Re: Michael Lynch: New discoveries keep pace with depletion
Posted: Fri 28 Aug 2009, 14:01:31
I think a great deal of gas production will result from shale gas, tight sands and coal bed methane. Around 40 % of current US gas production is from these sources. The near term problem will be gluts that simply put off much of the gas production until GTL production is put in place.
I suspect gas will be second fiddle to oil itself unless demand increases. Just as an example, a lot of investments are being put into Bakken Formation oil. With a lot of success under the difficulties of tight shale production. However, just beneath Bakken might be the real bonanza. That is the Three Forks- Sanish Formation .
There is talk of a second Bakken of much easier to produce oil. Three Forks- Sanish will become a major producer.
Both taken together look like a double shot at production for any given well.
My view is, when necessity compels it, the US will produce what ever it has available.
I suspect gas will be second fiddle to oil itself unless demand increases. Just as an example, a lot of investments are being put into Bakken Formation oil. With a lot of success under the difficulties of tight shale production. However, just beneath Bakken might be the real bonanza. That is the Three Forks- Sanish Formation .
There is talk of a second Bakken of much easier to produce oil. Three Forks- Sanish will become a major producer.
Both taken together look like a double shot at production for any given well.
My view is, when necessity compels it, the US will produce what ever it has available.