natural gas “fracking” to consumption · “everything you know about peak oil is wrong.”...
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Sidney Green Enhanced Production, Inc. & Univ. of Utah Research Professor
October 5, 2016
Midwest Energy Policy Conference
© All rights reserved Enhanced Production, Inc.
Natural Gas “Fracking” to Consumption “The Case for Game-Changing Changes
for Hydraulic Fracturing”
What does this mean?
“the ability to spring back into shape” -- elasticity
“the capacity to recover quickly from difficulties” -- toughness
Energy Resilience?
How do we know if we have Resilience?
What price do we pay for it?
The Conference Theme is “Resiliency”
“Everything you know about Peak Oil is wrong.” --------------
NY Times, Jan 2012
“We can now produce new found riches in natural gas while simultaneously
building a bridge to a low-carbon energy economy.” -----
Wall Street Journal, 2014
“Speed of innovation is very much faster in last ten years…….” -----
Tom Freidman & Bill Gates, NY Times Article, 2013
“Common sense is often the least common of the senses.” ---------
Neville Cook, UC Berkeley, 1993
“We will run out of air before we run out of oil.” --------------
Sid Green, Light-Hearted Comment, 1988 (before Climate Change discussion)
“We just drill a hole and the oil comes out.” ------------------
Frank Jungers comment to Sid Green, 1984
Some Famous Quotes
Background
Big Changes in the Last ~Decade
1. Deep Horizon Oil Spill
2. Japan Earthquake
3. “Arab Spring” impact on oil
production
4. Huge economic impacts of shale
gas/oil moving North America
toward oil/gas supply
independence
5. Shale Gas/Oil Production has gone
from a Hero to Somewhat of a
Villain
6.
US Drill Rig Count
1
2
3
Results to Date
Worldwide Oil Production “Breakevens”
Connection Between Oil
and Other Energy Sources
Hydraulic Fracturing
or
“Fracking”
Introduction—Hydraulic Fracturing
Introduction—Drilling the Well
Introduction—Hydraulic Fracturing the Well
Introduction—Completed Well
Improvements in Drilling & Fracturing Efficiency
2007 to 2015
Around 70% or more of
production in oil [or gas]
comes from 30% of the wells
drilled.
Production
Variability in
Every Play
The Case for Changes 10 microns
10 inches
The Case for Game-Changing Changes
First, hydraulic fracturing is absolutely essential for the Nation and for
the world, but it continues a “brute force” approach.
Second, hydraulic fracturing in the US and to some extent worldwide
has become a focal point regarding its environmental effects in
connection with the large ramp-up of gas and oil production for
unconventional formations such as the "shales".
Third, hydraulic fracturing has improved some over the past decade,
but mostly gains have been made in efficiency leading to cost
reductions.
Fourth, to date advancements have been made mostly by trial and
error, but understanding the science likely could offer big
improvements.
1. Recovery factor of gas/oil from the shales is low, really low
2. Because improvements have been strongly driven by cost reduction
interests, only very limited increases in recovery have occurred
3. Pad drilling, factory operations are moving forward and offer big changes
including reduced environmental impact, but have not impacted recovery
4. Industry now accepts in theory heterogeneity of the shales, but only limited
acceptance of the role of discontinuities (or as sometimes referred to as
“planes of weakness”), with relatively little understanding of the role on
fluid mobility
5. Services companies market conditions tend to drive the continued “brute
force” fracking concept
6. Insufficient understanding of the formation rock leads to surprises,
particularly in fracturing efficiency
Background Leading to my Conclusion
Environmental Issues
Sanish Bakken
Field
Environmentally
There are
Issues
1947
Today
The very large scale of the
operations.
The Biggest Issue
There are different interests involved
with different economic and
environmental impacts, and not all
share equally in the reward and not all
share equally in the sacrifice.
A Fact
In Closing
Source: BP, IEA, EIA, Barkleys, Morgan Stanley, Schlumberger
The Future
Questions
When speaking of energy, we often hear words
used like “clean”, “sustainable”, “innovative”,
“renewable” energy; that’s good, but I argue we
need “abundant” and “cheap” energy that is as
clean as possible and sustainable at least for the
foreseeable future
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