Circumstances Influencing the Development and End-use of Natural Gas - PowerPoint PPT Presentation

17 th INTERNATIONAL CONFERENCE & EXHIBITION ON 17 th INTERNATIONAL CONFERENCE & EXHIBITION LIQUEFIED NATURAL GAS (LNG 17) ON LIQUEFIED NATURAL GAS (LNG 17) Circumstances Influencing the Development and End-use of Natural Gas from Shale Formations in the United States <Title of Presentation> <Title of Presentation> By: <Author Name>, <Organization> By: <Author Name>, <Organization> By: Dr. Mitchell T. Baer <Date> <Date> Director, Office of Oil and Gas Analysis Office of Policy and International Affairs U.S. Department of Energy mitchell.baer@hq.doe.gov - 202-586-5167 LNG 17, April 17, 2013

Circumstances Influencing the Development and End-use of Natural Gas from Shale Formations in the United States Dr. Mitchell T. Baer Director, Office of Oil and Gas Analysis Office of Policy and International Affairs U.S. Department of Energy ( mitchell.baer@hq.doe.gov - 202-586-5167 ) LNG 17, April 17, 2013

Outline for Presentation • U.S. Energy Supply/End Use/Projections • Focus on Natural Gas • The Emerging Contribution from Shale Oil/Gas • Impact of Shale Gas on Projected Natural Gas Prices • Key Circumstances Influencing Shale Development and End-use in the United States • End-note 3

U.S. Supply/Energy Use/ Production (EIA AEO 2013, Early Release ) 4

U.S. Energy Supply and End Use 5

U.S. Energy Supply and End Use 6

U.S. Energy Supply Projections 7

Focus on Natural Gas 8

Natural Gas Supply 9

U.S. Natural Gas Resources 10

Natural Gas Supply 11

Natural Gas End Uses 12

Generation of Electricity 13

The Emerging Contribution from Shale Oil/Gas 14

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Selected Shale Gas Field Production Selected Shale Gas Field Production 16

Crude Oil Production from Shale Oil Formations (million barrels) 17

Year-to-year Change in Oil Production 18

Impact of Shale Gas on Projected Natural Gas Prices 19

Natural Gas Price (AEO 2012) 20

Natural Gas Price (AEO 2013) 21

Key Circumstances Influencing Shale Development 22

Key Circumstances • Mixed and Overlapping Government Jurisdiction (Federal, State, local, Regional) • The Roles of Government Branch: Oversight and Regulation (Executive, Legislative, Judicial) • Infrastructure: Pipelines, Terminals, Facilities • Public Perception and Acceptance/the Process of Shale Development 23

Natural Gas Development/Production 24

World Shale Gas Resources: An Initial Assessment 25

Shale Gas in 48 Major Basins, 32 Countries Source: U.S. Energy Information Administration 26

Findings • Some countries that currently produce natural gas, have large resource estimates of shale gas (U.S., Canada, Arg., Mexico, China, Australia, Libya, Algeria, Brazil) • Some countries are dependent on imports, but have significant shale gas resources relative to their production/consumption (France, Poland, Turkey, Ukraine, Chile Morocco, South Africa) 27

End Note • Potential for Increased U.S. Shale Oil/Gas Development and End Use 28

Questions , Comments , . . . ? 29