CHINA AND AUS­TRALIA EMERGE

Business First - - NEWS -

The de­vel­op­ment of un­con­ven­tional oil and gas re­sources is gain­ing mo­men­tum across the world, with China and Aus­tralia be­com­ing two of the most im­por­tant emerg­ing mar­kets for shale and Coal Bed Meth­ane (CBM) ex­plo­ration, says re­search and con­sult­ing firm Glob­alData.

Ac­cord­ing to the com­pany’s lat­est re­port*, China has ap­prox­i­mately 643 bil­lion bar­rels (bbl) of risked, prospec­tive shale oil and 4,746 tril­lion cu­bic feet (tcf) of risked shale gas in-place, of which around 32 bil­lion bbl and 1,115 tcf are es­ti­mated to be tech­ni­cally re­cov­er­able.

Joseph Gatdula, Glob­alData’s Se­nior Up­stream An­a­lyst, says: “China is aim­ing to de­velop its shale oil and gas and CBM re­sources rapidly, in or­der to meet in­creas­ing de­mand for these prod­ucts. How­ever, a fast com­mer­cial­i­sa­tion of China’s shale re­sources could be dif­fi­cult, be­cause of the coun­try’s shale ge­ol­ogy, its nascent hor­i­zon­tal drilling and frac­tur­ing ser­vices in­dus­try, and wa­ter scarcity.”

Aus­tralia is also wit­ness­ing a sub­stan­tial de­vel­op­ment of CBM and shale gas re­sources, ac­cord­ing to Glob­alData. The coun­try al­ready has a well-de­vel­oped CBM in­dus­try, which would sup­port a num­ber of planned Liq­ue­fied Nat­u­ral Gas ex­port projects.

Gatdula continues: “The Cooper Basin has emerged as par­tic­u­larly well-suited for shale de­vel­op­ment, due to the pres­ence of sub­stan­tial gas pro­cess­ing ca­pac­ity, gas-pipe­line in­fra­struc­ture and ser­vice providers for frack­ing and well drilling ac­tiv­i­ties in the nearby area.”

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.