Presentation on theme: "1 Commissioner Bob Anthony Chairman, Oklahoma Corporation Commission Oklahoma City, Oklahoma USA August 2014 Beijing, China Energy Policy, Regulation,"— Presentation transcript:
1 Commissioner Bob Anthony Chairman, Oklahoma Corporation Commission Oklahoma City, Oklahoma USA August 2014 Beijing, China Energy Policy, Regulation, and Technology NATURAL GAS
Top two producers and consumers of energy in the world are China (#1) and United States (#2).* Global benefits can accrue when these two prominent countries communicate and compare their energy strategies regarding environmental, water, safety, efficiency, conservation, and fuel selection issues. *The Economist Magazine, Country Profiles, 2014 Edition 2
Shale Gas Revolution “Game Changer ” USA: It’s Reality! China:Behind schedule WHY? What explains the difference? Other topics: 200 MPH trains; nuclear plants 3
4 The Oklahoma Experience: March 26, Wild Mary Sudik well blow out 20,000 barrels oil & 200 million CF gas daily Oklahoma City subsequently imposed safety and spacing regulations
Pipeline SAFETY Gathering, Transmission, and Distribution Pipe Replacement Cast Iron Bare Steel Damage Prevention 3 rd Party Construction Call before Excavation Integrity Management Transmission: Risk Assessment o Threats: Corrosion, Nature, Excavation, Welds Distribution: Leak Reports and Inspections o 2 million miles in service USA 7
8 EPA Investigation and Town Hall Hearing, Pavilion, Wyoming Still image from the August 27 broadcast of the PBS Program Need to Know covering the EPA Investigation and Town Hall Meeting in Pavilion, Wyoming.
9 (Founded in 1971 as the Sierra Club Legal Defense Fund)
10 Hydraulic Fracturing Installation Source: Halliburton Presentation to OCC – March 2010
13 Oklahoma Oil and Gas Industry Active wells (drilled, not plugged) 65,500 Natural Gas 117,000Oil 11,200 Injection/Disposal 193,700 Total Active Wells ~310,000 Plugged and Abandoned wells ~500,000 Wells drilled in Oklahoma History 107,700+ Hydraulically Fractured Oil and Gas Wells 3,088 Active Operators of Oil and Gas wells ~41,000 Miles of pipeline under commission jurisdiction (Well Data is as of year end 2011;updated 7/08/2014, as supplied by OCC Oil and Gas Division) $182 Billion Oklahoma Gross State Product for 2013 (Source: St. Louis Federal Reserve Bank, updated 6/11/2014)
14 Natural Gas for Transportation DOE EIA AEO 2014 projects a linear growth trend over next ten years Followed by an accelerated growth rate starting around 2024 Note: DOE’s current NGV data understate today’s market size.
15 NARUC President rides in CNG car
“Shale Gas Revolution” efforts/risks by independents/entrepreneurs [oil developed by the majors/multi-nationals] “new” technology: hydraulic fracturing, horizontal drilling HF stages, public data, ownership of minerals, risk capital USA regulation of exploration, development, production State or Federal government (EPA, FERC) Geopolitical “Game Changer,” LNG exports, price, bridge fuel Hydraulic fracturing: water, chemicals, disposal wells, flaring Environmental issues: fugitive methane, CO 2, earthquakes Usage trends: residential, industrial, transportation (CNG/LNG) Electric generation: gas-electric harmonization, wind power, solar power Pipeline safety and Infrastructure 16