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Posts Tagged ‘offshore gas’

All rankings are suspect, especially those I agree with 😉. The full scoreboard report is attached, so you can judge for yourself.

I was an early advocate for the use of natural gas in improving urban air quality. (I still have the ancient graduate school paper! 😀). This blog has repeatedly saluted natural gas and its compelling economic and environmental benefits.

Although combustion of natural gas emits 30% and 45% less CO2 than oil and coal respectively, the CO2 emissions are still significant. As a result, those who focus solely on greenhouse gases and ignore all other impacts (e.g. other air pollutants like NOx, SO2, and particulates, land use and space preemption, visual effects, and wildlife risks), want to limit the production and use of gas. However, whether or not fossil fuel consumption is significantly affecting the climate, the use for natural gas will be economically and environmentally imperative for the foreseeable future.

Not all natural gas production is equal from an environmental standpoint. Because this is an offshore energy blog, I draw your attention to the unique advantages of offshore gas production: minimal visual impact, bird friendly (rigs-to-roosts!), no risks to freshwater aquifers, and few land use issues.

Currently, most offshore gas production is in the form of oil-well gas (AKA associated or casing head gas). Offshore gas production is thus being primarily driven by oil demand, and is an added benefit from deepwater oil development.

Offshore gas-well or non-associated gas is largely the domain of independent operators producing in the shallower waters of the continental shelf. Non-associated gas has an added benefit in that there is little or no spill risk (depending on how dry the gas is). Shelf gas platforms also provide ecosystem benefits through their reef effect (rigs-to-reefs). Sustaining this non-associated gas production is therefore desirable from both energy and environmental standpoints.

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NZ oil and gas fields

April 2018: New Zealand is halting all new offshore oil and gas exploration to become a global leader in the fight against climate change, the centre-left government said Thursday, but opponents accused it of “economic vandalism”.

June 2024: The country’s coalition government is preparing to invite energy companies to resume exploration in the three major offshore fields that supply most of its gas. It comes after National Grid operator Transpower was last month forced to warn families to limit their electricity usage to avoid a shutdown during a cold snap.

Will the policy changes, the details of which remain to be announced, be sufficient to attract E&P investors?

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In the wake of the decision to “pause” LNG export approvals, it’s important for us to also pause and reflect on the natural gas revolution.

Gas now accounts for 40% of our power generation.

The gas boom’s economic and environmental benefits are compelling. Greenhouse gas emissions currently get most of the attention. In that regard, methane (CH4) is a hydrogen transporter that emits far less CO2 than other fossil fuels when burned.

Less attention has been given to natural gas’s other important air quality advantages – low NOx. SO2, and particulate emissions. These emissions have greater local significance from a human health standpoint. Those who have ridden a bike behind a natural gas powered bus have no doubt experienced the natural gas advantage firsthand.

Other environmental considerations particularly favor offshore natural gas when compared to energy alternatives. These include low well and facility density, no groundwater pollution risk, and minimal risk to wildlife.

Compiled below are links to BOE posts on natural gas issues and advantages.

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In June, Israel gave preliminary approval for the development of a gas field off the Gaza Strip. The Gaza Marine field is 30 km offshore and is estimated to hold more than a trillion cubic feet of gas.

Hamas has affirmed their rights to the resources offshore Gaza.

Prime Minister Netanyahu’s office linked approval to progress on “preserving the State of Israel’s security and diplomatic needs.”

Hopes for developing the Gaza Marine field have presumably been dashed along with the associated economic benefits for the people of Gaza.

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Meloni at the rally said Italy should exploit gas resources in the Adriatic Sea and not just look to buy gas from countries like Algeria, as Draghi has done, to wean Italians from supplies from Russia, given that country’s war against Ukraine.

AP

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Elements Newsletter

Where would we, and the world, be today without the shale gas revolution? 12.5 years after posting about this amazing success story, I’m still waiting for the national celebration!

For a reminder about the environmental advantages of natural gas in general, and nonassociated offshore gas in particular, see this post.

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“The Honda Civic GX (the only NGV available to U.S. consumers and repeat winner of the ACEEE Green List) has been so successful Honda predicts it will double GX sales in the U.S. this year after doubling them in 2009. Utah, Oklahoma and California have been very successful in building out natural gas infrastructure and deploying NGVs that are refueling with natural gas.” SeekingAlpha.com

While I don’t agree with everything in this article, the numbered points are right on target. Increased use of natural gas for transportation is the best near- and intermediate-term option for reducing oil consumption and imports, air emissions, and transportation costs.

Supply does not appear to be an issue in light of the numerous domestic options including shale gas, Alaskan gas, coalbed methane, and conventional onshore and offshore gas.  Given the proximity of enormous shale gas resources to major markets, shale gas is the featured attraction. However, this is an offshore blog, and from a strictly environmental perspective, offshore gas is the preferred option.  Why?

  • No freshwater contamination issues
  • Small environmental footprint – limited facilities needs and minimal space preemption
  • No production in or near residential areas
  • Potential production near major natural gas markets. For example, there is a natural gas discovery in the Atlantic approximately 100 miles southeast of the New York City area. (Before my geologist friends get upset, I will point out that the productive reservoirs are highly complex and further exploration is necessary to determine whether this field – the former Hudson Canyon Unit – and other Atlantic prospects are commercially viable.)
  • Potential for combining offshore gas and wind projects into offshore energy units that can ensure consistent power supply. (See slide below from a presentation by George Hagerman, Virginia Tech Advanced Research Institute)

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