Non Sequitur But Awesome: Massive New Oil Discoveries in Texas November 17, 2016Posted by Tantumblogo in awesomeness, fun, It's all about the $$$, non squitur, shocking, Society, technology, Victory.
Two massive new oil discoveries in West Texas, to the tune of nearly 30 billion barrels, have now increased Texas’ likely recoverable reserves to around 100 billion barrels, putting the state in the same ballpark of recoverable reserves as such petrochemical giants as Iraq and the UAE. Massive recoverable deposits in shale beneath the already heavily produced Permian Basin are coupled with a new find in an area long considered unsuitable for oil fields, the Davis Mountains region of far West Texas. That’s great news for a part of the state that has long been economically depressed and very sparsely populated.
Anyhoo, good news for the oil patch, which always has a spillover effect on the entire economy of the state. There will be – God willing – a lot of very good paying jobs and careers opened up by this, for the people most ignored and left behind in our free trade manufacturingless economy; blue collar whites, the same people largely responsible for electing Trump:
The US Geological Survey said Tuesday that it assessed what could be the largest deposit of untapped oil ever discovered in America.
An estimated average of 20 billion barrels of oil and 1.6 billion barrels of natural gas liquids are available for the taking in the Wolfcamp shale, which is in the Midland Basin portion of Texas’ Permian Basin. [But reserve growth may see this find exceed 20 billion barrels by a large margin, if it is economically recoverable]
Based on a West Texas Intermediate crude oil price of $45 per barrel, those deposits are worth about $900 billion.
US oil exploration companies have flocked to the superrich Permian Basin in recent years and used shale-drilling technology to create an oil boom that simultaneously helped trigger a price crash two years ago. The count of active oil rigs fell with prices, but has risen over the past few months, mostly in the Permian. Bloomberg noted that the Wolfcamp, where this deposit was found, has been one of the primary targets of shale drillers.
“The fact that this is the largest assessment of continuous oil we have ever done just goes to show that, even in areas that have produced billions of barrels of oil, there is still the potential to find billions more,” Walter Guidroz, program coordinator for the USGS Energy Resources Program, said in a statement.
The other find, from last September:
The Houston oil exploration company Apache has made one of the biggest U.S. oil and gas discoveries in years, finding the equivalent of more than 15 billion barrels of oil in a relatively unknown quadrant of West Texas’s Permian Basin, the company said Wednesday………
………..Apache said it’s new field holds more than 3 billion barrels of oil – nearly the equivalent of an entire year of U.S. crude production – and 75 trillion cubic feet of natural gas, making it the company’s biggest U.S. discovery ever and one of its most important worldwide. The field, which sits in the western subsection of the Permian known as the Delaware Basin, surpasses Apache’s gas finds in British Columbia of more than 50 trillion cubic feet in 2012 and of about2 trillion cubic feet in Egypt’s Qasr field in 2003.
Man, that is literally middle of nowhere, Texas. Between Fort Stockton and Van Horn is one of the most sparsely populated regions of the entire lower 48.
This is also potentially extremely good news for US energy independence. While we presently import very little oil and gas from the Mideast, we do import quite a bit from other sources. That’s a huge outflow of money, and always a potential security risk. Fortunately, our number one oil provider, Canada, rarely gets frisky.
A nice, long, 30 year oil boom would surely be a wonderful thing for lots and lots of people. At least with Obama leaving office and no Shillary we won’t have to worry much about an EPA-induced termination of fracking, which is behind all these discoveries.