Skip to comments.UN report: US can quickly become a vast energy power and exporter of cheap energy
Posted on 12/08/2010 4:48:46 PM PST by jazusamo
Toronto's Globe & Mail quotes a UN report that includes this observation: "Within a decade or so, North America will almost certainly emerge as the world's biggest supplier - and exporter - of reasonably cheap energy."
How can that be? As The New York Times reported last month, it's because the U.S. is incredibly rich with natural gas and oil shale deposits that can be reached affordably using hydraulic fracturing, the injection of liquids into rock formations thousands of feet below the drinking water table.
The injections force the gas or oil into recoverable areas, thus opening up millions of new barrels of oil and trillions of feet of natural gas for production here in America.
These new resources are having a profound impact on the U.S. energy situation and it's happening right now, not off in some projected future, as is the case with the arrival of alternative energy resources like solar, wind, and biomass.
Intrigued? Here's more detail from the Globe & Mail:
"With rising production from shale fields, the U.S. surpassed Russia last year to become the world's largest supplier of natural gas.
"Shale now accounts for 10 per cent of the country's natural gas production - up from 2 per cent in 1990. Chesapeake's production from its next Texas project, expected by the end of 2012, will by itself supply the energy equivalent of 500,000 barrels of oil a day.
"For new oil, the U.S. has the huge Green River play that overlaps Colorado and Utah, one of the largest shale oil fields in the world. The EIA reports that the country's proven reserves of crude rose last year by 9 per cent to 22.3 billion barrels.
"For natural gas, the U.S. has the four largest fields in the world: the Haynesville field in Louisiana (with production up by 77 per cent in 2009); the Fayetteville field in Arkansas and the Marcellus field in Pennsylvania (both with production up by 50 per cent); and the Barnett field in Texas and Oklahoma (with production up by double-digit increases).
"The EIA reports that proven U.S. reserves of natural gas increased last year by 11 per cent to 284 trillion cubic feet - the highest level since 1971."
That’s why I like Palin...one the biggest advocates for domestic energy production.
Agreed, she realizes it’s a win win situation going after our own energy.
"Progressives", other communists and America Haters will be up all night chewing their nails to the quick.
Seeing America become energy independant and bounce back from the depression they have put us in is the last thing they want to see.
It would be one of their worst nightmares come true.
I agree, it seems we may finally be reaching the point where many more people realize the enviro nazis have been our worst enemies when it comes to energy independence.
I wonder if the coal industry has been lobbying against natural gas. Foes of natural gas seem to have access to a lot of money lately.
Of course we can. Problem is liberals and spineless repubs won’t allow us to become just that.
Whoever runs on a cheap energy platform will have a message that will resonate with voters. A major part of that platform will be restoring the strength of the American dollar.
We can have less than $1/gallon gas if we have the will to squash the enviro-nuts.
That wouldn’t be surprising at all. The different groups and politicians fight against each other instead of doing what’s best for the country.
There’s a place for all of it, IMHO.
To say nothing of the Ben Bernank's redoubled efforts to lower the value of the dollars used to pay for said oil.
The faster oil increases in price the closer we get to some energy independence, jobs and good profits. The oil and gas Obama is keeping in the ground now is money in bank, growing in value.
You may wish to invest with that in mind, assuming you have a flexible time horizon for realizing profits.
We can see the impact all this new gas is having on the month price. There are some $3.95-$4.25 deals out there...
There is one big benefit to dependence on foreign energy: When theirs runs out (and it won't be soon), we'll still have ours.
Eliminate the DOE and let the states have the money for energy development.
We need the entire triumvirate of proven American energy products - Nuclear, petroleum and coal.
Let the cost of upgrading the grid be borne by our quickly burgeoning energy sector - deregulate it all.
OK, so how can we create a proposal to lease rights to develop this resource and use the lease income to reduce the federal debt? It seems to me that a well constructed proposal along those lines could create a good bit of populist traction. Kills the twin albatross of energy dependence and runaway debt with one well cracked shale stone, potentially.
Other than the fact that the Obamassiah “won’t allow it”, am I missing out on a legit, market-based reason why we don’t have a full court press on this?
“There is one big benefit to dependence on foreign energy: When theirs runs out (and it won’t be soon), we’ll still have ours.”
Our money will run out first, long before their oil runs out.
True but irrelevant. Their oil is cheaper in the first place, and oil companies are multinational corporations. When we buy oil from Texas or Alaska, the money doesn't somehow end up back in the people's pocket, except in a very small way from taxation and fees. It ends up in the pockets of Exxon, BP and others. We're not like Saudi Arabia or Norway where the government owns the oil companies.