2. • Is shale gas a viable resource?
• What are the problems with it?
– Social?
– Environmental?
• Laws and regulations
• Where is it?
3. Natural gas
Unconventional
Found in certain types of shale
2,000-7,000 feet deep
Low permeability
Prevalent in the area
Confined in fractures within
the shale itself
Reserves higher than Oil
Enhanced Global Availability
4. How is shale gas formed?How is shale gas formed?
• Shale containing natural gas is generally sandwiched
between two thick, black fine-grained shale deposits
• Continued pressure from burial forces most of the
natural gas to migrate from the organic shales into
more porous and permeable rock such as sandstone
and limestone forming conventional reservoirs.
• The natural gas remaining in the shales is termed shale
gas.
5. Steps
1. Leasing land
2. Exploration
3. Drilling
Hydraulic fracturing
Horizontal drilling
1. Collecting
2. Restoration
~ 3500 feet
Cap rock
Cap rock
~ 100 feet
Pay zone
Not to scale
Horizontal Drilling and Fracturing
7. Plentiful
Cleaner than other fossil fuels
Economy
Low maintenance costs
Environment friendly
Speedy creation of Infrastructure
8. Most critics support the production of natural
gas from Shale.
Analysts expect shale gas will greatly expand
worldwide energy supply
Unconventional gas production is expected to
rise from 42% in 2007 to 64% in 2010
There is enough shale gas to support the U.S.
gas needs for 90 years
10. • North America is currently
the most profitable shale gas
producer
• Worldwide development of
shale gas plays are expected
to develop, especially in
Europe and Asia
LOCALLOCAL
• Shale gas contributes an 11%
rise in natural gas in the U.S.
• Pennsylvania Marcellus Shale
contains about 500 trillion
cubic feet of natural gas
11. INDIAN ENERGY SECTOR : AN OVERVIEWINDIAN ENERGY SECTOR : AN OVERVIEW
World Asia Pacific India
Energy Consumption 11294.9 3981
433
5th
Largest Energy
Consumer
Energy Mix (%)
Coal 29% 51% 53%
Oil 35% 29% 31%
Natural gas 24% 11% 8.6%
Nuclear 5.5% 3% 0.80%
Hydro 6.4% 5.3% 6%
Oil & Gas Imports 3245 1097 129
(US$ 76 billion)
Growth in Energy (10 yrs)
Total Primary Energy
2.1% 4.1% 4.8%
Natural GasNatural Gas 2.5%2.5% 6.5%6.5% 6.6%6.6%
India – A Fast Growing Energy Market with Growth in Natural Gas
Consumption more than World & Asia Pacific.
12. ONGC finds country's first-ever shale
gas reserve in West Bengal
India's biggest energy explorer Oil & Natural Gas
Corporation (ONGC) has discovered the country's first shale gas
reserve at Durgapur in Burdwan district of West Bengal. The gas
reserve - spread over 12,000 square km in the Durgapur-
Ranigunj area - is the world's third shale gas find. According to
ONGC estimates, India's shale gas reserves range between 600
and 2,000 trillion cubic feet.
"The successful pilot testing of first-ever shale gas on
surface will put India on shale gas map of the world. It has
opened up new hopes for meeting our energy needs and
encouraged to venture into many shale sequences"
14. • Although shale gas is one of the fastest growing trends in
onshore oil and gas exploration there is still a long way to go!
• Better, more efficient technology needs to be obtained.
• Natural gas historically has only provided 22% of the total
energy consumed
• Each gas shale basins is different and each has a unique set
operational challenges.
• Because of these differences, the development of shale gas
resources in each of these areas faces potentially unique
opportunities and challenges.
15. • Protection of Groundwater
• Wildlife Impacts
• Community Impacts
• Surface Disturbances
16. • Chemicals are added to water to aide in fracturing the
rock
– This add goes to the amount of ground water
• Reduce, Reuse, Recycle
– In using this technique researchers are trying to find a way to cut down
on water pollution
• It takes 2 million to 4 million gallons of water to drill
and fracture a horizontal shale gas well
– In the long run is not to bad compared to agricultural and municipal use.
– Only 1% - 8% of total water use
17. • Gas development canGas development can
adversely affect animaladversely affect animal
habitat and wildlife.habitat and wildlife.
– They can drill
underneath areas like
wetlands to reduce
wildlife disturbances..
18. • There are certain Community issues that canThere are certain Community issues that can
arisearise
– Damage to roads
– Traffic congestion
– Noise
– Dust
• It takes intense planning to ensure that theseIt takes intense planning to ensure that these
factors have the smallest impact possiblefactors have the smallest impact possible
19. • Vertical wells can require
up to 40 acres per well or
16 wells per square mile.
– Horizontal wells take up
much less space and are
more efficient.
20. • Natural Gas is the cleanest of all fossil fuels
– Can reduce the emissions of pollutants into the
atmosphere
• The main products of natural gas
combustion are carbon dioxide and water
vapor
– Carbon dioxide is a less potent pollutant
21. • Natural gas does not
contribute much to smog
– Emits low levels of nitrous
oxide and almost no particulate
matter
• Can be used to fuel
vehicles
– Cut down on the emissions
from gasoline and diesel..
22. • Advances in Hydraulic fracturing and horizontal
completions
• Costs more to produce but low risk of shale gas
wells
• North America the developing leader
• Prospects
– 29,00 jobs
– 2.3 billion dollars to the economy
23. ConclusionsConclusions
Enough unconventional Reservoir exist in the country.
Unconventional Reservoirs are required to be evaluated by
collection of more data by initiating Pilot Projects in Shale Gas
as earliest as possible.
Exploration blocks may be awarded for unconventional
reservoirs.
Economically, Projects in Shale Gas looks viable.
24. ReferencesReferences
• http://www.guardian.co.uk/business/2011/apr/08/shell-oil-gas-james-smith
• http://www.naturalgas.org/naturalgas/exploration.asp
• http://www.business-standard.com/india/news/ongc-finds-maiden-shale-gas-
reserves-in-india/123723/on
• http://www.scientificamerican.com/article.cfm?id=shale-gas-and-hydraulic-fracturing
• http://www.api.org/policy/exploration/hydraulicfracturing/shale_gas.cfm
• http://owni.eu/2011/02/14/shale-gas-energy-revolution-or-ecological-threat/
• http://articles.timesofindia.indiatimes.com/2011-01-26/india-
business/28380148_1_shale-gas-damodar-basin-gas-source
• http://en.wikipedia.org/wiki/Shale_gas
• http://www.deccanherald.com/content/44366/shale-gas-game-changer-india.html
• http://www.energytomorrow.org/Shale_Gas.asp
• The Times of India, 26 January 2011, article
