Shale gas is the future

Already before the events in Japan, the CEO of one of the US top electricity companies spoke in Washington about the virtues of conventional and shale gas:

“Neither new nuclear, coal with carbon capture and sequestration, wind nor solar are economic,” said John Rowe, CEO of Exelon, in a speech on March 8 in Washington. One of the biggest U.S. power companies, with 17 nuclear plants and a broad portfolio of hydro, wind and solar facilities, Exelon says gas plants are the future.
“Natural gas is queen. It is domestically abundant and is the bridge to the future,” Mr. Rowe said. He noted that new conventional and shale gas discoveries have increased U.S. gas supplies by about 60 per cent, making the United States the world’s third largest gas producer, after the Middle East and Russia.
Shale gas could alter the European energy mix, too. Shale gas has been found in Poland, Germany, Ukraine and a few other countries. Exxon Mobil, ConocoPhillips and Chevron are working on shale exploration projects in southeast Poland.

Read the entire article here.

As we have said before, environmental issues should be dealt with, but it is now crucial that politicians in the US, Europe and elsewhere do not let environmental groups dictate the policy:

Rowe came to Washington this month to discuss the importance of natural gas to the country’s economic and ecological future.  His message to Congress: “do no harm.”  By that he means nature, technology and markets are already conspiring to help American consumers and the environment.  All that’s needed is for Washington to stay out of the way.

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Exelon is hardly the only firm at the moment that understands how a natural gas boom will transform the nation’s energy market. ExxonMobil pushed a lot of chips to the center of the table with a bold $41 billion acquisition of XTO. This positions America’s premier oil major to be the country’s premier natural gas provider in the 21st century. Given the company’s strong safety record and conservative management, and its role as a standard-setter for broader industries, that’s good news for the shape of the market.

There’s endless talk in Washington about the need to move toward lower-carbon power. Nature and technology are making it possible, if Washington and state capitols will let it.

Read the entire article here.

More information about natural gas - including shale gas - in Europe here.