Timmy elsewhere

At the ASI.

Exploring one of the more ludicrous things said about shale gas.

4 thoughts on “Timmy elsewhere”

  1. A question about shale gas bringing down UK/Europe gas prices:

    Will there be enough supply to make a significant difference as seen in the US? I don’t doubt there is plenty underneath us but can we get it out quickly enough?

    I understand Cuadrilla expect to up to 1,200 production wells in their Bowland Shale licence area all being well. Obviously many of these wells will be drilled together by the same rig at multi-well pads.

    I believe one of the main reasons shale gas has been so successful in the States is that they have access to a very established onshore drilling industry – there are plenty of land rigs, cheap workers and inadequate HSE.

    Whereas in the UK and indeed Europe as a whole, the onshore industry has always been much smaller and there are relatively fewer land rigs. While we can ship them over from the continent and elsewhere, I suspect we couldn’t just use the old rigs used in Texas due to differing safety standards but also because they’re more manpower intensive, which is probably an issue if your workforce can bugger off to an easier and better paid job in the North Sea. So we’d probably need the newer, expensive ones.

    Obviously such a demand will push up supply of land rigs as manufacturers react. But the question of is: can they react quickly enough?

    Or is Shale Gas in the UK (and Europe) likely to be more a long term stream rather than the flood we’ve seen in the States?

  2. Another reason for the fast takeoff in USA is that a landowner owns the mineral rights to everything (except uranium?) beneath their tract.
    Incentives matter.

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