The People of America's Oil and Natural Gas Indusry

Energy Tomorrow Blog

american-energy  oil-and-natural-gas-production  gasoline-prices  domestic-production  imports  fossil-fuels  economic-benefits  hydraulic-fracturing  horizontal-drilling  shale-energy 

Mark Green

Mark Green
Posted December 24, 2014

The gift that is American energy is seen in some key numbers: domestic crude oil production reaching more than 9 million barrels per day last month, the highest level in more than two decades, according to the U.S. Energy Information Administration (EIA); total U.S. net imports of energy as a share of energy consumption falling to their lowest level in nearly 30 years during the first six months of this year; gasoline prices dropping to an average of $2.47 per gallon last week, their lowest point since May 2009, according to the Lundberg Survey Inc.

The first two numbers might not fully register with a lot of Americans. We’ll come back to them. The last one, gasoline prices, does so loudly.

Retail gasoline prices fell after crude oil prices dropped for the fourth straight week – a product of weaker-than-expected global demand and increasing production, which EIA says will save American households $550 next year, Bloomberg News reports. Trilby Lundberg, president of Lundberg Survey to Bloomberg:

“It is a dramatic boon to fuel consumers. (Gasoline) is a modest portion of our giant gross domestic product and yet it does have a pervasive and festive benefit to motorists.”

During this season of gift-giving and receiving, Americans should give thanks for the gifts of plentiful domestic oil and natural gas, modern technologies to harness them and an industry robust and innovative enough to bring the two together, resulting in surging, home-grown production. Indeed, the dramatic increase in U.S. oil production is the key addition to global supply that’s putting downward pressure on the cost of crude, the No. 1 factor in pump prices.

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new-york  new-york-shale-gas  hydraulic-fracturing  horizontal-drilling  fracking  safe-operations  economic-benefits  pennsylvania 

Mark Green

Mark Green
Posted December 18, 2014

Some interesting perspective on New York’s decision to ban hydraulic fracturing – from neighboring Pennsylvania, where safe fracking has lifted the state economy while directly benefiting cities and towns all across the commonwealth.

Jeffrey Sheridan, press secretary for Governor-elect Tom Wolf’s transition team (to the Philadelphia Business Journal):

“Governor-elect Wolf opposes a ban, and he will work hard to make sure the process is safe. … Pennsylvania's natural resources should help the commonwealth become an energy leader, including renewable energy and energy efficiency, as well as a magnet for investment and job creation. Governor-elect Wolf's priority is to ensure that Pennsylvania is an energy leader with all Pennsylvanians sharing in the prosperity.”

Pennsylvanians are indeed sharing in prosperity that’s being generated by shale energy development, via responsible hydraulic fracturing and horizontal drilling: More than $2.1 billion in state and local taxes paid by industry, more than $630 million distributed to communities since 2012 – including more than $224 million in 2014. Plus billions in royalties paid by operators to private landowners.

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new-york  natural-gas-development  hydraulic-fracturing  horizontal-drilling  safe-operations  fracking  economic-benefits  pennsylvania 

Mark Green

Mark Green
Posted December 17, 2014

Here’s what you need to know about the Cuomo administration’s decision to ban hydraulic fracturing in New York: After more than six years of a state moratorium on natural gas development using fracking, after two years of reviewing the fracking research of others, after seeing safe fracking work in more than 30 states – including neighboring Pennsylvania, where fracking is generating billions in tax revenues, allowing the distribution of hundreds of millions of dollars to communities, as well as billions in royalty payments to private landowners – Gov. Andrew Cuomo and his team took the path that’s 180 degrees in the wrong direction for New York.

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safe-operations  hydraulic-fracturing  horizontal-drilling  fracking  natural-gas-development  methane-emissions  industry-standards  epa-regulation 

Mark Green

Mark Green
Posted December 9, 2014

New research by the University of Texas shows what other studies have shown: methane emissions from natural gas production are lower than previously estimated. The UT study found that emissions represent just 0.38 percent of production – about 10 percent lower than a 2013 study by the same research team.

The UT study checked two sources of methane emissions in natural gas production: processes to clear wells of accumulated liquids to increase production, called liquid unloadings; and pneumatic controller devices that open and close valves.

The study found that just 19 percent of pneumatic devices accounted for 95 percent of emissions from that equipment, and that just 20 percent of wells with unloading emissions that vent to the atmosphere accounted for 65 percent to 85 percent of those emissions. David Allen, the study’s principal investigator:

“To put this in perspective, over the past several decades, 10 percent of the cars on the road have been responsible for the majority of automotive exhaust pollution. Similarly, a small group of sources within these two categories are responsible for the vast majority of pneumatic and unloading emissions at natural gas production sites.”

The results suggest that technologies and practices already in use by industry – voluntary efforts and those to comply with federal green completions rules that become standard in January – are working to reduce methane leaks.

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us-crude-oil-production  global-markets  shale-energy  hydraulic-fracturing  horizontal-drilling  saudi-arabia  exxonmobil  epa-regulation  pipelines  utica-shale 

Mark Green

Mark Green
Posted December 4, 2014

National Journal: World oil producers have put oil prices into a free fall, refusing to pare back global supplies in the hopes that low prices will derail the fracking-backed production boom in the U.S. and preserve OPEC's power over world energy markets.

But global analysts are skeptical that the move will work.

The basic reason: Prices remain high enough to keep pumping. "Looking out there, it seems like there's a huge amount of oil that can be produced at $60, $70 per barrel," said Michael Lynch, president of consulting firm Strategic Energy and Economic Research, referring to the prices for Brent crude oil, a global reference point.

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maryland  safe-operations  hydraulic-fracturing  horizontal-drilling  fracking  natural-gas-development  shale-energy  tax-revenues  royalty-payments  lng-exports 

Mark Green

Mark Green
Posted December 2, 2014

Maryland Gov. Martin O’Malley’s recent announcement – that he plans to lift the state’s three-year moratorium on hydraulic fracturing, possibly clearing the way for future natural gas development – is potentially good news for the state, its citizens and America’s broader energy picture.

A new report by the state’s Department of the Environment and the Department of Natural Resources details some of the possible benefits:Garrett County in western Maryland could gain as many as 2,425 new jobs while realizing $3.6 million in tax revenues and $13.5 million in severance tax revenues.Neighboring Allegany County could see as many as 908 new jobs, $1.8 million in tax revenues and $2.3 million in severance tax revenues over 10 years. “Royalty payments to the owners and lessors of mineral rights could provide significant income,” the report says.

Significantly, the department concludes what a number of other states have found and are demonstrating – that advanced hydraulic fracturing and horizontal drilling to develop natural gas and oil from shale and other tight-rock formations can be conducted safely and efficiently.

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energy-policies  oil-and-natural-gas-development  domestic-production  energy-exports  access  regulation  offshore-drilling  hydraulic-fracturing  horizontal-drilling 

Mark Green

Mark Green
Posted December 1, 2014

There’s a new global energy order – with the United States at the hub. That’s the assessment in a number of articles following last week’s meeting of oil-exporting countries.

The benefits to America are manifold. The U.S. as global energy’s new center of gravity means economic strength here at home through jobs, consumer benefits and greater energy security, and the opportunity to project positive American values abroad – by impacting global markets as discussed above and by helping friends overseas through energy exports. All result from America’s energy revolution, built on safe development of oil and natural gas reserves from shale and other tight-rock with advanced hydraulic fracturing and horizontal drilling.

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american-energy  oil-and-natural-gas-production  shale-energy  hydraulic-fracturing  horizontal-drilling  fracking  crude-oil  exports  gasoline-prices 

Mark Green

Mark Green
Posted November 27, 2014

Happy Thanksgiving everybody.

When it comes to energy there’s much for which Americans can give thanks.

We have plentiful and accessible reserves of oil and natural gas that fuel healthy, mobile, modern lifestyles.

We enjoy safe and secure crude oil imports from Canada, our neighbor and ally and No. 1 source of imported oil.

Our country is served by a vibrant, modern industry – one that’s second to none in the use of safe, hydraulic fracturing and horizontal drilling, offshore development and environmental awareness.

America keeps running thanks to a vast pipeline network and the world’s biggest, most-efficient refineries. And there’s more.

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methane-emissions  epa-regulation  oil-and-natural-gas-development  greenhouse-gas-emission-reduction  industry-standards  hydraulic-fracturing  horizontal-drilling 

Mark Green

Mark Green
Posted November 26, 2014

The New York Times has an editorial urging Washington to regulate emissions of methane – no surprise as “The Gray Lady” has to uphold her “green” bonafides. But methane as an “overlooked” greenhouse gas, as the editorial’s headline states? Hardly.

While the Times may have just discovered methane, industry has been working to reduce emissions – and is succeeding, at a rate that casts doubt on the need for a new federal regulatory layer.

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safe-operations  energy-development  hydraulic-fracturing  horizontal-drilling  federal-lands  natural-gas-exploration 

Mark Green

Mark Green
Posted November 21, 2014

Credit the U.S. Forest Service for adopting a revised plan for the George Washington National Forest that will allow safe and responsible energy development using hydraulic fracturing and horizontal drilling.

As others said of the plan, science won out in the sense that hydraulic fracturing and horizontal drilling can be conducted safely while protecting the forest itself as well as the watershed within it.

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