Engineer: Renewables Aren't Ready for Keep-It-In-the-Ground Movement to Be Practical

By -
From Gas & Oil:
As an engineer and retired business leader, I believe that renewable energy and energy conservation are important for meeting our long term energy needs, especially if they can reduce dependence on oil imports that drain U.S. financial wealth and enrich countries that are not necessarily friendly allies. 
I also believe that climate change is real. In fact, scientific evidence shows that the earth’s climate has changed continually since the beginning of time, with both warming and cooling cycles. However, I am not convinced that scientific evidence proves that the current climate change cycle is caused by humans or by the use of fossil fuels. But that debate is not the primary objective of this article. 
Natural gas and oil production from every well – big and small - declines rapidly with time. In as little as one or two years, production typically declines to a small fraction of what it was originally. Therefore, new reservoirs must be discovered and new wells must be continually drilled (and stimulated by hydraulic fracturing or “fracking”) to the maintain production levels required to meet the nation’s energy needs. Otherwise, shortages occur and energy prices increase drastically (as occurred in 2003 to 2014 before U.S. shale resources were widely developed). 
So, it is a concern that anti-fossil fuel advocates are gaining ground with politicians calling for bans on fossil fuels and fracking. A July report4 by Oil Change International (OCI), a coalition of national and regional organizations opposed to fossil fuel production and consumption, opposes all pipeline capacity expansions, especially any carrying natural gas to market from the Appalachian Basin.
Click here to read more.

Connect with us on Facebook and Twitter!

Popular posts from this blog

Fracktivist in Dimock Releases Carefully Edited Video, Refuses to Release the Rest

By -
Image
From Energy in Depth: There is something very strange going on along Carter Road, in Dimock, Pennsylvania, and I’m not speaking of natural gas, methane migration, contamination, litigation or even the extensive water testing there by the EPA and others.  No, I’m talking about a new “Watergate” conspiracy, complete with 18 minutes of missing tape (well, video, actually). It seems the ever-present Green Party member and  naturist   Vera Scroggins  (a/k/a  Vera Duerga ) has posted a video of Craig Sautner meeting with the EPA.  Mysteriously, the video is but 14 seconds in length, cutting off conversation in what is obviously mid-stream.  It raises a question Craig Sautner, like  Ronald Reagan in Kings Row , might have asked, “Where’s the rest of me?’  Carter Road, isn’t Kings Row, of course, (at least not until you arrive at  the mansion Scott Ely, one of the Dimock litigants, is building with his royalty money ), but there appears to be a whole lot of film editing going on there to fi
Read more

The Second Largest Oil and Gas Merger - Cabot and Cimarex

By -
Image
       Due to investor pressure, the U.S shale drillers are being pushed to improve financial and operational performance after a few years of poor returns. Even though the industry has improved its numbers, when compared to last year, investors still want more to be done for them to earn more money.      That's why two mid-tier shale drillers, Cabot and Climarex, have decided to merge in order to eliminate $100 million in annual costs, which means more money for the investors. This all-stock transaction is valued at about $7.4 billion, which is relatively high for the oil and gas sector.      The new entity will be renamed and the headquarters located in Houston, Texas. Cabot shareholders will own 49.5 percent of the new entity, and Climarex the rest.       The Cimarex-Cabot merger will address the investor's demand for a higher amount of returning cash. The initial plan is to pay a 50-cent-per-share special dividend on closing the deal while offering a quarterly variable div
Read more

Is a Strong Oil Demand Expected This Year?

By -
Image
  According to the world's largest oil traders, global oil demand is set for a rebound. Between now and the end of 2022, global consumption is expected to increase by up to 8 million barrels each day. Vitol Group, the world's largest oil trader, supports this statement.  In an interview with Bloomberg, Vitol's chief executive Russell Hardy said, "We'll need all eight cylinders to get through 2022". This, of course, is due to the lower than average demand for oil at the moment. Reopening economies and Asian markets will create a strong demand rebound by the end of this year and in 2022.  Although the demand for jet fuel will slowly increase, it will still be below average at the end of the year. Nevertheless, a surge in petrochemicals will offset the expected delay in jet fuel demand. Last year, the oil surplus reached a record of 1 billion barrels. This excess is already more than halfway drained, and experts believe it will be depleted by the third quarter th
Read more