Tuesday, February 21, 2012
Shale Oil Pushes US Production North of 6.0 Million bpd
The massive shale gas reserves - in the US and elsewhere - have pushed the price of natural gas lower. The same cannot be said of oil prices which continue to hover around $100 per barrel. At that price, oil & gas companies can afford - and at the low prices for natural gas cannot afford not to - explore extraction of oil from tight shale formations using the horizontal drilling and fracking techniques developed to extract natural gas.
The US consumes just about 20 million bpd of oil and many in the industry believe that by 2015 over half of that demand can be satisfied with domestic oil and oil from Canada.
Oil and gas booms have fueled economic development around the globe for over 100 years and it looks as if we are on the verge of a similar phenomenon. Ironically, horizontal drilling and fracking techniques were developed in response to artificially high oil and gas prices promted, in large part, by governments subsidizing alternative energy and restricting oil and gas development.
Regardless of the reason for the boon, those of us interested in sustainable development and the use of IPD and BIM to deliver BIM enabled infrastructure need to step to the fore and lead. Infrastructure can be delivered faster, better and cheaper using IPD and BIM and the resulting BIM enabled infrastructure - which has been googlized - can be operated and maintained more intelligently and more efficiently over time. Bring these tools to bear on the energy industry will exponentially improve the environment, reduce energy use and enhance our ability to transition to alternative enegry resources in an intelligent and orderly manner.
Link to Article.
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