Energy Tomorrow Blog
Posted September 24, 2013
New Energy Secretary Ernest Moniz often is asked how quickly his department will consider applications to export liquefied natural gas (LNG) to non-free trade agreement nations that are pending before his agency. Department approval of an LNG export permit for Dominion’s Cove Point, Md., facility earlier this month probably won’t give Moniz a reprieve from such questions.
That’s because after approving four LNG export applications over the past two and a half years – including three so far this year – there’s some talk that the U.S. has entered an LNG export “sweet spot” – the point where some argue that the cumulative natural gas the approved facilities are authorized to export, about 6 billion cubic feet per day, wouldn’t significantly affect domestic prices.
Posted September 23, 2013
Manage Risk, Reap Reward: With Good Rules, Fracking for Natural Gas and Oil Can Be Safe, Profitable
The Columbus Dispatch: When a former U.S. energy secretary tells a Columbus audience that hydraulic fracturing to extract oil and natural gas from shale formations can be done in a clean, safe way, that it’s all a matter of fixing errors in the process, that should inspire confidence.
And that’s obviously great news for Ohio, which has started to benefit economically from advances in this extraction process. Because of the newly accessible supply of natural gas, consumers have seen the cost come down after spiking in 2008, and prices could stay in the current range for decades.
Steven Chu, energy secretary under President Barack Obama from 2009 until this past April and now a Stanford University physics professor, was the keynote speaker on Tuesday at a conference by America’s Natural Gas Alliance. He called it a “false choice” to say that the U.S. has to choose between the environment and inexpensive natural gas.
Read more: http://bit.ly/16tlbKE
Posted September 19, 2013
Eagle Ford Oil Expected to Surpass 1 Million Barrels Per Day Next Year
Fuel Fix Blog: SAN ANTONIO, Texas — Eagle Ford Shale oil production is expected to reach 1 million barrels per day next summer — and keep growing as operators add tens of thousands of more wells to the giant South Texas field.
“This is a huge oil producer,” said Subash Chandra, a managing director and at the investment banking firm Jefferies & Co. He spoke Wednesday to more than 4,000 people attending Hart Energy’s third annual DUG Eagle Ford Conference at the Convention Center.
More than 11,100 wells have been permitted in the Eagle Ford since 2008, but the research firm DrillingInfo estimates there are at least another 85,000 wells left to drill in the field.
Read more: http://bit.ly/1a7zh8l
Posted September 19, 2013
Five years … and counting. The Keystone XL pipeline now has been under consideration by the Obama administration for five years – or about twice as long as it would take to complete the project linking Canada’s oil sands region with U.S. refiners onthe Gulf Coast and longer than a number of iconic projects highlighted here by the folks at Oil Sands Fact Check. So, what have we learned?
First, there’s the power of politics. Opponents of oil sands – and, generally, all fossil fuels – have waged a war of proxy against a shovel-ready project that would create tens of thousands of U.S. jobs, stimulate the economy and make our country more energy secure. Unfortunately, the Keystone XL has been turned into a symbol for an off-oil political agenda that’s detached from fact and reason
Posted September 16, 2013
Let’s see: Five years is 1,825 days, which is a pretty long time. Long enough to build the Hoover Dam, and long enough for Michelangelo to paint the ceiling of the Sistine Chapel. It’s long enough for Lewis & Clark to explore the American West and for the U.S. and its allies to win World War II.
But it’s not long enough for the Obama administration to approve construction of the full Keystone XL pipeline – and in the process side with 82 percent of Americans who want it built and clear the way for thousands of new U.S. jobs and greater U.S. energy security. Not long enough.
Posted September 12, 2013
Fracking Moves U.S. Crude Output to Highest Level Since 1989
Bloomberg News: U.S. oil production jumped last week to the highest level since May 1989, cutting consumption of foreign fuel and putting the U.S. closer to energy independence.
Drilling techniques including hydraulic fracturing, or fracking, pushed crude output up by 124,000 barrels, or 1.6 percent, to 7.745 million barrels a day in the seven days ended Sept. 6, the Energy Information Administration said today.
Rising crude supplies from fields including North Dakota’s Bakken shale and the Eagle Ford in Texas have helped the U.S. become the world’s largest exporter of refined fuels including gasoline and diesel. Texas pumped 2.575 million barrels a day in June, according to the EIA, enough to rank it ahead of seven members of the Organization of Petroleum Exporting Countries.
Read more: http://bloom.bg/15Tv3Ol
Posted September 10, 2013
Fracking, the Poor and Adding to Americans’ Disposable Income
Wall Street Journal (editorial): Last week we reported on a study showing that the U.S. oil and natural gas revolution may be the country's best antipoverty program, and the evidence keeps coming. A new report from IHS Global Insight estimates that fracking added the equivalent of a cool $1,200 to real household disposable income on average in 2012.
Lower costs for raw materials were passed on to consumers via lower home heating and electricity bills and lower prices for other goods and services. Wages also increased from a surge in industrial activity. On present trend, IHS predicts that unconventional oil and gas will contribute more than $2,000 a year by 2015 and $3,500 by 2025.
Overall the industry lifted economic growth by $283 billion last year.
Read more (subscription publication): http://on.wsj.com/13GJtDS
Posted September 9, 2013
If California Gets Its Act Together on Fracking, An Economic Boom Awaits
Forbes: Alex Epstein -- I live in California, a state where our government is practically bankrupt, businesses are fleeing, and 1.6 million citizens are unemployed. To say the least, our state needs an economic breakthrough.
Fortunately, we are on the verge of one. The state that gave birth to Silicon Valley has the opportunity to become Energy Valley, thanks to a miraculous technology that turns stone into oil.
That technology is called shale oil technology. Governor Brown calls it “an opportunity we can’t miss” because it can single-handedly turn our economy around.
Read more: http://onforb.es/17LLAYn
Posted September 6, 2013
Posted September 6, 2013
U.S. Oil Production Reaches Highest Level in 24 Years
Fuel Fix Blog: U.S. oil production last week hit its highest level in nearly a quarter century, as companies seek to capitalize on high oil prices, according to federal data.
Domestic oil production hit 7.621 million barrels per day in the week ending Aug. 30, the U.S. Energy Information Administration said in its latest weekly update.
That surpassed the 7.609 million barrels per day production mark set the week prior and was the highest production total since October 1989, when production averaged 7.644 million barrels per day.
Read more: http://bit.ly/1ad7bcL