IEA: Stop drilling, now! - GoHaynesvilleShale.com2024-03-29T07:14:27Zhttps://gohaynesvilleshale.com/forum/topics/iea-stop-drilling-now?commentId=2117179%3AComment%3A3984041&x=1&feed=yes&xn_auth=noAny reduction in domestic exp…tag:gohaynesvilleshale.com,2021-05-27:2117179:Comment:39840412021-05-27T13:08:44.654ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>Any reduction in domestic exploration will take years to impact production volumes. Exploration is focused on future recoverable reserves that may or may not have a market. Stranded reserves are a real concern for investors. Each incremental reduction in production going forward will serve to support commodity prices and benefit Haynesville mineral lessors. The lowest cost basins should be profitable for many years to come but will represent an ever increasing percentage of total…</p>
<p>Any reduction in domestic exploration will take years to impact production volumes. Exploration is focused on future recoverable reserves that may or may not have a market. Stranded reserves are a real concern for investors. Each incremental reduction in production going forward will serve to support commodity prices and benefit Haynesville mineral lessors. The lowest cost basins should be profitable for many years to come but will represent an ever increasing percentage of total domestic production as demand slows and higher cost basins are abandoned. That prediction is dependent on Haynesville operating companies making fugitive emissions reductions a top priority and getting assistance from the state in the way of policies that support natural gas and the end users: LNG exporters and the chemical industry. Those business segments will also have to become focused on reducing emissions. </p>
<p>Every day that those companies delay will shorten the time line for the economic livelihood of those companies. It is worth keeping in mind that for Louisiana Haynesville mineral owners, natural gas has a potential future and state oil does not. The oil that is "state oil" excludes the federal deep water Gulf of Mexico production over which the state has no control and from which it does not derive direct revenues. State oil will reach theoretical zero in ~10 years. The Haynesville Shale, under the better case scenarios, could have another 25 to 30 years of economic life. This reality has either not been recognized by Louisiana elected officials or is being ignored as addressing that decline would be tough politically. Unfortunately the longer Louisiana puts off embracing the economic opportunities of a greening economy, the further behind our state will fall in the energy transition.</p>
<p></p> The world cannot function wit…tag:gohaynesvilleshale.com,2021-05-27:2117179:Comment:39839542021-05-27T11:53:31.367ZHale Yayuhhttps://gohaynesvilleshale.com/profile/HaleYayuh698
<p>The world cannot function without oil and gas for a very long time; even transportation. The world runs on fossil fuels. If exploration ends, it seems that it would be bullish for existing fields, such as the Haynesville.</p>
<p>The world cannot function without oil and gas for a very long time; even transportation. The world runs on fossil fuels. If exploration ends, it seems that it would be bullish for existing fields, such as the Haynesville.</p> Those who whistle past the gr…tag:gohaynesvilleshale.com,2021-05-19:2117179:Comment:39835742021-05-19T16:28:18.736ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>Those who whistle past the grave yard invite some risk. If it involves only them, that's fine. If it involves the assets of others, it may be a mistake. The IEA report is another flashing red light. It is a choice to ignore it or claim it is insignificant but it is a marker that has relevance for much of the world and for governments who are already taking actions to reduce GHS emissions. Those actions have ramifications for US production.</p>
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<p><strong>Natural Gas in Question…</strong></p>
<p>Those who whistle past the grave yard invite some risk. If it involves only them, that's fine. If it involves the assets of others, it may be a mistake. The IEA report is another flashing red light. It is a choice to ignore it or claim it is insignificant but it is a marker that has relevance for much of the world and for governments who are already taking actions to reduce GHS emissions. Those actions have ramifications for US production.</p>
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<p><strong>Natural Gas in Question as Bridging Fuel for Energy Transition</strong></p>
<p><strong>The EU sees the tightening requirements for gas investments, along with the cancellation of planned gas projects, as being in favor of renewables.</strong></p>
<p>May 14, 2021 By <a href="https://jpt.spe.org/author/blake-wright">Blake Wright</a> <a href="http://www.spe.org/publications/subscribe.php"><strong>Journal of Petroleum Technology</strong></a></p>
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<p>Natural gas may fall from favor in the energy transition as the push for zero-emissions strengthens.</p>
<p>Natural gas may be facing an uphill battle in proving itself as a suitable bridging fuel between conventional hydrocarbons and renewable energy sources, especially in Europe where urgency over climate change has ramped up and the call for a quicker path to decarbonization grows louder. As a result, natural gas plant projects across the region are having a harder time finding financing as lenders are pressured to ratchet up the emissions criteria required for funding.</p>
<p>Utility providers across Europe have already predicted the potential of supply issues as they work to phase out aging infrastructure, including coal-powered and nuclear plants. Producers have felt for years that gas would be the natural feed stock for new power generation as scientists played catch up in the world of green energy.</p>
<p>However, with the cost of renewable energy falling and the promise of new breakthroughs in hydrogen technologies coupled with the drive for a zero-emission future, the natural gas “bridge” may be bypassed altogether.</p>
<p>Developer Drax revealed in February it had shelved plans for a new 3.6-GW natural gas power plant in the UK and took a £13-million ($181-million) impairment associated with it. According to GreenTechMedia, a Drax spokesperson said the decision aligns with a strategic shift to renewables, a shift that has also seen the firm acquire a portfolio of hydro and pumped-hydro plants in 2019.</p>
<p>The European Commission’s Executive Vice President Frans Timmermans told an industry event in March that there will only be a “marginal role for fossil gas” on the path to net-zero emissions by 2050.</p>
<p>According to Reuters, a report by US-based think tank Global Energy Monitor in April said that building all the gas infrastructure planned or under way in the European Union would create €87 billion ($105 billion) of stranded asset risk. Gas projects worth around €30 billion were cancelled, delayed, or indefinitely postponed last year as they struggled to find funding.</p>
<p>That proposition does not appear to get any better soon. European Investment Bank, Europe's largest public lender, has revamped its lending policy to largely exclude new natural gas infrastructure from the end of 2021.</p>
<p>While natural gas may be losing its footing as the fuel of choice going into the energy transition in some parts of the world, it remains in favor in other parts, specifically China.</p>
<p>The Oxford Institute for Energy Studies said in February that China could add 40–50 GW of new gas-fired power capacity by 2025 to 140–150 GW, up 50% from current levels, as the government tries to limit coal consumption.</p>
<p></p> That’s hilarious, Old Dog!tag:gohaynesvilleshale.com,2021-05-19:2117179:Comment:39834702021-05-19T13:09:04.003ZSpring Branch,mineral ownerhttps://gohaynesvilleshale.com/profile/SpringBranch
That’s hilarious, Old Dog!
That’s hilarious, Old Dog! YEAH - the sun is especially…tag:gohaynesvilleshale.com,2021-05-19:2117179:Comment:39831582021-05-19T03:48:55.784ZGoRickyhttps://gohaynesvilleshale.com/profile/RichardMFoshee
<p>YEAH - the sun is especially bright compared to the past - the magnetic shield/field is currently weak - .now - </p>
<p>My WALL SREET will embrace ruining source countries / enslaving people / trading "carbon credits" / so they can make a buck. - </p>
<p>IT'S THE SAME SINCE </p>
<p>YEAH - the sun is especially bright compared to the past - the magnetic shield/field is currently weak - .now - </p>
<p>My WALL SREET will embrace ruining source countries / enslaving people / trading "carbon credits" / so they can make a buck. - </p>
<p>IT'S THE SAME SINCE </p> IEA crunches a lot of data on…tag:gohaynesvilleshale.com,2021-05-18:2117179:Comment:39833032021-05-18T22:30:47.211ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>IEA crunches a lot of data on a myriad of energy sectors. As I stated above it does not have regulatory authority, it merely publishes the data and its analysis of the data. From years of reading IEA data based articles and searching the website, my opinion is that the agency is science based and non-partisan. It does not advocate specific actions regarding their analysis. It's data to be used or not by government and business.</p>
<p>IEA crunches a lot of data on a myriad of energy sectors. As I stated above it does not have regulatory authority, it merely publishes the data and its analysis of the data. From years of reading IEA data based articles and searching the website, my opinion is that the agency is science based and non-partisan. It does not advocate specific actions regarding their analysis. It's data to be used or not by government and business.</p> Suggest you read this also -…tag:gohaynesvilleshale.com,2021-05-18:2117179:Comment:39832982021-05-18T22:11:05.325Zfull namehttps://gohaynesvilleshale.com/profile/fullname
<p>Suggest you read this also - it is also by the IEA -</p>
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<p><a href="https://www.iea.org/reports/the-role-of-critical-minerals-in-clean-energy-transitions" rel="nofollow noopener" target="_blank">https://www.iea.org/reports/the-role-of-critical-minerals-in-clean-...</a></p>
<p>It says that the world does not have the capacity to meet the key mineral demand (lithium, graphite, nickel and rare-earth minerals and there are no plans to fund and build the necessary mines and refineries.…</p>
<p>Suggest you read this also - it is also by the IEA -</p>
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<p><a rel="nofollow noopener" href="https://www.iea.org/reports/the-role-of-critical-minerals-in-clean-energy-transitions" target="_blank">https://www.iea.org/reports/the-role-of-critical-minerals-in-clean-...</a></p>
<p>It says that the world does not have the capacity to meet the key mineral demand (lithium, graphite, nickel and rare-earth minerals and there are no plans to fund and build the necessary mines and refineries. The IEA also notes that it takes an average of 16 years to move mining projects from discovery to first production. (a bit of a problem for Biden's 100% carbon-free electricity by 2035).</p>
<p>This does not account for the large volumes of water needed, considering that half to the copper and lithium production takes place in areas of high water stress. and that expanded mining will occur mainly in countries with "low governance scores" where "corruption and bribery pose major liability risks".</p>
<p>The IEA data show that, depending on the location and nature of future mines, the CO2 emissions from obtaining the minerals could wipe out most of the emissions saved by driving electric cars.</p>
<p>The IEA also notes that the increased demand will raise commodity prices and could "eat up" the anticipated reductions in manufacturing costs expected from the "learning effects" of increased production.</p>
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<p></p> The second paragraph of the a…tag:gohaynesvilleshale.com,2021-05-18:2117179:Comment:39832552021-05-18T21:37:29.990ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>The second paragraph of the article contains a live link to the IEA report for those that wish to have greater detail. Steve, you are correct that the IEA does not have any regulatory authority however it is the global energy data clearinghouse that is respected by many governments and whose data is used by governments and businesses in their decision making processes. Do I expect any of those countries or energy businesses to put the brakes on drilling forthwith? No. The significance of…</p>
<p>The second paragraph of the article contains a live link to the IEA report for those that wish to have greater detail. Steve, you are correct that the IEA does not have any regulatory authority however it is the global energy data clearinghouse that is respected by many governments and whose data is used by governments and businesses in their decision making processes. Do I expect any of those countries or energy businesses to put the brakes on drilling forthwith? No. The significance of the IEA report is that it bolsters so many other sources of climate change projections/risks and raises the stakes for governments to become more aggressive in seeking reduction of GHS emissions. If we want O&G drilling to continue into the distant future, we need to be encouraging them through our votes to get busy reducing methane emissions, investing in Carbon Capture & Sequestration (CCS) and giving up on anti-science propaganda/climate change denial. The longer the delay, the more we pass the points when the easier, less disruptive actions were an option. The May 26 XOM stockholder meeting may be an interesting barometer of where the US super major is headed. The company is basically the last global super major to commit to evolve their business model.</p>
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<p></p> The IEA is an international b…tag:gohaynesvilleshale.com,2021-05-18:2117179:Comment:39832942021-05-18T21:19:55.355ZSteve Phttps://gohaynesvilleshale.com/profile/StevePorter
<p>The IEA is an international body, but has no authority at all.</p>
<p>I'm confused by the recommendations in the report. Perhaps there needs to be more definition by "no new projects" in the fossil fuel industry. Maybe the article posted above left out a few key points.</p>
<p>Obviously, if we stopped drilling world wide right now, the world economy would collapse since there would be neither oil nor natural gas to fuel utility generating plants or all our internal combustion engine autos…</p>
<p>The IEA is an international body, but has no authority at all.</p>
<p>I'm confused by the recommendations in the report. Perhaps there needs to be more definition by "no new projects" in the fossil fuel industry. Maybe the article posted above left out a few key points.</p>
<p>Obviously, if we stopped drilling world wide right now, the world economy would collapse since there would be neither oil nor natural gas to fuel utility generating plants or all our internal combustion engine autos and trucks. And no feedstock for petro-chem plants.</p> A scenario right out of One A…tag:gohaynesvilleshale.com,2021-05-18:2117179:Comment:39831452021-05-18T21:10:52.487ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>A scenario right out of One America News Network. </p>
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<p>A scenario right out of One America News Network. </p>
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