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Unconventional Energy Resources

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Unconventional Energy Resources ( unconventional-energy-resources )

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Figure 6. Sources of U.S. Natural gas production (trillion cubic feet) showing projected steady coalbed methane supply con- current with major increase of shale gas supply. Note that shale gas production becomes significant by 2010, and is projected to dominate by 2040 (Source: U.S. Energy Information Adminis- tration, 2012b). 1 Trillion cubic feet (Tcf) = 28.3 billion m3. active, thus proving the CBM potential of intensely fractured semi-anthracite and anthracite. As in the U.S., depressed natural gas prices are slowing Canadian development. Development is intensifying in the Bowen, Surat, and Sydney Basins of Australia, as well as the Karoo Basin of South Africa. CBM in eastern Australia is being produced from high-per- meability coal seams that can contain large quanti- ties of oil-prone organic matter, and the produced gas is being considered for export into Asian lique- fied natural gas (LNG) markets. A number of LNG plants (up to 5 or 6) are being considered in Aus- tralia. Hence, companies are striving to book re- serves to support the expenditure for LNG plant development as quickly as possible. Significant po- tential exists in the Gondwanan coal basins of India, and some fields have been developed. Potential also exists in the coal basins of Europe and the Russian platform, and development in these areas is focusing mainly on CMM. Exploration programs have been initiated in recent years to ex- plore for CBM in the structurally complex European coal basins of western Europe, including Germany. Russia continues to promote CBM exploration and development but defining a market for the gas and predicting gas prices are problematic for future development. However, the coal basins in Russia may contain the largest CBM resources in the world. Once a market for this gas is identified, then CBM exploration in Russia should increase significantly. GAS HYDRATE Art H. Johnson6 Japanese Gas Hydrate Production Test On March 12, 2013 the Japanese Ministry of Economy, Trade and Industry announced the com- mencement of the first offshore gas hydrate pro- duction test. The test was conducted in the Nankai Area off the coasts of Atsumi and Shima peninsulas in water depths of approximately 1,000 m (3280.8 ft). Production was initiated through depressuriza- tion of hydrate-bearing turbidite sands located 300 m (984.3 ft) beneath the seafloor. Sustained natural gas production was established with a drill- stem test at a rate of 0.7 million cubic feet per day (MMcfd; 19.8 thousand m3/day). The test continued until March 18, 2013, at which point there was both a malfunction of the pump used for depressurization and a simultaneous increase in sand production. A total of 4 million cubic feet (113 thousand m3) of gas was recovered in total, an amount higher than had been predicted. Initial analysis of the test indicates that the dissociation front reached the monitoring wells located 20 m (65.6 ft) from the test well. Abandonment of the site will be completed by August 31, 2013. The brief test was not designed to yield commercial production rates; however, the results will be used to implement the next phase of the MH21 program, which will include commercial development. That phase is scheduled for fiscal years 2016–2018. The Nankai test was conducted with the deep sea drillship ‘‘Chikyu.’’ The produced gas was either vented or flared, depending on flow rates and weather conditions. In preparation for the produc- tion test, a part of the production well (AT1-P) and two temperature-monitoring boreholes (AT1-MC/ MT1) were drilled in February and March, 2012. During drilling operations, intensive geophysical logging was conducted. In addition, a dedicated borehole in the same area was drilled to recover pressure cores. This was undertaken to obtain de- tailed data regarding the geology, geomechanics, geochemistry, microbiology, and petrophysics of the hydrate-bearing sediments. 6Hydrate Energy International, Kenner, LA 70065, USA; Chair, EMD Gas Hydrates Committee. American Association of Petroleum Geologists, Energy Minerals Division

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