Section I – Critical Analysis
Problem
The United States is facing an energy crisis. Dependence on foreign oil has led to geopolitical conflict, and global fossil fuel consumption is damaging the environment at an alarming rate. Add to this an exploding world population, and it is clear that the US needs to find an alternative source of energy.
Question
Can the natural gas deposits in the Marcellus Formation, extracted through fracking, be the solution to the United States’ energy problem?
Purpose
The purpose of this analysis is to examine the process of extracting natural gas in shale deposits—Horizontal High Volume Slickwater Hydraulic Fracturing, or “Fracking”—and determine the long-term viability of this process.
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The pressurized mixture causes the shale to crack, releasing natural gas and allowing it to flow up the well.
It just so happens that Mount Pleasant, PA sits right on top of one of the richest regions of natural gas shale in the world: The Marcellus Formation.
Scientists have known about the Marcellus Formation for decades. But it wasn’t until 2008, that Terry Engelder—Penn State University Professor of Geology—discovered the Marcellus Formation contains enough natural gas to supply the US for the next 14 years! Upon learning of the discovery, government and industry officials alike praised fracking as a “silver bullet” for America’s energy woes.
Less than a year later, Range Resources began their fracking operation in Mount Pleasant.
Companies like Range Resources have set up hundreds of fracking wells in towns like Mount Pleasant, PA. And business is booming. A study released by Penn State showed that during 2010, Pennsylvania natural gas development generated $11.2 Billion in regional GDP, and supported nearly 140,000 jobs. The same study predicted that by 2020, those numbers would almost double.5
But, many argue that fracking causes more harm than good.
In March, 2011, three professors from Cornell University released a study examining the environmental impacts of fracking. Their analysis showed that natural gas extraction
We are currently in the second decade of this twenty-first century, and the United States has discovered a new type of energy. It is affordable, it burns somewhat cleaner than the other fossil fuels, and there’s so much of it that it could possibly last us over one-hundred years. Only a decade earlier, just the smallest sliver of the United States citizens had ever heard of hydraulic fracturing, or fracking. Presently, it is easily one of the most explosive environmental topics alight. Previously, wells that were built for this type of shale gas extraction have quickly spread through various areas of the country. This expansion, many argue, outpaces the science available to fully understand its potential impacts. Whether or not fracking is allowed to continue spreading without vast harm to the environment is one of the many questions researchers
Scientists are worried that the chemicals used in fracturing may pose a threat either underground or when waste fluids are handled they are sometimes spilled on the surface which can cause site contamination or find its way back to water clean water. The natural gas industry defends hydraulic fracturing, or fracking as safe and efficient. Thomas J. Pyle, president of the Institute for Energy Research, a pro-industry non-profit organization, claims fracking has been “a widely deployed as safe extraction technique,” dating back to 1949. What Mr. Pyle fails to explain is that until recently energy companies had used low-pressure methods to extract natural gas from fields closer to the surface than the current high-pressure technology that extracts more gas, by digging to deeper levels and it also uses significantly more water, sand and chemicals. There have been serious environmental impacts associated with the process which has raised public concern. At this point, a causal relationship has not been established but increasing attention opens the possibility that further government action could be imminent regarding the practice. According to Baumgartner and
Natural gas began to be extracted from the Marcellus shale formation in the mid-2000s’, and now well pads and their associated infrastructures are now well known fixtures in the Appalachian Mountain regions. Marcellus Shale is an organically rich black shale which is currently being explored by drilling as a source of natural gas. The region in question encompasses most of the relatively uninhabited Appalachian basin, which is located within the Appalachian mountain range. The basin is comprised of sedimentary rocks which stretch from Ontario, Canada all the way down through New York, Pennsylvania, Ohio, Maryland, West Virginia, Virginia, and New Jersey.
Have you ever imagine the earth run out of resources, especially gasoline? The most significant energy we use to take for granted may be in tight supply. It would be a major inconvenience for us. That’s why I am here to discuss about it, that’s why I am here to save the earth, and that’s why I want all of you to join with me today. With fossil fuels nearing extinction, the United States has very limited options for providing the country’s millions of energy consumers with an energy source that is affordable and cost effective ; therefore, the solution is hydraulic fracking, also known as “fracking,” Natural Gas has the capabilities of fueling American cars and homes for the next hundred years, and the best part is the United States is the largest supplier of natural gas. Let’s broke it down to 3 major parts: first, how fracking natural gas affects our environment, second how it is going to boost up the economy, and third how it makes the United States becomes energy independent.
In 1848, James Marshall discovered a single nugget of gold in the American River in California, setting off a massive migration west as hundreds sought to capitalize upon the Gold Rush. Today, a similar situation is playing out. In the late 2000s, new technology enabled workers to extract natural gas from previously inaccessible shale deposits through horizontal hydraulic fracturing. This “shale boom” has had companies racing to capitalize upon the potential of vast natural gas and promises of energy independence and cheap energy. Yet, as the miners during the Gold Rush found upon arriving to California, scientists today are finding that many of the initial claims are not as they seemed. Companies are recklessly continuing, prospecting for natural gas deposits. Hydraulic fracturing is a means of extracting natural gas from deep, previously inaccessible shale deposits. It involves injecting a fracking cocktail mixture of water, sand, and various other chemical fluids into the ground at very high pressures to literally fracture the ground, releasing natural gas that can then be collected. Natural gas is a finite fossil fuel, yet due to the recent fracking boom, many people in the United States have heralded it as the future of America’s energy, the way to energy security.
It has long been known that large amounts of natural gas reside in deep layers of sedimentary rock such as shale. However, this gas could not be extracted until recent years due to previous limitations of technology making it economically unfeasible. This is now possible due to developments in drilling technology that now allow drillers to drill horizontally. Millions of gallons of water and chemicals are then injected at extremely high pressure that fractures the rock surrounding the drill hole, allowing trapped gas to escape. This process is called hydraulic fracturing, but is known colloquially as “fracking.”
It is obvious that once fracking is widely adopted, the industry will create thousands of vacant positions for unemployed workers, thus helps to reduce the unemployment rate in the state. The benefit for the economy that fracking brings is not only offering jobs. With a low initial cost for start-up equipment and valuable resources fracking extract from the ground, the net profit from fracking is significant. More appealing to investors is that fracking can increase return on investment. Generating wealth is simple if fracking is used more frequently, hence, the living standard of the citizens is lifted to another level and the state economy is greatly expanded. According to some credible reports, in 2015, exports of oil in the United States exceeded 100 billions of dollars, accounting for a percentage of 7.1% of overall exports from the
Shal gas will be an economic boon in the near future, considering that the number of jobs it directly affects. The Barnett Shale in Texas alone provides over 80,000 jobs to the area and “accounts for $8.2 billion in annual output” (“Economic”). These figures are especially impressive because of the Barnett region is already an urban area home to a wide range of economic activities (“Economic”). The Marcellus Shale in the NE also stands to benefit largely, mostly in light of the fact that the economy of the region is far less developed than the Barnett region (“Economic”). Hydraulic fracturing creates jobs in “exploration, drilling, and operations” (“Economic”) as well as in new construction and pipeline infrastructure. These are mostly jobs that
The Marcellus shale has been one of the most important developments in gas production over the past few years. Having a good understanding of what this gigantic gas reservoir can do to shape the future of the natural gas industry is vital to understanding today’s U.S. economy. The Marcellus shale has rich black organic shale with low density,and it is located in West Virginia, Pennsylvania, and New York. In addition, small areas of Maryland, Kentucky, Tennessee,
Background Information The Marcellus Shale remains one of the most prolific plays in North America, in terms of both acreage and reserve potential. It is among the fastest growing sources of natural gas production in the United States, rising from less than 1.7 Bcf/d at the beginning of 2010 to 16.4 Bcf/d in July 2015. In Pennsylvania alone, according to state data, operators produced more than 4 Tcf of natural gas -- mostly from the Marcellus Shale -- in 2014 (see Shale Daily, Feb. 17, 2015). While a commodities downturn was expected to push production down to roughly 15.9 Bcf/d heading into the end of 2015, according to the EIA, the Northeast is still expected to drive a significant portion of the country's natural gas production in 2016
Fracking in Pennsylvania has become a contentious topic between big oil companies and environmentalists who oppose hydraulic fracking. According to Marcellus Shale fracking has made Pennsylvania the 3rd the largest producer of natural gas in the nation. The oil company supports more than 300,000 jobs in Pennsylvania and the number continues to increase. Marcellus Shale has provided more than $34 billion to Pennsylvania’s economy. Other achievements include energy production in Pennsylvania helped to save state and local governments $19 billion and public schools $45.5 billion between 2012 and 2013. Marcellus Shale has helped Williamsport, Pennsylvania become the seventh fastest growing metropolitan area in America. People in the Williamsport believe the Marcellus Shale helped to transform the city by creating jobs and
An article on America’s Communities informs its readers how fracturing is supplying about 2.1 million jobs to American citizens. Federal regulations and laws have already been set in place for fracturing in the future. The number of marketing natural gas skyrocketed from 2008 to 2012. In Pennsylvania alone there are 9000 wells and is expected to create 211,000 jobs around 2020. Other states such as Arkansas, Colorado, Louisiana, North Dakota, Ohio, and Texas are major states where hydraulic fracturing has taken place.
In addition, fracking also provides economic benefits. The Marcellus Shale Formation, which stretches across the Appalachian Basin, supplies 385 million cubic meters of natural gas daily, an amount equal to half of all gas burned in American power plants (Inman 2014). More access to American natural gas means less of a dependency on foreign oil, which could help stimulate the United States economy as a whole. In fact, the American gas industry accounts for “$385 billion in direct economic activity and nearly 3 million jobs” (Engelder 2011). Further developing the fracking industry in America
Competition from other energy companies makes Shell strive for better and cheaper ways of creating energy. There is a theory which states that competition between different companies helps rather than hinders them. Since Shell has to compete for the energy market, Shell’s scientists work with other institutions such as University of Texas, to develop better methods of extracting energy that is safer and cheaper. Another benefit that has resulted from the growth of the fracking industry is the creation of 1.7 million new jobs in the Unites States. Studies from an economic forecaster, IHS Global Insight, have shown that by 2035 the number should rise to 3.5 million jobs. There is potential for fracking to become the main source of extracting natural gas. In the graph below the green section or shale section shows how many cubic feet of gas is being produced by fracking from 1990 to 2040. However scientists can only estimate that amount of shale gas being produced in the future. We do know that fracking has caused a dramatic boost in the natural gas production in this country. The Energy Information Administration states that the production on natural gas will rise around 44% through 2040 due to fracking.The higher production rate
The Marcellus Shale is a huge source of natural gas that geologists knew about. It's very easy to spot out because it's black in color. It was suspected that the Marcellus Shale might soon become a major suppler of the United State's natural gas. The Marcellus Shale is actually located in multiple states, that's just how huge it is. It's a shale that's located beneath Ohio, Pennsylvania, West Virginia, New York, Maryland, Kentucky, and Tennessee. It is of great importance and value because it's one of the largest reserves for natural gas in the country and it adds noteworthy amounts of natural gas to the world's supply. Not only that but it has economic significance because the gas is much cheaper than oil so it saves us money. Also natural