What is an independent oil and gas company? An Independent Oil and Gas Company is a company that obtains its profits from the production from the oil well. These companies concentrate on the production of oil and the extraction of oil.

Any company whose refining capability is lesser than 50,000 barrels of oil each day, or the companies whose sales amount to less than five million dollars per year, fall into the category of an Independent Oil and Gas Company. There are companies like Triple Diamond Energy Corp. that are categorized as independent companies. There are numerous firms that fall into this category, ranging from small companies to large public organizations.    

There are certain independent companies that fall into the private sector and have as little as about twenty employees. In a survey conducted by the Independent Petroleum Association of America in the year 1998, it was revealed that 47.6% of the independent companies are known as C Corporations and 27.7% is known as S Corporations.

As many as 91.4% of oil companies become independent companies rather than integrated companies for tax purposes. In the survey, about one fifth of the companies interviewed said that the stocks of their companies were up in the market for trade.   

The IPAA also conducted a survey to find out the source of the capital of these companies. The survey showed that 36.2% of the money is gathered by the company through its own resources while 27.8% is gained from the bank. For the rest, which is 20.3%, the investors like oil and gas partners provide the capital.  

How Will We Get Oil And Natural Gas In The Near Future?

There have been many discussions as to how the recent demand for biofuels and hydroelectric renewable sources of energy. However, these recent developments have not affected the oil, coal, and natural gas market in the United States. The U.S Energy Information Administration has reported in the Annual Energy Outlook 2007 that oil, coal, and natural gas still provide 86% of the total energy supply required by the United States.

In fact, the EIA predicts that the numbers will remain the same even in 2030. The EIA also foresees that the demand for energy in United States alone will soar to 131.2 quadrillion Btu in 2030 from the 100.2 quadrillion Btu in 2005. One does not know how this huge demand for fuel will be met with but one can have faith on companies like Triple Diamond Energy Corp.         

The lower forty-eight states have a matured production system. This has resulted in the movement of most companies away from the lower states to offshore America and many other countries around the world. The shift has been primarily noticed in the big integrated companies. These companies have transferred their attention to exploration and production in foreign countries primarily.

However, this means that the Independent Oil and Gas production companies are now responsible for energy production in the lower forty eight states. In the 1980s, the independent producers were accountable for 45% of the entire petroleum production in the lower forty eight states. That percentage has increased to as much as 60% in 1995 and right now, due to the shifting interests of integrated companies, the percentage has leaped to 90%.

According to the IPAA, the independent companies are responsible for 90% of domestic oil and gas well production, 68% of domestic oil production and 82% of domestic gas production. We rely on companies like Triple Diamond Energy Corp. to deliver to us the oil and natural gas that we require.