The official UK advocate for shale-gas development has resigned in protest of “a de facto ban” on hydraulic fracturing.
Natascha Engel, a former Labor Party member of Parliament, complained in her resignation letter to Greg Clark, secretary of state for business, energy, and industrial strategy, of “ridiculously low” seismicity thresholds at which fracing must be halted.
Losing our fracking tsar must be a wake-up call for flip-flopping ministers
THE loss of the UK’s fracking tsar must be a wake-up call for flip-flopping ministers.
Natascha Engel is right to warn that Britain’s energy revolution is now at risk, with the Government in thrall to eco-warriors and their immature stunts. https://www.thesun.co.uk
Britain’s quest to tap domestic supplies of shale gas is looking increasingly bleak as the government’s liaison between the industry and local communities resigned after just six months in the job. – bloomberg.com
The resignation of Natascha Engel as the Government’s so-called fracking “tsar” is the latest blow to a burgeoning industry that held out such promise just a few years ago. – https://www.telegraph.co.uk
This isn’t the first time fracking has been stopped in its tracks. In 2011 after fracking by Cuadrilla caused minor earthquakes at its northwest England site leading to an effective ban on all drilling while the government probed the industry.
Exxon Mobil and Chevron Plan on Texas size Scale in the Permian Basin
Exxon Mobil and Chevron said they would boost their growth in the Permian basin substantially.
Big oil is getting even bigger in shale, and that could speed up a shakeout among independents and force more mergers and joint ventures.
Exxon expects to boost production to 1 million barrels a day in five years in the 75,000 square mile area that runs through West Texas and southeastern New Mexico. Chevron expects to more than double its output to 900,000 barrels a day in four years.
Small players are gonna feel the squeeze in Texas, now the Majors are moving in. workers pay might also fall, as big companies expect work done for cheap. Price of oil will go down as we see a surplus of oil and small operators will not be able to stay profitable and will in turn sellout to the Majors.
“With the majors going into the Permian to do roll-outs, the independents there are getting squeezed by the banks, which want them to cough out more money or get out,” Investing.com’s Barani Krishnan quoted Kilduff as saying.
2019 U.S Oil producers will pump an average 12.06 million barrels a day
EIA expects global liquid fuels consumption to increase by 1.5 million b/d in 2019, with growth largely coming from China, the United States, and India.
Producers aren’t shying away from spending money in U.S. fields, despite prices dropping more than 30% from the October highs. ConocoPhillips said Dec. 10 it is spending half its 2019 budget in the continental United States, while Chevron Corp. is investing $3.6 billion in the Permian Basin alone.
Global liquid fuels
Brent crude oil spot prices averaged $65 per barrel (b) in November, down $16/b from October, the largest monthly average price decline since December 2014.
EIA expects Brent spot prices will average $61 in 2019 and that West Texas Intermediate (WTI) crude oil prices will average about $7/b lower than Brent prices next year. NYMEX WTI futures and options contract values for March 2019 delivery that traded during the five-day period ending December 6, 2018, suggest a range of $36/b to $77/b encompasses the market expectation for March WTI prices at the 95% confidence level.
EIA estimates that U.S. crude oil production averaged 11.5 million barrels per day (b/d) in November, up 150,000 b/d from October levels because of platforms resuming normal operations after hurricane-related outages in October. EIA expects that U.S. crude oil production will average 10.9 million b/d in 2018, up from 9.4 million b/d in 2017, and will average 12.1 million b/d in 2019.
EIA forecasts total global liquid fuels inventories will increase by about 0.3 million b/d in 2018 and by 0.2 million b/d in 2019. Global liquid fuels production is forecast to increase by 1.4 million b/d in 2019. EIA expects production growth in the United States to be partially offset by declining production elsewhere, notably in the Organization of the Petroleum Exporting Countries (OPEC), where EIA forecasts that liquid fuels production will decline by 0.9 million b/d in 2019.