transporting the extracted oil from the production place to the refineries constitute a
threat to the environment as well. Since 1986 pipeline accidents have spilled more
than 3 million gallons or an average of 76,000 barrels per year.
Concerning air pollution, the extraction and processing of oil shale release such
pollutants as nitrogen oxides, ozone precursors, sulphur oxides, particulates, carbon
monoxide and small amounts of other non-criteria pollutants. Notwithstanding
official recommendations concerning precautions to be taken to preserve the air
quality, acceptable pollution norms are regularly transgressed.
Furthermore the process whereby oil shale is heated to extract oil requires
considerable energy inputs. To generate that heat many technologies burn other
fossil fuels such as natural gas, oil or coal. As a result, energy consumption and
carbon dioxide emissions from shale oil extraction is higher when compared to
conventional oil production. Last but not least, underground water supplies can also
be contaminated by fracking, through migration of gas and frack fluid underground
or by leaks in impoundments containing toxic fracking fluid. Frack fluid encloses
high quantities of heavy metals and radioactive elements that exist naturally in the
shale. Hydraulic fracturing also necessitate tremendous amount of fresh water that
must be acquired, transported and stored.
39.5 Conclusion
The exploitation of oil and gas shale in the United States had an extraordinary
impact in many ways. It boosted the economy, improved the current balance of
trade and made the country less dependent on energy supply. Although the presence
of potential shale sources was identified since centuries, the industrial winning of
shale deposits has been variating according to prospection, technology and oil
price. Those factors are clearly integrated in McKelvey’s two-dimensional diagram.
Nevertheless, nowadays our modern society evolved significantly and viewpoints
regarding mining have been revised. Other arguments and perceptions have to be
taken into account when classifying resources for exploitation. A new threedimensional diagram offers a convenient integration of those present-day statements and prevalent factors.
As seen, expansion of the potentially exploitable part (the reserves) is much
dependent on the conventional oil price. High gas and oil prices on the world
markets were indispensable elements for the rebirth of the industrial winning of
shale hydrocarbons. Moreover, given that oil price is currently rather influenced by
agreements between oil producing countries and speculation than by technology it
has its own axis, namely the Z-axis representing the economic feasibility. The
actual forecasts of shale oil production are based on the assumption that the price of
crude oil remains sufficiently adequately high to make investments viable. A new
drop in oil price would mean the stoppage of many projects.
Meanwhile, the Y-axis corresponds with technology and geological certainty,
the second fundamental factor for the revival of shale oil and gas extraction.
652
A.C. Thys
threat to the environment as well. Since 1986 pipeline accidents have spilled more
than 3 million gallons or an average of 76,000 barrels per year.
Concerning air pollution, the extraction and processing of oil shale release such
pollutants as nitrogen oxides, ozone precursors, sulphur oxides, particulates, carbon
monoxide and small amounts of other non-criteria pollutants. Notwithstanding
official recommendations concerning precautions to be taken to preserve the air
quality, acceptable pollution norms are regularly transgressed.
Furthermore the process whereby oil shale is heated to extract oil requires
considerable energy inputs. To generate that heat many technologies burn other
fossil fuels such as natural gas, oil or coal. As a result, energy consumption and
carbon dioxide emissions from shale oil extraction is higher when compared to
conventional oil production. Last but not least, underground water supplies can also
be contaminated by fracking, through migration of gas and frack fluid underground
or by leaks in impoundments containing toxic fracking fluid. Frack fluid encloses
high quantities of heavy metals and radioactive elements that exist naturally in the
shale. Hydraulic fracturing also necessitate tremendous amount of fresh water that
must be acquired, transported and stored.
39.5 Conclusion
The exploitation of oil and gas shale in the United States had an extraordinary
impact in many ways. It boosted the economy, improved the current balance of
trade and made the country less dependent on energy supply. Although the presence
of potential shale sources was identified since centuries, the industrial winning of
shale deposits has been variating according to prospection, technology and oil
price. Those factors are clearly integrated in McKelvey’s two-dimensional diagram.
Nevertheless, nowadays our modern society evolved significantly and viewpoints
regarding mining have been revised. Other arguments and perceptions have to be
taken into account when classifying resources for exploitation. A new threedimensional diagram offers a convenient integration of those present-day statements and prevalent factors.
As seen, expansion of the potentially exploitable part (the reserves) is much
dependent on the conventional oil price. High gas and oil prices on the world
markets were indispensable elements for the rebirth of the industrial winning of
shale hydrocarbons. Moreover, given that oil price is currently rather influenced by
agreements between oil producing countries and speculation than by technology it
has its own axis, namely the Z-axis representing the economic feasibility. The
actual forecasts of shale oil production are based on the assumption that the price of
crude oil remains sufficiently adequately high to make investments viable. A new
drop in oil price would mean the stoppage of many projects.
Meanwhile, the Y-axis corresponds with technology and geological certainty,
the second fundamental factor for the revival of shale oil and gas extraction.
652
A.C. Thys