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Natural Gas
Natural gas is a combustible gaseous
fossil fuel. While contributing less CO2 to the atmosphere than other fuels, it
is still a serious greenhouse gas. Shale gas deposits promise vast supplies, but introduces the problem of "fracking" which has serious critics. Transporting Natural Gas by tanker can involve
similar risks to transporting oil by sea. With its cost receding in recent
years, more attention is being paid to its commercial uses. The main products
of the combustion of natural gas are carbon dioxide and water vapor. New page on Fracking
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Below. - Growth of natural gas supplies
- Different types of natural gas
- Safety issues
- The global scene
- Flaring
| Growth of Natural Gas Supplies |
According to the Energy
Information Administration (EIA), there are 1,744 trillion cubic feet of
technically recoverable natural gas in the U.S., or enough to supply the country
for 90 years at current rates of production. The EPA is conducting a $1.9 million study, expected to be completed by 2012, that will look
at the effect on groundwater, surface water, human health and the environment in
general. link
August 25 2011: Drastic 80% reduction in gas estimates announced.
Federal geologists published new estimates this week for the amount of natural
gas that
exists in a giant rock formation known as the Marcellus Shale, which stretches
from New York to Virginia. The shale formation has about 84 trillion cubic feet
of undiscovered, technically recoverable natural gas, which
is drastically lower than the 410 trillion cubic feet that was published
earlier this year by the federal (EIA) Energy Information Administration. The
EIA will slash its official estimate for the Marcellus Shale by nearly 80 percent,
a move that is likely to generate new questions about how the agency calculates
its estimates and why it was so far off in its projections. link
June 2011: IEA warns natural gas will not prevent global warming. Natural
gas is not the
"panacea" to solve climate change that fossil fuel industry lobbyists
have been claiming, according to new research from the International Energy
Agency. Reliance on gas would lead the world to a 3.5C temperature rise,
according to the IEA. At such a level, global warming could run out of control,
deserts would take over in southern Africa, Australia and the western US, and
sea level rises could engulf small island states. link
Optimistic forecasts for Natural Gas supplies in US. Dec.16 2010: The US Energy Information Agency forecasts that natural gas will represent 62% of new capacity by 2035,
the greatest chunk coming from shale gas, which has already increased
production 14-fold over the last decade. That finding could give a
boost to the natural gas industry, which has been fighting a battle
over the use of hydraulic fracturing, or fracking, the technique that
has helped the industry grow but brings water quality and other
environmental concerns. link Nov. 22 2010: Deutsche
Bank AG analysts predict natural gas, which creates about half as much
carbon dioxide as coal, would comprise 35% of America's electric power
generation by 2030, an increase from the current 23%. At the same time,
they predict coal's share of the power grid would drop from 47% to 22%,
with clean coal accounting for just one percent of the diminished
total. The
report says the developments would allow the United States to achieve a
44% reduction in CO2 emissions from the electric power sector by 2030,
compared to 2005 levels. link |
August 2010: Outside US, world races towards natural gas. While concern over the drilling method called hydraulic fracturing ("fracking" for short) is most advanced in the U.S., energy
industry analysts are predicting a global shale gas boom that could
turn the cleaner-burning fossil fuel into the oil supply of the coming
century. They are watching the gas industry undergo a global
transformation that is starting to reshape the geopolitics of energy
supply all over the world. A dozen major natural gas
pipelines that are either under construction or in the planning phases
will link suppliers and markets in Europe, Africa and Central Asia, in
anticipation of large new supplies of shale gas in need of transport to
energy markets. link June 2010: An MIT report suggests natural gas will
provide an increasing share of America's energy over the next several
decades doubling it's share from 20% to 40%, mostly at the expense of
coal. link July 2010: . . however, a new study argues natural gas is too expensive a solution. Just
last month. the Massachusetts Institute of Technology portrayed
gas-fired electricity as a natural "bridge" between coal and
zero-carbon sources (see above). But that's not so, says new research
commissioned by the American Public Power Association, a collection of
2,000 community-owned utilities trying to keep costs of a U.S. energy
transition in check. Catherine
Elder, a senior research associate at consulting firm, Aspen
Environmental Group, who conducted the study, analyzed the economics of
shutting down all U.S. coal plants and shifting to cleaner-burning natural gas in a carbon regulated economy. "The primary difference between our study and MIT's is
that ours focuses primarily on the infrastructure issues" surrounding
the switch. Currently, coal powers half the nation's electric
generation. The changeover would cost roughly $1 million per megawatt.
"Replacing 335,000MW of coal-fired generationthus should cost in the
range of $335 billion," the study said. Further, it would require
an additional $348 million of new pipeline capacity - if anything close
to that scale is even possible. link March 2010:
The natural gas shale boom in North America has more than doubled
discovered gas resources and can supply more than a century of
consumption at current rates, an IHS CERA study said. However the study
said uncertainties about shale gas include stringency of future carbon
legislation and viability of carbon capture and storage technology, and
concerns about how hydraulic fracturing might affect underground water
tables has prompted Congress to consider increased regulation. link September 2009:
Natural Gas generation growth by 2025. According to EPA projections, without any new legislation, and if
current policies remain in place, there would be nearly 30% more power
generated by gas by 2025 than in 2015, while coal fired generation
would grow by a more modest 7%. But legislators from
coal-producing states appear committed to keeping coal as the nation’s
primary producer of power as debate proceeds on a climate bill. link
July 2009: Tax Credits for natural gas. The Pryor-Inhofe Fueling America
Act of 2009 (Senate Bill 1350) provides a consumer tax credit for the purchase of natural gas or
propane vehicles as well as a tax credit for the installation of natural gas and
propane refueling stations. In addition, the bill establishes a natural gas and
propane vehicle research and development program within the Department of
Energy, requires the General Services Administration to study increasing the
federal fleet that runs on natural gas or propane, and extends the Clean School
Bus Program through 2014. The bill has been referred to the Finance Committee. Link to Summary of
Legislation
October 2009: New way to tap gas may expand global supplies: Extracting gas from layers of a black
rock called shale are bringing oil engineers and geologists from Europe to the USA to learn the new methods. Shale is a sedimentary rock rich in organic material that is found in many
parts of the world. It was of little use as a source of gas until about a decade
ago, when American companies developed new techniques to fracture the rock and
drill horizontally. Companies are leasing huge tracts of land across Europe for
exploration and scrutinizing Asian
and North African geological maps in search of other fields. The global
drilling rush is still in its early stages, but energy analysts are
already predicting that shale could reduce Europe’s dependence on
Russian natural gas. (Shortages in Europe occurred in 2006 and 2008 because of
disputes between Russia and Ukraine when Russia cut off natural
gas deliveries.) Even the most conservative
estimates are enormous, projecting at least a 20% increase in the world’s
known reserves. link
| Different type of natural gas |
According to the Energy
Information Administration, energy from natural gas accounts
for 24% of total energy consumed in the
United States. Natural gas burns more cleanly
than other fossil fuels. It has fewer emissions of sulfur, carbon, and nitrogen
than coal or oil, and when it is burned it leaves almost no ash particles.
Being a cleaner fuel is one reason that the use of natural gas, especially for
electricity generation, has grown so much and is expected to grow even more in
the future because of increasing world supply. For both power stations and transport of course, there are
environmental concerns: as with any fossil fuel, burning natural gas produces
carbon dioxide which is a significant greenhouse gas. For an
equivalent amount of heat, burning natural gas produces about 30% less CO2 than
burning petroleum and about 45% less than burning coal. The process of turning natural gas into a liquid removes most of the water
vapor, butane, propane, and other gases that are typically found in regular
natural gas, leaving predominantly methane. There are differences between Liquefied Petroleum Gas (LPG), Liquefied Natural Gas (LNG) and
Compressed Natural Gas (CNG). more However, in absolute
terms it does contribute substantially to global emissions, and this
contribution is projected to grow. According
to the Natural Gas Vehicle Coalition, there are currently 150,000
Natural Gas Vehicles (NGVs) on the road in the United States today, and
more than 5 million NGVs worldwide. In fact, the transportation sector
accounts for 3% of all natural gas used in the United States. link
Curbing climate change by sealing gas leaks: Because of leaks at oil storage tanks, gas fields etc. some three trillion cubic feet of methane leak into the air
every year, with Russia and the U.S.the leading sources according to the EPA's
official estimate. (This amount has the warming power of emissions from
over half the coal plants in the United States.) Unless monitoring is
greatly expanded, they say, such emissions could soar as global
production of natural gas increases over the next few decades. EnCana, the Canadian gas producer, using infra-red cameras detects leaks and says fixing them is relatively easy, saving energy and money. It is also a cheap,
effective way of blunting climate change that could potentially be replicated thousands of times over, from
Wyoming to Siberia, energy experts say. link
Is it safe? Will it harm the environment? read here
The Federal Energy Regulatory Commission reports that in the past 40 years there have been more than 33,000 LNG ship voyages without a
significant accident or cargo security. Although as in any industry there have been accidents - read
As it becomes a major international
commodity, for Russia it has become a geopolitical weapon by turning on and
then off a pipeline to Ukraine and Western Europe. The
great advantage of Liquefied Natural Gas (LNG) is that it can be traded over
huge distances and is no longer fixed by the length and geography of pipelines. Many environmentalists and energy analysts view natural gas as a natural bridge fuel
between the dominant fossil fuels of today and the renewable fuels of tomorrow.
This gas is now being piped and shipped around the world. Six giant
plants capable of cooling and liquefying gas for export are due to come on line
in 2009. Countries such as Qatar, Russia, Indonesia and Yemen are investing $48 billion, and a
seventh plant in Malaysia is being upgraded. Even though there is a gas glut in
the USA, gas industry executives expect
that liquefied gas imports into the United States will at least triple in the second
half of this year. Until the last few years,
LNG was a high-priced necessity for countries that did not produce their own
gas supplies or have access to piped reserves; but it now has become a cheap
economic driver for countries like Japan with few energy resources. link
August 2010:
Major expansion in Australia by Shell. Royal Dutch Shell looks to invest $30- $50 billion by 2020.
Because of improving technologies and increasing demand in Asia for
cheaper-burning fuel, Shell plans more than 12 liquefied natural gas
projects in Australia as it sees gas providing more than 50% of its
production by 2012. link November 2009: Gas reserves soar: "If Europe was to convert all coal-fired power stations to gas they would
reduce emissions by 40%," claims Rune Bjornson who heads the gas division at Norwegian energy giant Statoil, pointing to how gas power stations emit about a third less than modern coal-fired power stations and about
two-thirds less than old ones. link Natural gas in the United States costs about $3 per thousand
cubic feet (August 2009) down from a peak of more than $13 in 2008. On average, world spot
prices for liquefied natural gas cargoes have come down by more than two-thirds
since summer 2008.
Flaring and venting of natural gas is a means of safely disposing of waste gases through the use of
combustion. According
to the National Oceanic and Atmospheric Association (NOAA) in
2007 oil producers torched from 150 to 170 billion cubic meters (5,200
to 6,000 billion cubic feet) of natural gas per year. This amounts to
more than five percent of global natural-gas production. If the
gas were sold in the United States it would have a market value of
around $40 billion. According to Bent Svensson, head of the Global
Gas Flaring Reduction Initiative at the World Bank, gas flaring also harms the climate. Their report says that flaring produces around
400 million tons of carbon dioxide per year - equivalent to 30% of the European Union’s gas
consumption - and amounts to 13% of all greenhouse gases that industrial
countries need to cut by 2012, according to the Kyoto Protocol. The World Bank's Global Gas Flaring Reduction Initiative is
meant to ease the earth's atmosphere of 32 million tons of CO2 by the year 2012. link
November 2009: Russia takes steps to reduce gas flaring. Moscow last week ordered oil companies to use "up to 95%" of the gases
associated with petroleum extraction in a move designed to bank on the "billions
of roubles" of gas wasted every year, the Kremlin announced. President Dmitry Medvedev said, "This pollutes the environment and sends tens of billions of roubles up in
smoke." link The World Bank Global Gas Flaring Reduction Partnership is a useful resource on goals to reduce gas flaring.
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