?North Americans have been “flying blind” for the past few decades and need to take into account domestic energy shortcomings, according to Simmons & Co. International chairman Matt Simmons.
It has long been believed that when it comes to energy, Alaska is the lifeblood of the West Coast, as Alberta is to the Midwest, he told World Affairs Council of Houston members recently.
The three “energy amigos”—the U.S., Canada and Mexico—have long been content with their respective production levels and fully expected that new sources could be found when existing ones were tapped. The presumption that these energy sources would be the backbone of a continuing energy industry is leaving these countries with an unrealistic understanding of energy demands, Simmons said.
Of the 50 U.S. states, only Wyoming is a net energy exporter. All other states consume more energy than they produce, and many are “energy parasites,” contributing little or none of their own energy supply.
To make matters worse, North American production is losing ground. Both U.S. and Canadian output remains in decline, and Mexico is effectively in collapse. Mexico’s fall has been less devastating until now, since Mexico uses an average of about seven barrels of oil per resident per year, while U.S. and Canada each use 25 to 30 barrels per resident per year.n

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