Energy!

Energy from Shale Gas

Dr. S. S. Verma
Professor, Department of Physics,
S.L.I.E.T, Longowal, Distt.-Sangrur (Pmiiab)-148106, INDIA
'E-mail: ssvermal23@re(f&nail.com
DEMAND and energy crisis have always prompted
scientists, engineers and planners to look for its new natural
as well as artificial resources. Development and
exploitation of natural energy resources have always
attracted attention due to many advantages associated with
these. Shale gas is one of such resource which has recently
attracted much attention of
energy seekers. Shale gas
is one of the most rapidly
growing forms of natural
gas. Shale gas refers to
natural gas that is trapped
within shale formations. It,
along with other non-
conventional forms of
natural gas, such as tight
gas and coal bed methane,
will make a major contribution to future of gas production.
Unconventional gas production is forecast to increase from
42 percent of total US gas production in 2007 to 64 percent
in 2020. Unconventional natural gas deposits are difficult to
characterize overall, but in general are often lower in
resource concentration, more dispersed over large areas,
and require well stimulation or some other extraction or
conversion technology. Extremely large natural gas in-place
volumes are represented by these resources, and the US
has produced only a fraction of their ultimate potential.
Shale gas is defined as natural gas from shale
formations. The shale acts as both the source and the
reservoir for the natural gas. Older shale gas wells were
vertical while more recent wells are primarily horizontal and
need artificial stimulation, like hydraulic fracturing, to
produce. Only shale formations with certain characteristics
will produce gas. The most significant trend in US natural
gas production is the rapid rise in production from shale
formations. In large measure this is attributable to significant
advances in the use of horizontal drilling and well stimulation
technologies and refinement in the cost-effectiveness of
these technologies. Hydraulic fracturing is the most
significant of these. Shales are fine-grained sedimentary
rocks that can be rich sources of petroleum and natural gas.
Shale gas is found in shale "plays," which are shale
formations containing significant accumulations of natural
gas and which share similar geologic and geographic
properties. Conventional gas reservoirs are created when
natural gas migrates from an organic-rich source formation
into permeable reservoir rock, where it is trapped by an
overlying layer of impermeable rock. In contrast, shale gas
resources form within the organic-rich shale source rock. The
low permeability of the shale greatly inhibits the gas from
migrating to more permeable reservoir rocks.
Extraction of shale gas
Over the past decade, the combination of horizontal drilling
and hydraulic fracturing has allowed access to large volumes
of shale gas that were previously uneconomical to produce.
The production of natural gas from shale formations is
supposed to rejuvenate the natural gas industry all over the
world. Hydraulic fracturing (commonly called "fracking" or
"fracing") is a technique in which water, chemicals, and sand
are pumped into the well to unlock the hydrocarbons trapped in
shale formations by opening cracks (fractures) in the rock and
allowing natural gas to flow from the shale into the well. When
used in conjunction with horizontal drilling, hydraulic fracturing
enables gas producers to extract shale gas economically.
Without these techniques, natural gas does not flow to the well
rapidly, and commercial quantities cannot be produced from
shale. Production requirements and profile for shale oil and
gas is different from conventional gas and oil. While they may
be massive untapped energy sources, the risks of extracting
them have drawn calls fortighter regulation or an all-out ban.
Hydraulic fracturing is the process of pumping a fluid or a
gas down a well, many hundreds or thousands of metres
below ground, to a depth considered appropriate for natural
gas production. The pressure this creates causes the
surrounding rock to crack, or fracture. A fluid (usually water
with some additives) holding a suspended proppant (usually
sand) then flows into the cracks. When the pumping pressure
is relieved, the water disperses leaving a thin layer of the sand
to prop open the cracks. This layer acts as a conduit to allow
the natural gas to escape froiTi tight (low permeability)
formations and flow to the well so * hat it can be recovered. The
technology is carefully used and managed to minimize any
environmental impact, particularly on groundwater. Wellbores
are carefully constructed to efficiently recover gas while
prot ect i ng the surroundi ng envi ronment , parti cul arl y
underground drinking water. A well bore is drilled to allow a
narrow pipe to be sunk deep into the ground. This pipe is
surrounded in the bore hole with cement to ensure that both
the pipe and the underground area it travels through are
compl etel y separat ed. At the producti on si te, deep
underground and several hundred meters below the water
table, the production pipe is perforated to allow the natural gas
to flow into the pipe and rise up to the surface.
CHEMICAL BUSINESS <> JANUARY 2014
g
Growing Dimensions of Shaie Gas Use
U.S. Shale Gas Development
The development of natural gas from shale has
proceeded quickly in the United States, where the energy
industry has long known about huge gas resources trapped
in shale rock formations. According to the U.S. Energy
Information Administration (EIA), of the 2,300 trillion cubic
feet of technically recoverable natural gas resources
estimated to be in the U.S., almost a quarter is held in shale
rock formations. It is only over the past decade that energy
companies have been able to economically unlock natural
gas from shale by combining two established technologies:
hydraulic fracturing and horizontal drilling. As a result,
natural gas from shale has grown to about 35 percent of
U.S. gas production during that time. According to EIA
estimates, this resource could account for nearly 50 percent
of U.S. production by 2035.
Of the natural gas consumed in the United States In
2011, about 95% was produced domestically; thus, the
supply of natural gas is not as dependent on foreign
producers as is the supply of crude oil, and the delivery
system is less subject to Interruption. The availability of
large quantities of shale gas should enable the United
States to consume a predominantly domestic supply of gas
for many years and produce more natural gas than it
consumes. The U.S. Energy Information Administration's
Annual Energy Outlook 2013 Early Release projects U.S.
natural gas production to increase from 23.0 trillion cubic
feet in 2011 to 33.1 trillion cubic feet in 2040, a 44%
increase. Almost all of this increase in domestic natural gas
production is due to projected growth in shale gas
production, which grows from 7.8 trillion cubic feet in 2011 to
16.7 trillion cubic feet in 2040.
Global Potential for Developing Natural Gas
From Shale
The International Energy Agency currently estimates
that global recoverable shale gas resources stand at 7,345
trillion cubic feet, so it's conceivable that this resource could
one day offer similar benefits to other countries. Although
exploration and development of these resources outside of
the United States are still in the early stages. Chevron is
acquiring shale acreage around the world. Exploration of
shale gas is at various stages in a number of countries,
including India, Argentina, Canada, China, Lithuania,
Poland, Romania and Ukraine.
Bottlenecks in Shaie Gas Production
Natural gas is cleaner-burning than coal or oil. The
combustion of natural gas emits significantly lower levels of
carbon dioxide (COJ and sulfur dioxide than does the
combustion of coal or oil. When used in efficient combined-
cycle power plants, natural gas combustion can emit less
than half as much CO2 as coal combustion, per unit of
electricity output. However, there are some potential
environmental concerns associated with the production of
shale gas. The fracturing of wells requires large amounts of
water. In some areas of the country, significant use of water for
shale gas production may affect the availability of water for
other uses and can affect aquatic habitats. Second, if
mismanaged, hydraulic fracturing fluid which may contain
potentially hazardous chemicals can be released by spills,
leaks, faulty well construction, or other exposure pathways.
Any such releases can contaminate surrounding areas. Third,
fracturing also produces large amounts of wastewater, which
may contain dissolved chemicals and other contaminants that
could require treatment before disposal or reuse. Because of
the quantities of water used and the complexities inherent in
treating some of the wastewater components, treatment and
disposal is an important and challenging issue. Finally,
hydraulic fracturing "causes small earthquakes, but they are
almost always too small to be a safety concern. In addition to
natural gas, tracking fluids and formation waters are returned
to the surface. These wastewaters are frequently disposed of
by injection into deep wells. The injection of wastewater into
the subsurface can cause earthquakes that are large enough
to be felt and may cause damage." The injection wells typically
discharge the wastewater into non-potable salt-water aquifers.
Shaie gas in Canada
While large-scale commercial production of shale gas has
not yet been achieved in Canada, many companies are now
exploring for and developing shale gas resources in Alberta,
British Columbia, Ouebec, and New Brunswick. Development
of shale gas, and other unconventional resources, will help
ensure supplies of natural gas are available to the growing
North American natural gas market for many decades.
Dependence on Russia
The potential shale gas production in Europe will have huge
geopolitical importance. Since gas prices are often higher in
Europe than in the US, oil companies are keen on drilling for
shale gas prospects even though profits at this stage are only
speculative. Europe is today dependent on Russia for its gas
supplies to the extent of about 31 per cent. Future shale gas
production may reduce this dependence on Russian gas
supplies for Europe and improve their energy security.
In reality India's gas demand is limited by its access to gas
supplies based on domestic production and imports
availability. If India can produce more gas than it can reduce its
coal imports which is environmentally more unfriendly, its
gasoline consumption through the use of compressed natural
gas, and its demand for LPG through piped natural gas to meet
residential cooking and heating requirements, etc. Natural gas
is a versatile fuel and more environments friendly.
Giobal Potentiai for Deveioping Naturai Gas
From Shale
The International Energy Agency currently estimates that
global recoverable shale gas resources stand at 7,345 trillion
cubic feet, so it's conceivable that this resource could one day
offer similar benefits to other countries. Although exploration
and development of these resources outside of the United
States are still in the early stages. Chevron is acquiring shale
acreage around the world. Exploration of shale gas is at
10
CHEMICAL BUSINESS < JANUARY 2014
various stages in a number of countries, including India,
Argentina, Canada, China, Lithuania, Poland, Romania
and Ukraine.
Progress in India
Companies including Reliance Industries Limited (E&P),
RNRL, Vikas WSP Limited have expressed interest in
exploring for shale gas in India, which is estimated to hold
63 trillion cubic feet of recoverable shale gas. Reliance
Industries paid a reported US$1.7 billion for a 4 0 % share in
Atlas Energy's leasehold in the Marcellus shale gas play in
the eastern US. A complication to shale gas in India is that
the government-issued leases for conventional petroleum
exploration do not include unconventional sources such as
shale gas. In August 2010, a delegation including the
director-general of hydrocarbons and officials of the oil
ministry is scheduled to meet in Washington with the US
Geological Survey to discuss help in identifying and
exploiting shale-gas resources in India. Basins of
preliminary interest identified by Indian geologists are the
Cambay Basin in Gujarat, the Assam-Arakan basin in
northeast India, and the Gondwana Basin in central India.
Oil and Natural Gas Corp. Ltd. (ONGC) will explore 30
additional shale gas wells in India over the next two years.
The company will invest about Rs600 crore for this in the
next two years. ONGC had first struck shale gas in at
Ichhapur in Burdwan, West Bengal as a pilot project. Oil
minister of India said that shale gas exploration would be a
major step for India in achieving 'economic freedom'. "It
took six years for the US to become a net exporter from
being a net importer of energy with the use of shale gas and
oil. Canada was the next country to do so. I want India to do
the same." Last year, ONGC had signed a memorandum of
understanding with ConocoPhillips to explore shale gas.
The two undertook joint studies in Cambay, Krishna
Godavari, Cauvery and Damodar basins based on which a
drilling programme was firmed up in Cambay Basin area in
Gujarat. ONGC's shale gas project is in line with the New
Shale Gas Policy that was announced by the Centre. The
policy allows ONGC and Oil India Ltd. to explore shale gas
and oil in their nomination blocks.
India, the world's fourth-largest consumer of energy,
could be sitting on as much as 96 trillion cubic feet (tcf) of
recoverable shale gas reserves, equivalent to about 26
years of the country's gas demand, according to the US
Energy Information Administration. But production from
shale remains a long way off for India, which relies on
imports for much of its energy needs. As per available data,
six basins - Cambay (in Gujarat), Assam-Arakan (in the
North-East), Gondawana (in central India), KG onshore (in
Andhra Pradesh), Cauvery onshore and Indo-Gangetic
basins, hold shale gas potential.
Future for Shaie Gas
As demand is growing for more and more energy all over
the world, the role that natural gas will play in that demand is
uncertain. One thing that is certain is the shale gas
resouces are shaping up to be key suppliers for domestic
About the Author
Dr. S.S. Verma is at present working as Professor in the
Sant Longowal Institute of Engineering and Technology
(SLIET) (Deemed-to-be University), Longowal, Punjab.
Worked as an Assistant Professor,
Dept. of Physics at Gondar
University, Ethiopia from Oct.
2004 to July 2006. Did M.Sc.
(Physics) from H.P.University,
Shimla in 1982 and Ph.D. from
I.I.T.Delhi in 1990. Worked as
Research associate (CSIR) in IIT
Delhi. Did postdoctoral studies in
Japan under Japanese Govt.
fellowship from October 1991 to
March 1993.
Has publ i shed about 40 research papers in
national/international referred journals and about 300
science and technology related articles towards science
popularization in various magazines/newspapers of
national repute.
Biography has been included in Marquis' Who's Who in
Science and Engineering 8th and 9th editions. Also has been
nominated to different awards and honors by the
International Biographic Centre (IBC), London.
natural gas. Impacts from this industry are uncertain as well.
Historically, the energy industry has gone through times of
"boom and bust" and is driven by the economical conditions
present across the nation. The industry is also known for
paying a higher wage, on average, compared to an equivalent
manufacturing job. One thing that is not uncertain is that the
natural gas industry associated with shale gas exploration will
give the nation another source to potentially reduce the intake
of foreign supplies of natural gas.
References
[I] http://en.wikipeclia.org/wiki/Shale_gas_by_country
[2] h t t p : / / www. a p i . o r g / p o l i c y - a n d - i s s u e s / p o l i c y -
items/exploration/facts_about_shaie_gas
[3] http://www.business-standard.com/articie/economy-policy/ongc-to-
put - i ndi a- on- shai e- gas- expi or at i on- map- on- t uesday-
113112300667_1.htmi
[ 4 ] ht t p: / / www. c app. c a/ c anadal ndus t r y / nat ur al Gas /
ShaieGas/Pages/defauit.aspx
[5] http://www.chevron.com/deiiveringenergy/naturalgas/shalegas/
[6] http://www.deccanheraid.com/content/4 4 366/shale-gas-game-
changer-india.html
[7] http://www.eia.gov/energy_in_brief/articie/about_shaie_gas.cfm
[8] http://www.hindustantimes.com/india-news/newdelhi/india-
approves-poiicy-for-shale-gas-and-oii-expioration/articiei-
1126658.aspx
[9] http://www.iivemint.com/lndustry/fYIQ5qBr4 EXkoDEJHS0 mXJ/
ONGC-begins-shaie-gas-expioration-in-lndia.html
[10] http://www.shaletec.org/whatis.htm
[II] http://www.thehindubusinessiine.com/companies/india-takes-its-
first-step-into-shaie-gas-oii-expioration/articie5390558.ece
CHEMICAL BUSINESS < JANUARY 2014 11