Forecast: Value Added of Oil and Gas Extraction in the US

The value added of oil and gas extraction in the US has demonstrated significant volatility over the past decade. The most notable drops occurred in 2015, 2016, and 2020, with year-on-year decreases of -43.33%, -11.82%, and -41.79% respectively. The sector rebounded strongly in 2021 with a notable year-on-year increase of 121.71%, followed by a drop in 2022 and a slight recovery in 2023. In 2023, the value stood at 202.77 billion USD. The average annual growth rate (CAGR) from 2018 to 2023 was 0.89%, indicating moderate growth.

The future trends to watch for include:

• Renewed investments and regulatory changes that may impact the industry.
• Advancements in extraction technology improving efficiency.
• The influence of global oil prices and geopolitical tensions on the sector’s value.
• Increasing focus on renewable energy sources potentially disrupting traditional oil and gas extraction.
• The forecasted average annual growth rate of 3.57% from 2024 to 2028 suggests a stable, albeit moderate, increase in value, with an overall growth rate of 19.19% over this period.