theluckycountry wrote:Yeah, I'm familiar with the waste in my car engine pops, it's the efficiency of the fracking plays I was wondering about.
The same outfit, Rystad, says LTO has a breakeven now as low as $45/bbl. My thought is it can't be all that bad at that price.
A quick search found this, from 2015 (which is about the latest I saw)
Brandt, Yeskoo, Vafi DRAFT: NOT FOR CITATION OR DISTRIBUTION
15
Despite the above-noted pessimism about the sustainability of producing hydrocarbons
from the Bakken formation, our results suggest that energetic returns from the typical
Bakken well are higher than previous aggregate metrics for conventional oil production
operations. The resulting spread in net energy returns is wide, but even at the 25th
percentile, Bakken wells are in line with aggregate conventional oil production operations
with an (25th percentile NER of ~24 MJ/MJ). We therefore do not see evidence that
Bakken wells are unsustainable, unproductive or “subsidized” from a physical or
energetic basis. This evidence does not therefore support the general hypothesis that
shale oil drilling is energetically or physically unproductive, and is likely similar in many
respects to results from other shale plays.
Here's the picture:
So 30-ish. Better than I expected, definitely, and that includes results from the beginning of the party up to 7 years old. I didn't read it all but they mentioned that initially the breakeven price was very high partly because of the Boom atmosphere in ND, high labor, high royalties, new equipment etc. That all makes sense.
Rystad also downgraded US LTO 30 GB to 200- something GB on reduced expectations from shale
*Edit to clarify: 214GB is the total US remaining estimate, the downgrade appears to be mostly in shale LTO
.
The legitimate object of government, is to do for a community of people, whatever they need to have done, but can not do, at all, or can not, so well do, for themselves -- in their separate, and individual capacities.
-- Abraham Lincoln, Fragment on Government (July 1, 1854)