Chowdhury Sabir AhmedM.Sc (2nd Semester)Department of GeologyRoll No 91/AGE/101026

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Is shale gas a viable resource?What are the problems with it?

Social?Environmental?Laws and regulationsWhere is it?

Natural gasUnconventionalFound in certain types of shale2,000-7,000 feet deepLow permeabilityPrevalent in the areaConfined in fractures within the shale itselfReserves higher than OilEnhanced Global Availability

How is shale gas formed?Shale containing natural gas is generally sandwiched between two thick, black fine-grained shale depositsContinued pressure from burial forces most of the natural gas to migrate from the organic shales into more porous and permeable rock such as sandstone and limestone forming conventional reservoirs. The natural gas remaining in the shales is termed shale gas.

Steps

Leasing landExplorationDrillingHydraulic fracturingHorizontal drillingCollectingRestoration~ 3500 feetCap rockCap rock ~ 100 feet Pay zone Not to scaleHorizontal Drilling and Fracturing

Not To Scale

PlentifulCleaner than other fossil fuelsEconomyLow maintenance costsEnvironment friendly Speedy creation of Infrastructure

Most critics support the production of natural gas from Shale.Analysts expect shale gas will greatly expand worldwide energy supplyUnconventional gas production is expected to rise from 42% in 2007 to 64% in 2010There is enough shale gas to support the U.S. gas needs for 90 years

Presence of Shale Gas worldwide

North America is currently the most profitable shale gas producerWorldwide development of shale gas plays are expected to develop, especially in Europe and Asia

LOCALShale gas contributes an 11% rise in natural gas in the U.S.Pennsylvania Marcellus Shale contains about 500 trillion cubic feet of natural gas

INDIAN ENERGY SECTOR : AN OVERVIEW

India A Fast Growing Energy Market with Growth in Natural Gas Consumption more than World & Asia Pacific.

WorldAsia PacificIndiaEnergy Consumption 11294.939814335th Largest Energy ConsumerEnergy Mix (%)Coal 29%51%53%Oil35%29%31%Natural gas24%11%8.6%Nuclear 5.5%3%0.80%Hydro6.4%5.3%6%Oil & Gas Imports32451097129(US$ 76 billion)Growth in Energy (10 yrs)Total Primary Energy 2.1%4.1%4.8%Natural Gas 2.5%6.5%6.6%

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ONGC finds country's first-ever shale gas reserve in West Bengal

India's biggest energy explorer Oil & Natural Gas Corporation (ONGC) has discovered the country's first shale gas reserve at Durgapur in Burdwan district of West Bengal. The gas reserve - spread over 12,000 square km in the Durgapur-Ranigunj area - is the world's third shale gas find. According to ONGC estimates, India's shale gas reserves range between 600 and 2,000 trillion cubic feet. "The successful pilot testing of first-ever shale gas on surface will put India on shale gas map of the world. It has opened up new hopes for meeting our energy needs and encouraged to venture into many shale sequences"

Relevant Technology: Hydrofracturing

Hydraulic fracturing

Is hydraulic fracturing widely used?

Does hydraulic fracturing pose a serious threat to the environment?

Although shale gas is one of the fastest growing trends in onshore oil and gas exploration there is still a long way to go!Better, more efficient technology needs to be obtained.Natural gas historically has only provided 22% of the total energy consumedEach gas shale basins is different and each has a unique set operational challenges.Because of these differences, the development of shale gas resources in each of these areas faces potentially unique opportunities and challenges.

Protection of GroundwaterWildlife Impacts Community ImpactsSurface Disturbances

Chemicals are added to water to aide in fracturing the rock

This add goes to the amount of ground water Reduce, Reuse, Recycle

In using this technique researchers are trying to find a way to cut down on water pollutionIt takes 2 million to 4 million gallons of water to drill and fracture a horizontal shale gas well

In the long run is not to bad compared to agricultural and municipal use.Only 1% - 8% of total water use

Gas development can adversely affect animal habitat and wildlife.

They can drill underneath areas like wetlands to reduce wildlife disturbances.

There are certain Community issues that can arise

Damage to roadsTraffic congestionNoiseDust It takes intense planning to ensure that these factors have the smallest impact possible

Vertical wells can require up to 40 acres per well or 16 wells per square mile.

Horizontal wells take up much less space and are more efficient.

Natural Gas is the cleanest of all fossil fuels

Can reduce the emissions of pollutants into the atmosphereThe main products of natural gas combustion are carbon dioxide and water vapor

Carbon dioxide is a less potent pollutant

Natural gas does not contribute much to smog

Emits low levels of nitrous oxide and almost no particulate matterCan be used to fuel vehicles

Cut down on the emissions from gasoline and diesel.

Advances in Hydraulic fracturing and horizontal completions Costs more to produce but low risk of shale gas wells North America the developing leaderProspects

29,00 jobs2.3 billion dollars to the economy

ConclusionsEnough unconventional Reservoir exist in the country.

Unconventional Reservoirs are required to be evaluated by collection of more data by initiating Pilot Projects in Shale Gas as earliest as possible.

Exploration blocks may be awarded for unconventional reservoirs.

Economically, Projects in Shale Gas looks viable.

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Referenceshttp://www.guardian.co.uk/business/2011/apr/08/shell-oil-gas-james-smithhttp://www.naturalgas.org/naturalgas/exploration.asphttp://www.business-standard.com/india/news/ongc-finds-maiden-shale-gas-reserves-in-india/123723/onhttp://www.scientificamerican.com/article.cfm?id=shale-gas-and-hydraulic-fracturinghttp://www.api.org/policy/exploration/hydraulicfracturing/shale_gas.cfmhttp://owni.eu/2011/02/14/shale-gas-energy-revolution-or-ecological-threat/http://articles.timesofindia.indiatimes.com/2011-01-26/india-business/28380148_1_shale-gas-damodar-basin-gas-sourcehttp://en.wikipedia.org/wiki/Shale_gashttp://www.deccanherald.com/content/44366/shale-gas-game-changer-india.htmlhttp://www.energytomorrow.org/Shale_Gas.aspThe Times of India, 26 January 2011, article

Thank You!

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