  17. 17. Oil and US Foreign Policy (Timeline) Truman <ul><li>(1947) Acting Secretary of State Robert Lovell assured the U.S. ambassador in Riyadh that if another power attacked Saudi Arabia, the United States “would take energetic measures to ward off such aggression.” </li></ul><ul><li>Source: Klare, Machael. Blood and Oil. Henry Holt and Company, New York: 2004. </li></ul>
  18. 18. Oil and US Foreign Policy – Eisenhower <ul><li>Joint congressional resolution (1957) </li></ul><ul><li>President was authorized “to use American combat </li></ul><ul><li>forces to defend friendly Middle Eastern countries </li></ul><ul><li>against Soviet-backed aggressors and to provide </li></ul><ul><li>additional arms and military assistance to pro- </li></ul><ul><li>American regimes” </li></ul>
  19. 19. Oil and US Foreign Policy (Timeline) <ul><li>Kennedy Dispensed US planes to Saudi Arabia when Yemeni forces attacked Saudi Arabia </li></ul><ul><li>Nixon In part due to Vietnam promoted a policy of increased military aid to friendly states in the Persian Gulf. </li></ul><ul><li>1980 (Jan 3) - Carter Doctrine </li></ul><ul><li>“ would use any means necessary including force” to keep the oil following from the Gulf. </li></ul>
  20. 20. Oil and US Foreign Policy (Timeline) <ul><li>▪ Iran-Iraq War </li></ul><ul><li>▪ Put Kuwaiti tankers under the American Flag </li></ul><ul><li>▪ Promised to protect the Saudi royal Family </li></ul><ul><li>▪ Provided Iraq with loans, intelligence support, arms. </li></ul>
  21. 21. Oil and US Foreign Policy (Timeline) <ul><li>Reagan </li></ul><ul><li>Supported Arms sales to Saudi Arabia in return for their support of the CIA’s efforts to topple soviet backed regimes </li></ul><ul><li>The Link Osama bin Laden, Al Qaeda, Taliban </li></ul>
  22. 22. Oil and US Foreign Policy (Timeline) <ul><li>1991 Gulf War “Desert Storm” </li></ul><ul><li>Hussein looking for a quick financial fix to debt incurred from his war with Iran marched his troops into Kuwait (Aug 2, 1990) </li></ul><ul><li>Hussein was “in a position to be able to dictate the future of worldwide energy policy, and that [would give] him a stranglehold on our economy.” Secretary of Defense Dick Cheney Sept 11, 1990 </li></ul>
  23. 23. Oil and US Foreign Policy (Timeline) <ul><li>Oil Production would have to grow by 60 percent </li></ul><ul><li>between 1999 and 2020 to meet anticipated world </li></ul><ul><li>consumption of 199 million barrels per day. </li></ul><ul><li>What does the future hold? Do we have an oil crisis? </li></ul><ul><li>Will improvements in technology help us keep up </li></ul><ul><li>with demand? Are there other sources of energy we </li></ul><ul><li>should pursue? </li></ul><ul><li>Source: US Department of Energy International Energy Outlook 2003 </li></ul>
  24. 24. Oil and Our Planet (Part III Global Warming)
  25. 25. Global Warming <ul><li>The U.N.'s Intergovernmental Panel on Climate Change issued a report on the state of planetary warming in February that was surprising only in its utter lack of hedging. &quot;Warming of the climate system is unequivocal,&quot; the report stated. What's more, there is &quot;very high confidence&quot; that human activities since 1750 have played a significant role by overloading the atmosphere with carbon dioxide hence retaining solar heat that would otherwise radiate away. The report concludes that while the long-term solution is to reduce the levels of CO2 in the atmosphere, for now we're going to have to dig in and prepare, building better levees, moving to higher ground, abandoning vulnerable floodplains altogether. </li></ul><ul><li>Source:,9171,1604908,00.html accessed 1 April 2007. </li></ul>
  26. 26. Oil and the Environment/Global Warming
  27. 27. Global Warming Definition <ul><li>An increase in the average temperature of the earth's </li></ul><ul><li>atmosphere, especially a sustained increase sufficient </li></ul><ul><li>to cause climatic change. </li></ul><ul><li>American Heritage Dictionary 2000 </li></ul><ul><li>An increase in the earth's average atmospheric </li></ul><ul><li>temperature that causes corresponding changes </li></ul><ul><li>in climate and that may result from the </li></ul><ul><li>greenhouse effect. </li></ul><ul><li>Random House Unabridged Dictionary 2006 </li></ul>
  28. 28. Causes of Global Warming (Greenhouse effect) <ul><li>Burning of </li></ul><ul><li>Oil/Gas </li></ul><ul><li>Coal </li></ul><ul><li>Natural Gas </li></ul><ul><li>Deforestation </li></ul><ul><li>Nitrous Oxide (natural and man made – (fertilizers) </li></ul><ul><li>Methane </li></ul>
  29. 29. Global Warming – Carbon Dioxide <ul><li>CO 2 along with other greenhouses gasses trap heat and warm the earth also contributes to - </li></ul><ul><li>Ocean acidification </li></ul><ul><li>Smog </li></ul><ul><li>Natural amounts of CO 2 have varied from 180 to 300 parts per million (ppm), today's CO 2 levels are around 380 ppm. 25% more than the highest natural levels over the past 650,000 years </li></ul><ul><li>Source: </li></ul>
  30. 30. Coal and Smog Pollution
  31. 31. Greenhouse effect and CO2
  32. 32. Greenhouse effect and CO 2
  33. 33. Global Warming Critics <ul><li>▪ Earth is in a natural warming phase the current </li></ul><ul><li>▪ Natural Vs. Human impacted warming </li></ul><ul><li>▪ If the earth is warming plants and humans will find ways to adapt. </li></ul>