Citi’s latest oil price forecast…
Oil prices crashed below $50…
The state-owned Japan Oil, Gas, and Metals National Corporation, has just recently become the first company in the world to successfully extract natural gas from methane hydrate deposits trapped beneath the ocean floor.
The field in which the production tests have taken place is believed to hold enough methane hydrate to meet Japan’s needs for 11 years. The total volume of hydrates in the waters around Japan would supply 100 year’s worth of demand, according to the National Institute of Advanced Industrial Science and Technology. In methane hydrates are estimated to be so abundant throughout the entire world, that extracting them would mean that fossil fuels would not run out for several centuries.
The 2012 Global Energy Assessment (GEA) was a study that looked into the potential of methane hydrates, describing them as “a solid crystalline substance composed of water and natural gas (primarily methane) in which water molecules form a cage-like structure around the gas molecules.
Related article: Algeria: Leveling the Playing Field for Shale Gas Exploration
The cage structure of the hydrate molecule concentrates the component gas so that a single cubic metre of gas hydrate will yield approximately 160 cubic metres of gas and 0.8 cubic metres of water.”
Whilst the idea of a massively abundant new fuel source seems like an exciting idea on the face of it, the greenhouse gases that extracting it and burning it could release could doom the planet. Methane is 21 times more potent as a greenhouse gas than CO2.
The Intergovernmental Panel on Climate Change states that mass releases of methane gas trapped beneath the ocean floor “appears to have occurred in connection with rapid warming episodes in the Earth's history.”
By. Joao Peixe of Oilprice.com
Joao is a writer for Oilprice.com