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Oil and Gas

Oil - imports:

98,100 bbl/day

Oil - proved reserves:

259 million bbl

Year

Oil - proved reserves

Rank

Percent Change

Date of Information

2003

532,000,000

45

January 2002 est.

2004

532,000,000

45

0.00 %

1 January 2002

2005

532,000,000

46

0.00 %

1 January 2002

2006

532,000,000

48

0.00 %

1 January 2002

2007

259,000,000

56

-51.32 %

2006 est.

Gas:

Cuba Dry Natural Gas Production and Consumption by Year

(Trillion Cubic Feet)

year

production

consumption

1980

0.001

1

1981

0.0003

0.3

1982

0.0003

0.3

1983

0.0003

0.3

1984

0.0001

0.1

1985

0.0002

0.2

1986

0.0002

0.2

1987

0.001

1

1988

0.001

1

1989

0.001

1

1990

0.001

1

1991

0.001

1

1992

0.001

1

1993

0.001

1

1994

0.001

1

1995

0.001

1

1996

0.002

2

1997

0.026

26

1998

0.014

14

1999

0.018

18

2000

0.021

21

2001

0.011

11

2002

0.012

12

2003

0.013

13

2004

0.013

13

Natural gas - proved reserves:

70.79 billion cu m

Year

Natural gas - proved reserves

Rank

Percent Change

Date of Information

2003

42,620,000,000

65

January 2002 est.

2004

42,620,000,000

65

0.00 %

1 January 2002

2005

42,620,000,000

65

0.00 %

1 January 2002

2006

70,790,000,000

60

66.10 %

1 January 2002

2007

70,790,000,000

61

0.00 %

1 January 2005 est.

Cuba Hydroelectric Power Production and Consumption

by Year (billion KWH)

year

production

consumption

1980

0.1

0.1

1981

0.06

0.06

1982

0.04

0.04

1983

0.06

0.06

1984

0.07

0.07

1985

0.05

0.05

1986

0.06

0.06

1987

0.04

0.04

1988

0.07

0.07

1989

0.08

0.08

1990

0.1

0.1

1991

0.1

0.1

1992

0.08

0.08

1993

0.08

0.08

1994

0.05

0.05

1995

0.07

0.07

1996

0.09

0.09

1997

0.13

0.13

1998

0.1

0.1

1999

0.1

0.1

2000

0.09

0.09

2001

0.07

0.07

2002

0.11

0.11

2003

0.1

0.1

2004

0.09

0.09

Cuba Geothermal, Solar, Wind, and Wood Waste Electric Power Production and Consumption by Year (billion KWH)

year

production

consumption

1980

0.88

0.88

1981

0.9

0.9

1982

0.96

0.96

1983

1

1

1984

1.03

1.03

1985

1.04

1.04

1986

1.09

1.09

1987

1.11

1.11

1988

1.21

1.21

1989

1.18

1.18

1990

1.1

1.1

1991

0.96

0.96

1992

1.02

1.02

1993

0.68

0.68

1994

0.68

0.68

1995

0.52

0.52

1996

0.7

0.7

1997

0.72

0.72

1998

0.73

0.73

1999

0.68

0.68

2000

0.7

0.7

2001

0.73

0.73

2002

0.75

0.75

2003

0.76

0.76

2004

0.78

0.78

Conclusion

Cuba is strategically located only 90 miles from the coast of Florida. Its offshore has proven reserves of 283.5 million barrels of oil and 636 billion cubic feet but is estimated to house more than 3 to 4 billion barrels of potential resources. Cuba will provide an expanding opportunity for the construction of power stations and sale of electricity supplies as well as an expanding market for oil use. Its strategic location would also make it well suited as an energy-trading entrepot in refined products, oil storage and natural gas development and transshipment.

Economic sanctions against Cuba are blocking promising ventures that could help enhance U.S. energy security, create a diversified energy supply for Florida, help ease an expected shortage in U.S. local refining capacity and provide over $2 to 3 billion annually in oil and gas trade business opportunities for U.S. energy firms.

Besides oil and gas activities, additional opportunities exist for U.S. energy firms that build and operate power plants in Cuba. To meet rising electricity demand projected in this study, Cuba would have to spend $20 to $60 million or more for construction new combined cycle capacity. Moreover, Cuba also represents a significant market for the importation of energy business related construction equipment such as rigs, pipes, specialized fluids and muds and other oil and gas related infrastructure development contracts and material.

Analysis of future relations with Cuba should take these energy sector issues into account. A healthy transition for the Cuban economy that would include U.S. participation could also benefit the U.S. energy sector. It is an important factor that needs to be considered in mapping Cuba’s future in our hemisphere. While energy considerations are not the only issue at stake in U.S. policy towards Cuba, it nonetheless is an important aspect that is generally ignored.