Daily News: June 14, 2013

Paragon Financial: Oil & Gas Fueling Factoring Services

Paragon Financial said it is seeing increased interest in factoring services such as invoice factoring for the oil and gas industry. Paragon notes that the U.S. oil and gas industry is experiencing a dramatic surge in production thanks to new technologies that enable the industry to produce more output at lower cost.

Citing a report from Ernst & Young, Paragon said the U.S. will remain the largest source of new oil growth worldwide in the coming years, aided by the shale boom. Indeed, the U.S. may be on its way to becoming the world’s largest oil producer, the title now held by Saudi Arabia.

Paragon notes that according to the newly released Statistical Review of World Energy, an annual compilation of industry trends published by BP, crude production in the U.S. jumped 14% last year to 8.9 million barrels a day.

Natural gas is also experiencing tremendous growth thanks to the technologies that make available large amounts of shale gas. According to the Wall Street Journal most of this new production is coming from dense shale-rock formations, such as the Bakken Shale in North Dakota and the Eagle Ford Shale in Texas.