Petroleum, also called crude oil, is a naturally occurring liquid found beneath the earth’s surface that can be refined into fuel. A fossil fuel, petroleum is created by the decomposition of organic matter over time and used as fuel to power vehicles, heating units, and machines, and can be converted into plastics.

Because the majority of the world relies on petroleum for many goods and services, the petroleum industry is a major influence on world politics and the global economy.

Understanding Petroleum

The extraction and processing of petroleum and its availability is a driver of the world’s economy and geopolitics. Many of the largest companies in the world are involved in the extraction and processing of petroleum or create petroleum-based products, including plastics, fertilizers, automobiles, and airplanes.