- China's shale gas ramp-up may surprise the skeptics. Beijing wants drillers to grow output from a standing start to a third of current U.S. levels – around 270 billion cubic meters (bcm) annually – by 2020. That’s a stretch. But on plausible assumptions, the People's Republic could get there within a decade. New discoveries and further joint ventures with the likes of Texas-based FTS International would help.
The development of vast domestic shale resources has taken on fresh urgency as China attempts to shift power generation away from smog-producing coal towards cleaner-burning natural gas. The International Energy agency expects Chinese gas demand to nearly double to 315 bcm a year by the end of this decade. Shale could account for between a fifth and a third of that if drillers hit a government target of 60-100 bcm of production by 2020.
State-backed petroleum giants Sinopec and PetroChina increasingly appear on track to reach an initial goal of 6.5 bcm of shale production by 2015. But from there, they would have to turn up production by an aggressive 65 percent per year to hit the mid-point of Beijing's longer-term target.
That would be almost double the 37 percent annual production growth their American counterparts managed as U.S. fracking took off between 2005 and 2010. And they didn't have to contend with China's mountainous terrain, water shortages and underdeveloped infrastructure.
More plausibly, if China could match the growth rate the United States achieved during the early years of its boom, Beijing's shale gas target would be in reach within a decade. There's plenty of manpower to throw at the problem, and the PRC is also gaining access to needed engineering know-how, for example though the partnership struck with fracking specialist FTS this week.
Better-than-expected output at a recently discovered gas field in Sichuan Province has convinced the usually-conservative IEA that China might get half way to its long-term target by 2020. That already implies production growth rates ahead of the United States. It's another reason to think Chinese shale may bring an American-style surge of gas sooner than the doubters expect. Other things being equal, that would pile further pressure on the fuel sources that were the big losers in the U.S. shale boom
"Moreover, with further capital, these pipelines could expand to 100bcm. They are thought to be able to deliver gas in a range of $10-12mmBtu, below the Australian breakeven costs and roughly comparable with US LNG.
Australian hopes of China being the great expanding gas market of the future were just dealt a severe blow."
And while our Canadian lame duck spineless media blathers about Stephen Harper signing vague deals with China worth a whopping $2.5 billion dollars China and Russia agree on another $400 billion worth of natural gas flowing from Russia to China..
Russia, China Sign Energy Deals at APEC Summithttp://www.voanews.com/content/russia-china-sign-energy-deal-at-apec-summit/2513909.html
Uranium Companies headquarters right here in downtown Vancouver are jubilant after seeing their stock values soar after Japan announces definite nuclear restarts!
Uranium mining stocks jump as Japan clears way to reactors restart
Couple what`s happening above with the massive $400 to $800 billion dollar piped natural gas signed deal between Russia and China....Too late Christy Clark, game over Rich Coleman...Please stop selling out British Columbia`s future..
If you can read Rich Coleman, China besides developing their own natural gas reserves are moving forward with a second giant pipeline from Russia...
Mr Wedvedev said Russia and China may soon plan on building a Western gas pipeline in 2015. If negotiations are successful, the additional natural gas pipeline to China will be able to provide energy using the Western route by 2015. The Russian prime minister revealed that the final details regarding the construction of the second pipeline may be done within 2015.
OAO Rosneft, Russia's state oil giant, said it has also signed a deal with to strengthen relations with the China National Petroleum Corp. The oil company has been hit by Western sanctions over Ukraine. As Western funding came to a halt in recent months, Russia has turned to China to offer stakes in the country's oil fields.
Vaughn Palmer wrote an article about confidentiality agreements between government and these giant energy companies,.....
And how they can tie future government`s hands...That may be true, however if the British Columbia Government of the day(BC Liberals) are lying, have lied, continue to lie about the benefits BCers were to receive, newsflash big energy companies...A false advertised deal does not have to be kept or honoured by any future government...Contracts and regulations can be shredded, ripped up and burned..
The Straight Goods
Cheers Eyes Wide Open