...Can Bulgaria frack its way to energy independence? | | Term Paper | Class: “BUSINESS & SOCIETY”, Prof. Akbar | | Radostina Rubenstein | 3/23/2014 | | Contents: Intro 3 Shale Gas in Bulgaria 3 Overview 4 Mounting concern as production rises 5 Water Supplies 5 Surface impacts 6 Land 6 Water 6 Noise 7 Frack Quakes 8 Social acceptance 8 FRACKING IN BULGARIA 8 IS THERE A BUBBLE IN THE SHALE GAS INDUSTRY? 10 Diminishing returns 11 The drilling treadmill 11 Unsustainable prices 11 A shale bubble 11 Regulate or Ban? Movement Divisions 12 Bibliography: 13 Intro In the beginning of 2009, South-East Europe suffered several external shocks: an extended period of cold weather, disruption in natural gas supplies from the Russian federation and financial crisis. The disruption of natural gas supply from the Russian Federation was particularly devastating for all countries with gas infrastructure. The region is supplied with natural gas from Russia by three different itineraries and three sub-regions are served by three different sets of gas infrastructure (see Appendix 1). Romania, Bulgaria, Greece and FYROM are supplied by a system of transit pipelines from Ukraine. Serbia and Bosnia and Herzegovina are supplied from Ukraine via Hungary, while Croatia is supplied via Austria and Slovenia. These three supply systems are not connected which in itself presents a problem. With nearly 98% gas import dependency, however, Bulgaria’s...
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...Impact of Shale Gas Production on the Market Fundamentals and Energy Security of Certain Countries ICCG Think Tank Map: a worldwide observatory on climate think tanks IMPACT OF SHALE GAS PRODUCTION ON THE MARKET FUNDAMENTALS AND ENERGY SECURITY OF CERTAIN COUNTRIES Ekaterina Zelenovskaya, ICCG 1 Impact of Shale Gas Production on the Market Fundamentals and Energy Security of Certain Countries Impact of Shale Gas Production on the Market Fundamentals and Energy Security of Certain Countries Ekaterina Zelenovskaya, ICCG Abstract The world’s unconventional gas base such as tight gas, coalbed methane (CBM) and shale gas are estimated to be as abundant as conventional gas resources. The recent start of shale gas production in the North America has significantly influenced major regional gas markets around the world. This article intends to examine the impact of shale gas production to the situation with the energy markets and energy security of particular countries, such as United States and countries of Continental Europe. 2 Overview of Shale Gas Production Activities and their Impact on Regional Energy Security Shale Gas and Energy Security Energy production and use have various environmental implications since energy represents about 1 65% of global anthropogenic greenhouse-gas emissions. The general belief/opinion is that fossil fuels will remain the dominant source of primary energy in the following decades. However, natural...
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...restore small fractures in a formation in order to stimulate production from new and existing oil and gas wells. This creates paths that increase the rate at which fluids can be produced from the reservoir formations, in some cases by many hundreds of percent.” (Pennsylvania Department of Environmental Protection, 2010) This process allows production in older oil and natural gas fields. Hydraulic fracturing has been used in the United States since the 1940’s. “The U.S. has vast reserves of natural gas that are commercially viable as a result of advances in horizontal drilling and hydraulic fracturing technologies enabling greater access to gas in shale formations. Responsible development of America's shale gas resources offers important economic, energy security, and environmental benefits.” (United States Environmental Protection Agency, 2013) Fractures in Onshore shale and Tight Rock formations are oil fracking. It can be natural or man-made through rock. The fluid includes water, sand, ceramic and often chemicals. “High-pressure Fracking is done from a wellbore drilled into reservoir rock formations to increase the rate and ultimate recovery of Shale Oil and Light Tight Oil. Most times a Shale Oil formation only needs to be Fracked once, where as a Natural Gas formation usually needs to be Fracked multiple times.” (OilFracking.com, 2013) In the U.S. legislation has been introduced to limit the ability to use zoning to stop pollutants from hitting residential areas. In Pennsylvania...
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...Hydrofracking in Marcellus shale: The Consequences of America’s Gas Rush Introduction Demand for fossil fuels in America has led to a flurry of unorthodox methods for the extraction of natural gas. Fracking or hydrofracking in the U.S.A has proven to be an efficient way of extracting natural gas from permeable rock. A new large scale hydrofracking operation has been proposed in the eastern states of Ohio, Pennsylvania and New York. This method of extraction is highly controversial, and is thought to have severe environmental and potential health consequences. This essay will provide further insight into the practice of Fracking in an area of shale known as Marcellus shale, and help to expose the environmental and human implications. What is Hydrofracking? Hydraulic Fracturing is an un-conventional process used in the extraction of gas in permeable rock (David 1973). A horizontal well is drilled into permeable rock such as shale and is injected with millions of gallons a high pressure fluid known as frac-fluid, this fluid is a mixture of sand, water, and an array of lubricating chemicals (Deutch 2011). The high pressure frac-fluid forces open fishers (cracks) within the rock which are kept open with sand granules; this allows pockets of gas to flow more easily from the shale (David 1973). Once the well is depleted all fluid that can be recycled is extracted, and the well is capped to stop any unused gas escaping (David 1973). The process of fracking is expensive and requires...
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...IMPACT OF THE DISCOVERY AND EXLORATIONOF UNCONVENTIONAL OIL ON CONVENTIONAL OIL OPEC STATES | BYNAME:STUDENT ID:MODULE: | | | Contents Contents 1 Introduction 2 OPEC (Organization of the Petroleum Exporting Countries) 2 UNCONVENTIONAL OIL 3 SOURCES OF UNCONVENTIONAL OIL 3 CONVENTIONAL OIL 4 PESTLE ANALYSIS 4 PESTLE ANALYSIS ON NIGERIA 4 PESTLE ANALAYSIS ON U.S 6 Conclusion 9 References 10 Bibliography 10 Introduction The producers of oil which are outside the OPEC (Organization of Petroleum Exporting Countries) are been recorded to be producing almost 60 percent of the oil used in the world with constant increase in the hurdles of production (Khadduri, n.d.). Some researchers have indicated that the Non-OPEC states is as a result of having less producing wells, high costs of new projects, older wells and in most cases the increase in the home demand of oil which may cut the oil for exportation (Nakhle, 2013). Increases in the prices resulted in the difficulty of oil project and making it lucrative, resulting in the increase of the production of unconventional oil. Though at a time, there’s declination in the Non-OPEC oil production as the investing in new production of oil becomes tougher as a result of tightening, volatility of oil price, resource nationalism and credit markets (Brendow, K;, 2003). Now the unconventional oil production by Non-OPEC states is coming up as originally projected as few of the producers are been expected to offset...
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...Introduction: Coal seam and shale gases are two commonly found forms of unconventional gas in Australia. Gas is a fossil fuel and is considered cleaner than coal as it produces up to 70% less greenhouse emissions when burned (Gardner, 2015). Coal seam and shale gases are also cheaper than other renewable energy sources, such as wind and solar. Coal seam and shale reserves are widely found across Australia, particularly in Eastern Australia. Fracking, or more commonly known as Hydraulic Fracturing, is the technique used to extract coal seam and shale gases from rock as it improves the flow of gases that are difficult to access (Pearson, 2015). With the ability to use the fracking method to extract coal seam and shale gases, the mining industry considers this a viable and practical mining technique. However, there are debates on the social and environmental impacts of this mining practice. What is Fracking: Fracking is the process by which heavy machinery drills down into the hard rock layer below the earth’s surface. Fluid is then injected into the ground through a pipeline, while methane gas and chemicals are used to hold open the cracks in the rock layer (Dong, 2014). High pressure water mixture, containing sand and chemicals, is then directed at the rock, releasing the gas inside. It is a procedure that has been available for over 60 years (globally), as an alternative to the traditional unconventional gas extraction methods, but was not considered a cost effective method...
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... the well bore (King, 2013). Hydraulic Fracturing in the United States, Europe and South America The first use of hydraulic fracturing to stimulate oil and natural gas wells in the United States was in the 1940s (King, 2013). This process used in nine out of 10 natural gas wells in the United States. In December 2012 the British government gave the approval for exploratory hydraulic fracturing to extract natural gas from shale-rock deposits (Reed, 2012). In 2011, a horizontal well with multi-stage hydraulic fracturing was completed in the Neuquén Basin of Argentina. It was the first horizontal gas shale well and the deepest shale gas well in South America (Halliburton, 2013). Economic Impact/Concern of Hydraulic Fracturing According to the Global Fund Exchange, there are a number of environmental concerns related to hydraulic fracturing. Hydraulic fracturing fluids are known to include toxic and carcinogenic chemicals. There are numerous documented cases of environmental and public health impacts as a result of fracturing. Companies involved in this process do not disclose the chemical constituents of their fracturing fluids. Fracturing requires and has the potential to contaminate enormous quantities of water. Hydraulic fracturing operations...
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...PROSPECTS OF SHALE GAS DEVELOPMENT IN INDIA: A term paper by Tejal Johri (MPE1296) and Shruti Sharma (MPE1293) for Semester 1 Course: Environment and Development Department of Policy Studies, The Energy and Resource Institute (New Delhi) Submitted on 9th December 2012 Table of Contents Executive Summary 1 Literature Review 4 Scope 6 Conclusion 10 Works Cited 11 Executive Summary The gradual shift of the US gas sector- from one of deficit to one of surplus has gathered appreciative appraisals from the rest of the world and initiated talks about the prospect of harnessing shale gas in other countries, as US reached the lowest CO2 emission level in the last 20 years due to shift to natural gas. It has been referred to as “the biggest energy innovation of the decade”, in light of the growing need for suitable alternatives to conventional oil and gas with increasing pressure on energy over time. 90% of global shale gas is currently produced by the US. India meets two-thirds of its petroleum requirements by importing of fuels that include coal, and this figure is expected to rise in the future in spite of India being a coal-rich country. Even with introduction of more efficient technologies and cases of higher CO2 emission reduction, our country’s import dependence on petrol, oil and gas will significantly rise in the future, raising the pressure on the resources. This concern for energy security calls for further research in technological solutions for greater...
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...definition of Hydraulic Fracturing Process of fracking Where fracking is being preformed Environmental and Legal concerns 1. Environmental concerns Legal concerns Economic and environment Impact A. How hydraulic fracturing is impacting the environment and economy 1. Environmental impact Economic impact * Conclusion Hydraulic Fracturing Hydraulic fracturing has been used since the 1940s both naturally and man-made. This process allows fracturing to be widened, allowing more oil and gas to be extracted form the certain area of land. The process of fracturing is extracting larger amounts of gas and oil by injecting sand and water mixture into fractures of rocks and rock formations. This allows the underground to be forced open allowing more oil and gas to me extracted. Hydraulic fracturing is being performed all over the world because of the amounts of oil and gas that can be extracted. There are a number of countries that are preforming the process of fracturing which include: United States- Arkansas, Louisiana, New York, Oklahoma, West Virginia, California, Maryland, North Carolina, Michigan, Wyoming, Colorado, New Jersey, North Dakota, Pennsylvania, Delaware, New Mexico, Ohio, Texas. Europe: Poland, Romania, Lithuania, Ukraine South America- Argentina, Mexico, and Brazil. Hydraulic Fracturing has created an increase in American energy production and economic growth. Its also been started that burning natural gas to generate electricity is cheaper...
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...Legal Issues In Hydraulic Faulting Jesus Flores DeVry University Prof. Hostetler Abstract This paper is a report which primarily focuses on legal and environmental issues raised by hydraulic faulting. It will be able to distinguish state and federal laws and regulations. It will help to understand the place of hydraulic faulting of oil and gas. It will form and state my own opinion on what hydraulic fracturing laws and regulations should be put in place. It will also discuss the place of hydraulic fracturing of oil and gas in meeting US energy needs. Table of Contents Body of the Report 3 Summary or Conclusion 6 References 7 Legal Issues in Hydraulic Faulting Body of the Report Hydraulic fracturing is the procedure of creating fractures in rocks and the rock formation which is done by injecting a mixture of sand and water into the cracks which allows forcing underground to open further. The larger fissures allow more oil and gas to flow out of the formation and into the well bore from where it can be extracted. The first use of hydraulic fracturing was in 1947 but there was one more modern technique called horizontal slick water flacking which makes the extraction of shale gas economical and was first used in 1998. This energy forms the injection of highly pressurized fluids which creates new channels in the rocks by which extraction rates increases and it ultimately recovers all the hydro carbons. Hydraulic fracturing performs and enables...
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...Abstract The report examines the current state and future of natural gas clean-up in the UK. The sources of natural gas in the UK are currently undergoing a large shift, moving from self-produced gas from dwindling North Sea reserves to pipeline imports from Europe and liquefied natural gas imports from overseas. There is also potential for the UK to start extracting onshore shale gas resources. Natural gas clean-up is a multi-step process with several aims including the removal of water, removal of acid gases such as CO 2 and H2S, and extraction of liquid hydrocarbons for further sale. The merits of different techniques for achieving these goals are discussed. The environmental and economic challenges of natural gas processing are also examined. The environmental impact of natural gas processing is lower than other fossil fuel sources, but there are risks of greenhouse emissions, poisoning, and acid rain from methane and H 2S impurities during leaks or gas flaring, whilst process water can be dangerous unless properly treated. Several economic challenges of clean-up are identified, and the economic impact of increased liquid natural gas imports on the processing industry is discussed. 1. Introduction Natural gas is a gas mixture consisting of methane, ethane and propane, with smaller quantities of heavier hydrocarbons, carbon dioxide, nitrogen and hydrogen sulfide (Hammer et al., 2000). This mixture must undergo a series of processes with two purposes: removal of impurities...
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...the surface. Extracting gas from shale increases the availability of this resource, but the health and environmental risks are, in my opinion, too high. Before I get rolling on the impacts of fracking, let me first present you with a little history behind it. Hydraulic fracturing of wells was first introduced in 1947 by Stanolind Oil. 1,000 gallons of naphthenic-acid and-palm-oil-thickened gasoline was injected, followed by a gel breaker, to stimulate a gas producing limestone form at 2,400 ft. Although there wasn’t a tremendous increase in production, this was a start. In 1974, Congress passed the safe drinking water act to protect underground sources of drinking water and the Environmental Protection Agency required Underground Injection Control permits under the SDWA for any injection of a fluid. The Environmental Protection Agency also banned the injection of most hazardous materials and mandated regulation for all injected materials. However, hydraulic fracturing was unhindered by these new regulations because, the same year, the Environmental Protection Agency ruled that it does not fall into these categories because its primary purpose is the extraction of natural gas, and not the injection of hazardous material. I don’t see how recognizing fracking as one automatically rules out the other, but hey, what do I know about environmental law? Hydraulic fracturing isn’t all bad of course, or else we wouldn’t do it. It has its obvious economic...
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...What is shale gas and why is it important? Shale gas refers to natural gas that is trapped within shale formations. Shales are fine-grained sedimentary rocks that can be rich sources of petroleum and natural gas. Over the past decade, the combination of horizontal drilling and hydraulic fracturing has allowed access to large volumes of shale gas that were previously uneconomical to produce. The production of natural gas from shale formations has rejuvenated the natural gas industry in the United States. Does the U.S. Have Abundant Shale Gas Resources? Of the natural gas consumed in the United States in 2011, about 95% was produced domestically; thus, the supply of natural gas is not as dependent on foreign producers as is the supply of crude oil, and the delivery system is less subject to interruption. The availability of large quantities of shale gas should enable the United States to consume a predominantly domestic supply of gas for many years and produce more natural gas than it consumes. An analysis in the Annual Energy Outlook 2012 (released June 2012) indicates that the uncertainty in the size and economics of the domestic shale gas resources could have a considerable impact on future domestic natural gas production and that 2035 shale gas production could be between 9.7 trillion cubic feet and 20.5 trillion cubic feet. U.S. total natural gas production is projected to range between 26.1 trillion cubic feet and 34.1 trillion cubic feet. Where is Shale Gas Found? ...
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...CASE STUDY: FRACTURING THE ENERGY MARKET 1. Which industries gain and which industries lose from the availability of cheap natural gas produced from shale deposits? The industries that gain cheap natural gas produced from shale deposits are United States it is known for the largest deposit of shale gas. It is estimated to be nearly 500 trillion cubic feet of gas which is more than enough for America’s citizen to receive energy for 50 year or further. U.S. is the world’s largest economy that have a good prime market, political stability, military strength, foreign investment, international trade and many more. Plus it all started in 1932 when Joseph Schumpeter an American develop the innovation concept of fracking. France, Bulgaria and Poland have the largest shale reserves in European. France was banned fracking in 2001 due to environmental awareness and Bulgarian too banned in 2012 for the same reasons. Poland also has been banned from using fracking because they are protecting their quality water supplies and currently being managed by coal for power energy. Other than that, China also have a large shale gas reserve at about 1,275 trillion cubic feet. It have not yet been develop so China lose the availability of cheap natural gas. 2. Which countries gain and which countries lose from the availability of cheap natural gas? Based on the case study Germany has gradually shutter all its nuclear power plants and increase reliance on solar and wind energy because...
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...It is estimated that a shale gas well requires between 9,000 m3 – 29,000 m3 of water per well. An estimate 2500-3000 wells would be required to produce 9 billion cubic meters per year of shale gas. If we use the cubic feet water cost in NY City ($3.39 for 100 cubic feet), an average water cost per well is at least million dollars. For 2500 wells this is equivalent to $ 2.5 billion. On the revenues side, Pless (2012) estimated a $5 dollars average price for a 1000 cubic feet of gas extracted because of the fluctuations of gas prices between $3 and $13 per 1,000 cubic feet. With an estimation of 15 million shale gas cubic feet per lifetime of well (36-60 months), revenues expected per well, are around $ 14.2 million; for 2500 wells, revenues are around $35.5 billion. From the economic point, the cost associate with water use seems insignificant. In this analysis, water extraction, transportation and storage were not accounted. The price of $2.5 billion water cost is the minimum associated with the use of...
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