Advances in exploration of shale oil and gas have opened new sources of oil, natural gas, and natural gas liquids (NGLs) such as ethane, a key petrochemical feedstock. The USA, current world leader in shale gas production, shows that horizontal drilling and hydraulic fracking can produce natural gas from shale at competitive costs. This new American shale gas fever makes countries around the world wonder what their share of the new technology will be.
Technically Recoverable World Shale Gas Resources
Estimated based on available geological data and the likelihood of countries’ near-term shale gas development
(trillion cubic feet, TCF)
Price of Oil Relative to Natural Gas
Typical Petrochemical Cost Curve by Country/Region for 2010
Note: As recently as 2005, the US ranked behind Western Europe.
Relative Profit Margins for Producing Ethylene from Ethane and Naphtha
Recent and Potential Investment in the Petrochemical Industry Resulting from Shale Gas Extraction
- Shale Gas and New Petrochemicals Investment: Benefits for the Economy, Jobs and U.S. Manufacturing (pdf),
Report of American Chemistry Council (ACC), March 2011. - Booming Shale Gas Production Drives Texas Petrochemical Surge,
Jesse Thompson,
Southwest Economy, 2012, Q4, 16–19. - AFPM: Shale Gas Leads to Mega-projects,
Joe Chang,
ICIS Chemical Business Magazine 2012, April.
Also of interest:
- What is Shale Gas? How Does Fracking Work?
Vera Köster,
ChemistryViews.org 2013, February.
DOI: 10.1002/chemv.201300017
How does hydraulic fracturing (fracking) and horizontal drilling make natural gas trapped in shale rock formations financially feasible and accessible?
