Carpe Diem

BBC interview with Shell CEO on the U.S. shale revolution

1. In this interview with the BBC, Royal Dutch Shell’s CEO Peter Voser discusses the shale gas revolution in the U.S., which he predicts will bring manufacturing production and jobs back to the U.S. in industries like petrochemicals, plastics and steel, thanks to the cheap, abundant 100-year supply of natural gas in America.  He calls this trend toward reshoring energy-intensive manufacturing back to the U.S. as the “re-industrialization of the Midwest in the U.S.”   

2. In this segment with the BBC, Peter Voser explains why fracking is environmentally safe and environmentally friendly because shale gas generates between 50 and 70% less CO2 than coal.

HT: Energy in Depth

14 thoughts on “BBC interview with Shell CEO on the U.S. shale revolution

  1. If we experience another drought next summer – look out – the battle between Farmers and Oil over sparse water reserves will be contentious.

  2. The rest of the world is pretty much failing to tap their resources. A primary reason is that the people who’s land would be drilled receive no monetary benefit (royalties). The USA is unique in giving individuals mineral rights. The rest of the world, the minerals belong to the government.

    Therefore there is no incentive for a private property owner to allow drilling.

  3. This type of questioning on a program called Hardtalk? That explains the name ‘Spice Girls’ for this lot.

    You would think that someone would ask about why so many of the producers can’t self finance.

  4. Two points

    1 – The statement by Mr. Voser that the compounds used for fracking are biodegradable assumes that the biological organisms present at the depth where the fracking takes place can biodegrade those materials. Maybe the compost pile in my back yard can render the chemicals harmless, but will the activity taking place thousands of feet below the surface do the same?

    2 – On the whole issue of energy independence, why do you want it? Aside from the fact that its a global market and the price of oil drilled in the well 2 miles from my house cost the same at the pump as the oil drilled half way around the world are the same, as Milton Freedman points out in the video in the post immediately below this one: “The proper objective for a nation as Adam Smith put it is to arrange things so we get as large a volume of imports as possible for as small a volume of exports as possible.” Or as someone in a recent movie put it “I drink YOUR milkshake”. In short – suck the Arabian desert’s oil as hard, as fast and for as long as they are willing to sell it to us because once they run dry they are once again as powerless as the sand in the desert they are pumping from. Then the oil below my feet will still be here, more valuable than ever. Safely preserved by mother nature for when we need it most.

    • 1-The fracking takes place thousands of feet below any water shed and its separated by that many feet of impermeable rock–so impermeable that the rock has successfully prevented leakage for many millions of years.

      2-Our current sources of middle eastern crude are the sworn enemy of america and freedom.

      3-So far, your “mistake” is like global warming–all bullshlt.

      • Yes, but you’re either unaware of or intentionally avoiding all the explosives (as in mini earthquakes) used below all those so-called impermeable rocks during fracking.

        I suggest that you take a very close look at the data. If you increase the sensitivity enough you will find lots of seismic activity everywhere. It is a lot like the people who claim that the hurricane count has gone up the last three decades but forget to mention that has to do with the ability to use satellites to see storm activity that was never observed during previous periods.

  5. Europe has huge supplies of shale oil and gas but fracking in the EU is not going to be big there because, unlike the USA, the various EU governments own the underground resource. The’ll need a decade or more to deal with this state ownership problem that is currently blocking fracking in the EU.

  6. One major item missing from the rosy view of shale benefits in the US is the complete lack of any recognition that other countries have shale oil and gas.

    The problem with tight oil and gas in shale formations is the low energy return on the energy invested. Shale is not a solution because outside of a few small core areas the projects are not self financing. This is shown in the 10-K filings and is mentioned in the conference calls but the information is ignored by the promoters and charlatans who portray themselves as ‘independent’ analysts.

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