Natural gas

A weekly review including:
-Oil and the Global Economy
-The EU Crisis
-Iran
-Quote of the Week
-Briefs

One fact ought to tell you all you need to know about the risks faced by homeowners signing leases for natural gas drilling on their property: Wells Fargo & Company, both the largest home mortgage lender in the United States and a major lender to the country's second largest producer of natural gas, Chesapeake Energy Corp., refuses to make home loans for properties encumbered with natural gas drilling leases.

A midweekly roundup of peak oil news, including:
-Developments this week

"It's no pipe dream. The U.S. is already the world's fastest-growing oil and natural gas producer. Counting the output from Canada and Mexico, North America is "the new Middle East," Citigroup analysts declare in a recent report."

Jeffrey Brown responds: The Texas Railroad Commission (RRC) sums the reported production from Texas producers, and it has been doing so far decades, while the EIA apparently uses a sampling approach to estimate Texas production. For annual production in 2011, the RRC shows Texas crude oil production at 1.12 mbpd (million barrels per day), while the EIA shows it at 1.46 mbpd, a gap of 340,000 bpd. The gap between the RRC and the EIA for monthly production is even more pronounced, on the order of about 500,000 to 600,000 bpd.

If the EIA is this far off for Texas, what about the other producing states, and what does it say about the EIA's global data?

-Familiar echoes in shale gas boom
-'Fracking' risks found to have been diminished (Report)
-Medical Records Could Yield Answers On Fracking
-Water safe in town made famous by fracking-EPA
-Shale causes rise in waste gas pollution
-Obama Warms to Energy Industry by Supporting Natural Gas

In the late 1800s northwestern Ohio was at the center of an oil boom as the state became the nation's largest crude producer. Today Ohio is at the center of another fossil fuel boom, where a new drilling method — hydraulic fracturing (fracking) combined with modern horizontal drilling — is releasing natural gas from deep underground shale, leading to a rush of new leases. Is drilling safe or are contamination concerns unfounded?

Power generation from coal is falling quickly. According to new figures from the U.S. Energy Information Administration, coal made up 36 percent of U.S. electricity in the first quarter of 2012 -- down from 44.6 percent in the first quarter of 2011. That stunning drop, which represented almost a 20 percent decline in coal generation over the last year, was primarily due to low natural gas prices. As EIA explains, natural gas generation will climb steadily this year, while coal will see a double-digit drop by the end of 2012...

-Americans would pay more for green energy
-Carbon capture leak simulated in sea off Scotland
-US claims 'unprecedented' success in test for new fuel source

A weekly roundup of peak oil news, including:
-Oil and the global economy
-The EU at a crossroads
-China slowing
-IEA's monthly report
-Quote of the week
-Briefs

Fears of a new phase in the European debt crisis, a decline in oil imports to China in April, and the prospect of a new round of international talks on Iran’s nuclear programme have seen oil prices drop back from recent highs in the past two weeks. Despite all this however, and reports from OPEC that it bolstered supply by 320,000 barrels in April, Brent oil still stands around $112/barrel.

A midweekly roundup of peak oil news, including:
-Developments this week

The official shale gas story goes something like this: recent technological breakthroughs by US energy companies have made it possible to tap an abundant but previously inaccessible source of clean, environmentally friendly natural gas. This has enabled the US to become the world leader in natural gas production, overtaking Russia, and getting ready to end of Russia's gas monopoly in Europe.

If this were the case, then we should expect the Kremlin, along with Gazprom, to be quaking in their boots. But are they?

- IMF working paper - "The Future of Oil: Geology versus Technology"
- World Oil: Aleklett's new analysis of peak oil is refreshingly comprehensive
- Now Playing at a Computer Near You: The ASPO-USA Webinar Series
- T. Boone Pickens: Biggest Deterrent To U.S. Energy Plan Is Koch Industries
- Cheap Oil Built 'The American Way' but All the Cheap Oil is Gone

In this post, I consider the limited impacts of climate policy on fossil-fuel production and discuss estimates of fossil-fuel production in the long run.