Thursday, August 2, 2012

Energy Quest and ‘Britain’s Atlantis’

A couple of fascinating reports detail discoveries at the bottom of the North Sea that some scientists say indicate the existence of “Doggerland,” an area that connected modern-day Great Britain to continental Europe until about 7,000 years ago.

CBS News reports that fossilized evidence of mammoths and other large game, harpoons, flint tools and suspected burial mounds mark settlements of hunters and gatherers who lived on dry land all around the British Isles – in areas connecting England to France and the Low Countries, as well as the area between Scotland and Denmark. London’s Daily Mail calls it “Britain’s Atlantis.”

Interesting stuff, you say, but what the heck does it have to do with energy?

It turns out divers with oil companies that are operating in the North Sea found remains of the submerged world, the Daily Mail reports, and scientists have used industry geophysical modeling data to help piece together what the area looked like when it was dry ground. Research team leader Richard Bates, a geophysicist at the University of St. Andrews:

“Through a lot of new data from oil and gas companies, we’re able to give form to the landscape - and make sense of the mammoths found out there, and the reindeer. We’re able to understand the types of people who were there.”

There’s much work to be done, Bates says: 

"We haven't found an 'x marks the spot' or 'Joe created this', but we have found many artifacts and submerged features that are very difficult to explain by natural causes, such as mounds surrounded by ditches and fossilized tree stumps on the seafloor. There is actually very little evidence left because much of it has eroded underwater; it's like trying to find just part of a needle within a haystack. What we have found, though, is a remarkable amount of evidence, and we are now able to pinpoint the best places to find preserved signs of life."

We’ll let you know if they turn up any signs of pre-historic oil and natural gas exploration.


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Graphically Speaking: Fracking and Injection Wells

Last week’s National Research Council report on hydraulic fracturing and earthquakes pretty much ends up where a number of scientists are on the correlation between fracking and quakes: that energy development from shale formations poses a low risk for tremors of significance. The report said more attention should be given to injection wells, which are used for waste disposal by a number of industrial enterprises, not just the oil and natural gas industry. AP science writer Seth Borenstein’s take on the report is here.

API, America’s Natural Gas Alliance and the American Exploration & Production Council have produced a couple of informational tools on hydraulic fracturing and seismic activity and underground injection control (UIC) wells that are especially timely with release of the council’s report. 

Highlights from the fracking document:

Hydraulic fracturing is done with a mixture of more than 99.5 percent water and sand. The other one-half of 1 percent is chemical – including anti-bacterials and lubricants. See the FracFocus.org site for more on fracking fluids.Fracturing that occurs thousands of feet below the surface (and below groundwater aquifers) is carefully mapped with sophisticated equipment to optimize recovery of the oil and/or natural gas and to monitor the well itself. In other words, microseismic activity associated with fracking is thoroughly understood.

One study of several thousand shale fracture treatments across North America showed the largest micro-quake measured about 0.8 or about 2,000 times less energy than a magnitude 3.0 earthquake. The chart below shows that most of the micro-quakes in this study were 10,000 to 1 million times smaller than a 3.0 earthquake, which is roughly equivalent to the passing of a nearby truck:

Highlights from the UIC document:

The U.S. has about 151,000 Class II UIC wells used by the oil and natural gas industry, of which only a handful are being studied for possible links to earthquakes. These wells are a subset of more than 800,000 injection wells nationwide used to dispose of a variety of industrial wastes and for development of various minerals and geothermal energy sources. Here’s a map that shows the state-by-state well distribution:

Injection wells are regulated by EPA under the Safe Drinking Water Act. In many cases EPA has delegated authority for the UIC program to the states, with 39 states having primary authority over 95 percent of all UIC Class II wells.Literature published in the past five years shows that less than 40 incidents of seismic activity felt on the surface were associated with Class II injection wells.

Injection wells pump fluids into deep rock formations (see graphic). It’s unusual, but in some cases a quake can occur when a number of geological and operational factors come together – especially the presence of hard, dense and brittle crystalline “basement rock.”  These quakes are almost always small, below the level that would be felt on the surface.

For more information, check out the Energy From Shale website.


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Editorially Speaking, New York Times is Behind the Curve on Shale Gas

Here’s what caught our eye in an otherwise relatively benign New York Times editorial on shale natural gas and hydraulic fracturing:

“For their part, the oil and gas companies — both the ExxonMobils and the mom-and-pops that abound in hydrofracturing — need to drop their warfare against necessary regulations.”

And later:

“Stronger federal rules are plainly needed.”

Last things first: Stronger federal rules? Where has the Times’ editorial board been the occasions when EPA Administrator Lisa Jackson has downplayed the notion of federal shale gas regulation overlaying existing state regulation? Here’s Jackson last fall:

“We have no data right now that lead us to believe one way or the other that there needs to be specific federal regulation of the fracking process. … So it's not to say that there isn't a federal role, but you can't start to talk about a federal role without acknowledging the very strong state role.”

And a couple of days later, on MSNBC:

“States are stepping up and doing a good job. It doesn’t have to be EPA that regulates the 10,000 wells that might go in.”

It’s likely Jackson knows there’s not much the feds could add to the competent, efficient oversight that state regulators already are providing. And the Times doesn’t explain what it believes federal regulation – probably duplicative, almost certainly unnecessary – would accomplish.

In fact, industry recognizes the need for regulation. We just believe it’s best handled by the states. That’s why we’ve worked with the states through the STRONGER organization to develop regulatory regimes tailored for their specific circumstances. API and its members also have worked hard to develop industry standards that often form the basis for state regulations – on wellbore integrity, water management, community relations and more. Industry supports disclosure through the FracFocus online chemical registry.

All of the above address the editorial’s other assertion – that energy companies need to “drop their warfare” against regulation. Sorry, but the real warfare here has been waged by the Times in its “Drilling Down” series, a collection of inaccuracies, misrepresentations and manipulations that the Council on Foreign Relations’ Michael Levi dubbed a “war on shale gas.” This has included flawed reporting on mortgages, leases and the economic future of shale gas – at one point drawing a penalty flag from the newspaper’s own ombudsman. 

So, while noting the editorial’s positive points about shale gas, we encourage the newspaper’s editorial board to get up to speed on the good work states are doing to regulate industry activity, as well as industry efforts to get shale gas development right.


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Launching: American Energy Works.org

The intersection of a recent anti-natural gas fundraiser at the trendy Brooklyn Winery – featuring fabulous culinary delights prepared by a group of talented chefs – and the natural gas that made the evening possible was, well, simply mouth-watering.

New York Daily News columnist Bill Hammond writes that the “Taste of the Marcellus” event last week was hosted by a group called Chefs for the Marcellus, to showcase the kinds of foods they say could be jeopardized if New York Gov. Andrew Cuomo OKs hydraulic fracturing in that state’s portion of the Marcellus Shale. Hammond:

"Guests were treated to eggplant-stuffed okra, smoked lamb belly with fermented tofu and whipped ricotta jewel on toast — along with wines from the Finger Lakes and beers from Cooperstown’s Ommegang brewery. Th... more »

Jill is a district manager for Total Safety, a company that provides service solutions for various aspects of the oil and natural gas industry, as well as power-generation and industrial markets. For her, the industry is about future job security: “It’s really an industry that’s not going away.”

Her video:

Visit American Energy Works.org for more videos and information about the people who’re at work for America’s energy future.

A new USA Today/Gallup poll finds two of the top three issues that Americans care about the most in this election year are … jobs and reducing the federal budget deficit. Check and check. America’s oil and natural gas industry can help with both. Respondents were asked to weigh the importance of a number of issues (see chart), and 92 percent said creating good jobs is “extremely/very important.” On cutting the federal deficit the figure was 86 percent. Jobs and revenue to the government – we can help.

With the right policies in place – increasing access to American natural resources, the right approach to energy regulation, encouraging energy investments and more – our industry could create 1.4 million jobs by 2030. Here’s how the Wood Mackenzie energy consulting firm charts the pot... more »

Energy-driven economic growth is more than theory in places like Mount Vernon, Ohio, and Chandlersville, about 60 miles to the southeast. Shale energy is building growth in both places – in different ways.

In Mount Vernon, Ariel Corporation is experiencing demand for the reciprocating gas compressors it manufactures, which are used to extract, process, transport, store and distribute natural gas from shale. In Chandlersville, Steve Addis and his wife own and operate Annie’s Restaurant, which is seeing an influx of workers who’re drilling new shale gas wells in the area. Both show how the oil and natural gas industry supports jobs beyond direct industry jobs.

More in this video:

Visit American Energy Works.org for more videos and information about the people who’re at work for Am... more »

ConocoPhillips’ Bob Morton is chief materials scientist at the company’s technology center in Bartlesville, Okla. The chemical that allowed development of low-sulfur gasoline and diesel – without sacrificing octane and without increasing the cost of the fuel – was developed there, he says.

Coming up with environmentally friendly consumer products is Morton’s mission:

“What I really love about my job is sometimes I’m given the opportunity to see something that nobody has seen before. And when those moments happen truly, those are the things that I think are the most wonderful parts of doing the job.”

Check out Bob’s story:

Visit American Energy Works.org for more videos and information about the people who’re at work for America’s energy future.

... more »

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Crude Production Rise: Credit Where Credit’s Due

Last week the Energy Information Administration (EIA) told us that U.S. crude oil production in the first quarter of the year topped 6 million barrels per day (bbl/d) for the first time in 14 years. EIA’s chart:

EIA’s analysis:

“Strong growth in U.S. crude oil production since the fourth quarter of 2011 is due mainly to higher output from North Dakota, Texas, and federal leases in the Gulf of Mexico. … After remaining steady between 5.5 million and 5.6 million bbl/d during each of the first three quarters of 2011, EIA estimates that U.S. average quarterly oil production grew to over 5.9 million bbl/d during the fourth quarter and then surpassed 6 million bbl/d during the first quarter of 2012.”

Certainly, great news like that will restart discussion of who deserves credit for such a production milestone – beyond, of course, the energy companies that are actually pulling the oil from the ground or the seafloor. Politico Pro [subscription required] reports White House spokesman Clark Stevens emailed in the administration’s claim for credit:

“Despite misleading rhetoric by some in Washington, President Obama has made expanding responsible oil and gas production here at home a clear priority and the facts speak for themselves. Since the president took office, domestic oil and gas production has increased each year, with oil production in the first quarter of 2012 higher than any time in 14 years and natural gas production at its highest level ever, and that is certainly thanks in part to steps taken by this administration.”

That’s one view. Others disagree. Politico quotes Tom Kloza, chief oil analyst at the Oil Price Information Service:

“In the end, the president and Congress can’t take credit for what price and technology have delivered. It would be akin to taking credit for the iPad. … Unless there is a price collapse, or a true scientific indictment of fracking, one can expect to see plentiful growth in light sweet crude coming from the Rockies, North Dakota, and even Ohio or West Virginia.”

And Richard Newell, the EIA’s head from 2009-2011:

“In a political year, different parties would like to take credit for positive news in the energy sector and I think here the credit largely goes to technology."

And also Amy Myers Jaffe, an energy fellow at Rice University, who notes that North Dakota and Texas shale production has occurred mainly on private land, while increases from the Gulf result from the actions of previous administrations:

“Production rises from Gulf of Mexico would have been in the hopper way before President Obama took office.”

Settling the argument isn’t as important as recognizing that with the right policies the oil and natural gas industry can further develop America’s energy wealth. With the right strategies and leadership, the United States could see 100 percent of its liquid fuel needs met from North American sources. And along with it: jobs and tax revenues for government.

Strategies, policies and action: It’s what separates election-year rhetoric from substantive progress toward a more secure energy future.


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Innovation: Chevron’s ‘i-field’ Links Performance, Savings

USNews.com has a good read on Chevron’s digital investments, which the company says will save up to a billion dollars a year in operating costs in 2016. The linchpin is Chevron’s digital oil field, the “i-field,” which is short for “intelligent field.” USNews explains:

“Chevron's i-field harnesses advanced technology and communications to improve performance at 40 strategic assets throughout the world, including some of its biggest and most productive oil and gas fields. The company is rolling out six to eight mission-control centers focused on separate business areas, ranging from machinery to drilling to wells and reservoirs, that monitor those assets in real-time and rely on sophisticated computer algorithms for early detection of problems. From Chevron's perspective, the i-field is now essential to its global operations, which span six continents.”

Chevron isn’t the only company doing these things (USNews notes that Shell and ConocoPhillips have their own versions), but it is recognized as one of the oil and natural gas industry’s leaders. Basically, to overcome the global and labor-intensive characteristics of oil and gas development, Chevron has digitized a number of its operations. USNews:

“Chevron has deployed thousands of tiny sensors, only millimeters or centimeters in size, that monitor field operations and transmit data, both wired and wirelessly, back to central locations. The sensors instantaneously track pressure, temperature, and other readouts and aid with the mapping of underground fuel deposits, allowing the company to maximize production. Chevron also employs analytics to evaluate data streams in real-time from oil wells, drill rigs, ships, and elsewhere.”

The company has two mission-control facilities in Houston that oversee drilling and machinery support and two others in Lagos, Nigeria, and Covington, La., that monitor deepwater drilling. USNews:

“High above Houston in an office tower, a tech-savvy team at Chevron's machinery support hub monitors thousands of pieces of equipment, in real-time, across every continent except Antarctica. Using software to analyze data transmitted by sensors, it conducts ‘predictive intelligence’ to pinpoint when equipment, such as rotating devices called compressors, needs maintenance ‘so we can change out parts before they break down,’ [Chevron Energy Technology President Paul] Siegele says.”

USNews includes some examples where the technology came into play. The machinery support center sensed that a compressor in one of Chevron’s Asian business units was experiencing valve failure. On-site inspection confirmed the problem and the valve got fixed. Another time, equipment at Chevron’s Sanha oil and natural gas field off the coast of Angola was showing an irregularity, which the team in Houston detected. A repair was made, and the company saved millions of dollars in potential damage and lost production.

Again, Chevron figures it already is saving in the millions of dollars and says that will become billions when the “i-field” and a general operational overhaul are fully implemented in four years. Efficiencies and savings, of course, mean innovating companies, like Chevron, can invest more in energy exploration and development, which is a good thing.


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Turn Slip Ups Into Success – Weekly Weigh In

If you don’t mind, I am just going to let my thoughts go for a minute.  Bear with me!

I’ve slipped.

I’ve slipped far and I’ve been slipping for quite a while.

This week’s Weight Watchers topic was PERFECT for me.  You know why?!?  Because I had a major slip up.

I gained 3.8 pounds.  I now weigh back in the 190's.  O-M-G!!!!

What defines us is how well we rise after falling. Rise Up!

It was a wake up call.  It was the wake up call I needed to get my butt back in gear.

I think last week when I only gained a little (and expected to gain a lot!), I thought I could continue to cheat and not gain.  Boy was I ever wrong.  I’m tired of it.

My clothes don’t fit good and I REFUSE to buy new ones.

I FEEL bad physically.  I have headaches again.

I don’t like the way I look in the mirror or some pictures that are taken.

I am gaining weight and It is time to stop.

The past eight months I have teeter tottered back and forth.  I looked back at my weight record and can CLEARLY see the steady gain.

weight watchers weight record Steady Gain since November….not good!

Who am I?!?  This week’s big gain was just what I needed to say, “Self…get it together.  Enough is enough!”

Plus, if I don’t do something before work starts, I won’t have any clothes to wear!

So…I am serious this time.  I have had enough.  I WILL turn this slip up into success.  It is simply a choice.  It is actually a whole bunch of small choices that add up.  I will make small, good choices that will add up to success.

This week’s meeting was perfect for me.  I have a choice.  I can continue to go in the wrong direction or I can get my act together, do what I KNOW I NEED to do and get back on track.

I choose success.  Which do YOU choose?

Thank you for letting me get my thoughts out.  This post made me very sad to write.  I feel like a fake.  I don’t feel like a weight loss role model.  However, I know in my heart those are lies.  We ALL go through downs.  I have gone through a down and I hope some of you can relate and feel encouraged to know you are not alone.  Let’s make it a great week!

Photo Credit

Avatar of Jennifer Swafford

My name is Jennifer, I’m 35 and I currently live in a suburb outside of Atlanta. I live with my husband, Jason and Shi-tzu, Maggie. I enjoy spending time with my family and friends.
My full time job is teaching elementary school. My part time job is private tutoring after school for grades K-6. I have been on my weight loss journey my entire life but just began to take it seriously two years ago when I decided it was time to start a family. I didn’t want to be one of those people who others look and and say, “Is she pregnant or just really fat?” At the rate I was going, that question would certainly be asked. So, two years ago I joined Weight Watchers. Now, closing in on losing 100 pounds, my life is healthier and I am happier. Now…bring on the baby!
My blog is here for you to be inspired, learn something new, and hear all about all new products I try. Join me on this weight loss journey as I go through ups and downs, good and bad, and continue to take it one day at a time!


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Lights, Cameras…Fracking!

Great time Thursday night at the grand, lovely Warner Theater in Washington, D.C., for API’s “Big Screen Energy” event, featuring film trailers from pro-energy documentaries on hydraulic fracturing including “Truthland,” “Empire State Divide” and “Frack Nation.” After the trailers, representatives of the films talked about their projects and answered questions from the audience. Some important points that emerged:

#1: Shale Energy = Economic opportunity

For lots of people in the Marcellus Shale portions of Pennsylvania, energy from fracking is helping them alter the courses of their lives. And it could help even more if New York state approves hydraulic fracturing on some scale. “Empire State Divide’s” Karen Moreau said New York agriculture needs working capital to survive. Energy development from that state’s portion of the Marcellus could supply that, keep farms operating and allow them to be handed off to the next generation, said Moreau, who since making her film was named executive director of the New York State Petroleum Council.

#2: Countering Frack Fiction

“Truthland,” featuring Pennsylvania science teacher and mom Shelly Depue, spends much of its 34 minutes dispelling misinformation about hydraulic fracturing and natural gas development. The film is a step toward centering the national fracking debate on science and fact instead of fear and misrepresentation. “Frack Nation’s” Phelim McAleer said some opponents aren’t interested in responsible development; they want to block natural gas altogether.


#3: The Right to Prosper

Moreau said the divide in New York over fracking is actually a property rights test – whether individuals may develop resources on their land. She said some opponents of natural gas development in New York’s southern tier, the counties in the Marcellus along the Pennsylvania border, aren’t residents of those areas. Still, they are trying to control or block development. The contest is still playing out, as state officials weigh how much development, if any, to allow.

Again, the evening provided an interesting perspective on an important public policy issue. At the center of it is a truth, noted by McAleer: the ability of energy to lift lives, to lift standards of living. McAleer said the lack of affordable, reliable energy usually characterizes areas that are impoverished and unhealthy – places where people have little chance to lift themselves. Energy changes that, he said.

In energy from shale, the United States has an historic opportunity to be more prosperous – with abundant fuel for the lifestyles of its citizens and the power to revitalize critical industries like manufacturing and chemicals. The U.S. also can make its future more secure, less dependent on imports. Industry’s role is to develop these resources safely and responsibly. It is doing this while striving to continually improve technologies and performance.


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