SHALE GAS

A REVOLUTION IN THE MAKING ?

Presented by : Arvind Suthar (10210010) B. Vijay Kumar (10210012)

The Natural Gas "Game Changer"

SHALE GAS : A REVOLUTION IN MAKING?

What is shale gas?
Shale gas production Global perspective

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NATURAL GAS RESOURCES

1. CONVENTIONAL NATURAL GAS : (easy to produce) 2. UNCONVENTIONAL NATURAL GAS: (more difficult to produce) The key difference between conventional and unconventional natural gas is the manner, ease and cost associated with extracting the resource. CONVENTIONAL NATURAL GAS include: (i) Associated Gas : associated with crude oil Produced during crude oil production (ii) Non Associated Gas : not associated with crude oil Also called gas well gas

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NATURAL GAS RESOURCES

UNCONVENTIONAL GAS include :

Tight gas : natural gas found in low-permeability rock, including sandstone, siltstones and carbonates.
Coal Bed Methane : natural gas held in coal. Gas Hydrates : ice-like structures of water and gas located under permafrost. Natural gas from geo-pressurized aquifers : refers to gas dissolved in brine under high pressure and temperature. Shale Gas : natural gas deposited in a sedimentary rock called shale.

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What is shale gas ?

Shales are fine-grained sedimentary rocks that can be rich sources of petroleum and natural gas.
Shale gas refers to natural gas that is trapped within shale formations. 95.5% Methane, 2.5% Ethane, 0.2% Propane. Mostly of thermogenic origin.

Shale Gas vs. Conventional Gas

Natural gas migrates toward the Earth's surface from an organic-rich source formation into highly 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

Conventional Gas Reservoir

What Triggered the U.S. Shale Gas Revolution?

The use of horizontal drilling along with hydraulic fracturing has greatly expanded the production
of natural gas from low permeability geologic formations, particularly shale formations.
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FRACKINGHYDRAULIC FRACTURING

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Hydraulic fracturing

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World Shale Gas Resources

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Shale Gas in Worldwide Basins

Country
Algeria Argentina Australia Bolivia Brazil Canada Chile China Colombia Denmark France Germany India Libya Lithuania

Reserves (trillions of cubic feet)

231 774 396 48 226 388 64 1,275 19 23 180 8 63 290 4

Country
Mexico Morocco Netherlands Norway Pakistan Paraguay Poland South Africa Sweden Tunisia Turkey Ukraine U.K. United States Uruguay Venezuela Total

Reserves

(trillions of cubic feet)

681 11 17 83 51 62 187 485 41 18 15 42 20 862 21 11 6,622

Technically Recoverable Shale Gas Resources by Country

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Shale gas The Americas perspective

United States
Shale gas reserves being put into full production in Pennsylvania, Louisiana and Texas, and with new reserves being discovered, recently, for the Marcellus, Eagle Ford, and Utica reserves. In 2008, the US imported 13 percent of its natural gas supply. That figure is expected to drop to nearly 1 percent by 2035. U.S. shale gas production comprises about 40 percent of total U.S. dry production. There are signs that the United States is poised to become significant player in the global natural gas market.
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Shale gas The Americas perspective

Natural gas in U.S. enough for 110 Years of Use?
At the 2009 rate of U.S. consumption (about 22.8 Tcf per year), 2,552 Tcf of natural gas is enough to supply approximately 110 years of use.

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.

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United States Transforming from importer to exporter ?

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United States Shale wise production

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Will U.S. dominate natural gas market?

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Shale gas The European perspective

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Shale gas The European perspective

Western Europe Uncertain future
In Western Europe, sizable quantities of shale gas and other unconventional fuel supplies have been reported in the United Kingdom, the Netherlands, Germany, France, Scandinavia and Norway.

Reserves in France tend to be close to populated areas, and hence, France banned hydraulic fracturing, as of July 1, 2011, including its use for research purposes. In the United Kingdom, shale gas production was voluntarily suspended due to concerns that the operation was causing seismic activity, but this claims has not been proven.

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Shale gas The Asian perspective

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Shale gas The Asian perspective

China Five-year strategic plan
In 2010, the Chinese government began to explore shale gas production. China is looking to develop this resource in order to decrease dependence on Russian and other foreign natural gas sources. Chinas latest five-year plan places great emphasis on the exploration of non traditional or alternative energy sources. Currently, under a joint venture between PetroChina and Shell , 10-15 wells are in operation, producing about 2000 cubic meters daily.
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Shale gas- Indian perspective

Though India possesses significant reserves of natural gas, 38 Tcf in 2009, it still relies on imports to satisfy domestic consumption . In 2009, the country consumed 5.1 Bcfd of natural gas, while producing 3.9 Bcfd.

ARI estimates a total of 290 Tcf of risked shale gas in-place for India. The technically recoverable shale gas resource is estimated at 63 Tcf.

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Potential Shale Gas Reserves in India

Cauvery Basin
Around 43 Tcf of risked shale gas in-place is estimated of which 9 Tcf is considered technically recoverable.

Damodar Valley Basin

In september 2010, ONGC spotted countrys first shale gas well in Durgapur, West Bengal having 5600 feet depth.

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