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OPEC Cheating Will Cap Oil At $52

OPEC Cheating Will Cap Oil At $52

Oil prices rallied strongly following…

Will Solar Stocks See A DotCom Style Bubble?

Will Solar Stocks See A DotCom Style Bubble?

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California's Shale Formation is Four Times as Large as the Bakken

Perhaps one of the more overlooked aspects of the International Energy Agency’s (IEA) recent World Energy Outlook 2012 and its detailed analysis of the US hydrocarbon potential, is the dilemma facing California.

California has committed to renewable energy, and aims to get a third of its electricity from renewable sources by 2020; and it is this ‘green’ stance which could now threaten the development of a giant shale oil field.

According to the IEA report the Monterrey Formation in Southern California has 15.4 billion barrels of recoverable crude oil, more than four times the volume available from the Bakken formation in North Dakota.

The IEA wrote in their report: “The idea that fossil fuels will fade from the scene seems more preposterous every day. Instead of getting left behind in this new era, the Golden State could – and should – lead the way.”

Related Article: How Big a Role Will Shale Gas Play in America’s Energy Future?

Business Insider claimed that the San Diego Tribune published an editorial asking California Governor Jerry Brown to help push for the development of the giant shale formation.

An auction is planned for the 12th of December, in which more than 17,000 acres will be available for shale companies to bid on.

By. Joao Peixe of Oilprice.com



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  • SidAbma on December 20 2012 said:
    America still has to catch on that "our" natural gas can be consumed much more efficiently than is being done today.
    The residential market has condensing boilers and high efficiency condensing water heaters. The big consumers of natural gas have available to them the technology of Condensing Flue Gas Heat Recovery, but are slow to adapt. Our governments and utilities are focused on electricity, so industry follows - changing light bulbs.

    Every natural gas appliance has a chimney, and it is not visible, but there is a LOT of HOT exhaust being blown into the atmosphere. Global Warming?
    Recover the heat out of this exhaust, and use it back in the building or facility where it was combusted, and vent COOL exhaust instead.

    Increased natural gas energy efficiency = Reduced utility bills = Profit
    Increased natural gas energy efficiency = Reduced CO2 emissions
    Increased natural gas energy efficiency = Water conservation,
    and this clean-distilled water created during this heat recovery process is very usable.

    What natural gas is not wasted today, will be there to be used another day.
  • T Pacer on November 22 2012 said:
    Take away all the U S Federal dollars that support the "Alternate Energy" industry and it would all but disappear overnight.
    "Alternate Energy" is good and needs to be developed but it must compete fairly in the open market without being subsidized by any taxpayer's dollars. The actions by our government agencies to limit and prohibit development of any industry is intentional socialism designed to put control of America into the hands of the "Elite" few.
  • t on November 22 2012 said:
    Reply to Terry David Bell. God does provide, but, with all respect, I doubt it was all in the atmosphere. There are some geologists who are saying there is oil being produced deep in the earth - we only see what seeps through the cracks.

    Don't we need more refineries, though?
  • Terry S. on November 22 2012 said:
    The Green River reserve in Utah, Wyo.,Colo. has 1.3 trillion barrels(800 Billion recoverable, see Rand oil shale study) can't be used nor will they allow Calif. to drill. EPA is trying to stop use of private land in the Bakken field and SW Texas. It seems the idea is to bankrupt America.
  • Terry S. on November 22 2012 said:
    The Green River reserve in Utah, Wyo.,Colo. has 1.3 trillion barrels(800 Billion recoverable, see Rand oil shale study) can't be used nor will they allow Calif. to drill. EPA is trying to stop use of private land in the Bakken field and SW Texas. It seems the idea is to bankrupt America.
  • Terry David Bell on November 22 2012 said:
    The Baken oil fields will supply our needs for the next 200 years. This field is 4 times bigger ie: 800 years. Together that will be 1000 years.
    And people think we need "allternatives"?
    At one time all this carbon was in the atmosphere and what happened? It got stored as fuel for now when we need it.
    God ain't dumb guys. He provides!!! Abundantly!!!
  • Hoser on November 22 2012 said:
    It's national suicide in 20 to 40 years if we fail to develop modern nuclear energy. In contrast to 1970s designs: Use thorium fuel with twice the available material than uranium. Build integral fast reactors to burn nearly 100% of the fuel and produce very little waste. A liquid core avoids reprocessing and no meltdown is possible. Modular reactor designs speed construction, reduce costs and lower risk. Petroleum will bridge the gap, but won't last forever.
  • Tom Bender on November 22 2012 said:
    California's shale deposit's will be developed.
    Many of Kalifornia's politicians hold interest's in the oil lands of Kalifornia.
    Ask Babs Boxer and Feinstein about their holdings.
    It will be just a matter of timing for the politicians to push this through.

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