Energy Tomorrow Blog
Posted November 12, 2014
EIA Today in Energy Blog: Increased natural gas production is projected to satisfy 60% to 80% of a potential increase in demand for added liquefied natural gas (LNG) exports from the Lower 48 states, according to recently released EIA analysis. The report, Effect of Increased Levels of Liquefied Natural Gas Exports on U.S. Energy Market, considered the long-term effects of several LNG export scenarios specified by the Department of Energy's Office of Fossil Energy (FE). The study also considered implications for natural gas prices, consumption, primary energy use, and energy-related emissions. Effects on overall economic growth were positive but modest. A discussion of caveats and limitations of the analysis is also included.
Posted November 4, 2014
Even before Americans went to the polls Tuesday, it’s clear American-made energy is this year’s winner. You could see it in pre-election public opinion surveying showing overwhelming support for increased production of domestic oil and natural gas as a job creator (90 percent), a national priority (87 percent) and as a boon to consumers (79 percent).
Regardless of who wins the most seats in Congress, the nation’s leaders should view policy choices with the knowledge that Americans strongly believe the ongoing U.S. energy revolution is a catalyst for individual prosperity, overall economic growth and national security. API President and CEO Jack Gerard, in a guest post for The Hill:
It may take weeks and a few run-off elections to determine control of Congress. But the American people have already given the House and Senate a clear mandate: create jobs, boost the economy and advance America’s energy security through commonsense energy policies.
Here’s how we know this is true: As you look across the expanse of America, represented in the different state contests for the U.S. Senate, there’s broad bipartisan support for U.S. energy.
Posted October 31, 2014
Fox News:Why is the White House Delaying the Keystone XL Decision?
Read more: http://bit.ly/1pbMGbR
Posted October 30, 2014
A new study details the essential tie between America’s ongoing energy revolution and advanced technologies of hydraulic fracturing and horizontal drilling. Specifically, virtually every barrel of domestic oil production growth over the past five years can be attributed to fracking and horizontal drilling – which has positively impacted global crude markets and saved consumers billions of dollars.
Kyle Isakower, API vice president for regulatory and economic policy, discussed the ICF International study during a conference call. The study calculates the impact of safe fracking and horizontal drilling on crude markets and prices at the pump. Isakower:
“Economists are still debating where the markets might go from here. But for the average consumer, there’s no question that America’s energy revolution has provided a welcome source of savings. … By comparing historical price and production data against a scenario without advanced drilling, it paints a clear picture of where we would be without the technology-driven energy revolution.”
Posted October 28, 2014
In an interview with the Huffington Post, U.S. Interior Secretary Sally Jewell, in just a handful of minutes, does a pretty good job answering some of the most common attacks on hydraulic fracturing and horizontal drilling made by opponents of fracking – many of whom apparently want no part of the job creation, increased U.S. energy security and reduced emissions of methane and carbon dioxide that safe and responsible fracking brings. Jewell:
“Fracking has been around for over 60 years. It is the ability to actually unlock oil and gas from reservoirs away from the wellbore. New techniques with directional drilling and staged fracking have enabled people to direct those fractures into formations that release a lot of oil and gas a long way away – maybe two miles from the actual wellhead.”
In a nutshell she describes the marriage of advanced hydraulic fracturing and horizontal drilling that is responsible for America’s ongoing energy renaissance – dramatically increasing domestic oil and natural gas production from vast shale reserves to the point where the U.S. now is No. 1 in the world in natural gas production and is expected to be No. 1 in oil output soon.
Posted October 22, 2014
This from Judi Greenwald, the Energy Department’s deputy director for climate, environment and efficiency, talking about methane regulation during a panel discussion this week (as reported by Fuel Fix.com):
“We know enough to act. There are uncertainties about methane emissions — and part of the administration’s strategy is to improve our numbers — but we know enough to take some action, and this problem may be easier to solve than many characterize.”
While others talk about methane and problem solving, industry already is significantly lowering methane emissions – even as natural gas production soars, thanks to safe fracking.
Posted October 16, 2014
Early in a panel discussion of energy policy and politics hosted by Real Clear Politics, the question was asked whether U.S. voters pay much attention to energy issues in an election year. RCP tweeted panelist/Wall Street Journal energy reporter Amy Harder’s response - that voters only notice energy when the prices are high.
Certainly, that’s generally been an accurate analysis. Less than a decade ago energy issues were challenging for U.S. policymakers staring at flat or declining domestic oil and natural gas production
But the U.S. energy picture has been dramatically altered by surging production here at home – an energy revolution made possible by advanced hydraulic fracturing and horizontal drilling and vast resources in shale and other tight-rock formations. Result: Good news in the absence of challenging energy developments – for U.S. consumers (if not for hosts of events on the intersection of energy and politics).
Posted October 15, 2014
Natural gas production in the Marcellus Shale continues to surge – and with it, industry spending on construction and maintenance, according to a new study.
The latest drilling productivity report from the U.S. Energy Information Administration (EIA) projects Marcellus natural gas output will hit 15,828 million cubic feet per day (mcf/d) or about 37.1 percent of production from the major U.S. shale plays. EIA expects Marcellus output will top 16,000 mcf/d in November.
The production gains are reflected in industry spending on workers in construction and maintenance from 2008 to 2014 – the subject of the new study by the Oil and Natural Gas Industry Labor-Management Committee. The study showed spending grew more than 60 percent between 2012 and 2013, reaching $5 billion, resulting in a 40 percent increase in jobs in eight trades (union and non-union members included). Another $6.5 billion already is committed for 2014, the study reports.
Posted October 10, 2014
A new University of Colorado study affirms the dynamic and critical role energy development is playing in the state – in terms of support for public schools, job creation and the economy.
Just looking at 2012, oil and natural gas activity generated more than $200 million for Colorado schools, supported nearly 94,000 jobs in the state and created more than $23 million in state economic activity, according to the report conducted by the university’s Leeds School of Business and commissioned by API.
Posted October 10, 2014
The U.S. Energy Information Administration (EIA) has another report on oil imports that underscores the incredible sea change in America’s energy picture – due to increased domestic production of oil and natural gas. EIA says net imports of energy as a share of energy consumption fell their lowest level in 29 years for the first six months of 2014.
This is a snapshot of America’s energy revolution – the fundamental shift from energy scarcity to abundance that would have been unthinkable less than a decade ago. The shift is the result of surging oil and natural gas production using advanced hydraulic fracturing and horizontal drilling, harnessing oil and gas reserves in shale and other tight-rock formations. Safe, responsible energy development has made the United States the world’s No. 1 natural gas producer, and the U.S. could become the world’s top producer of crude oil related liquids before the year is out, the International Energy Agency reports (h/t Financial Times.com).