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Review of Emerging Resources: U.S. Shale Gas and Shale Oil Plays

Review of Emerging Resources: U.S. Shale Gas and Shale Oil Plays

Full Title:  Review of Emerging Resources: U.S. Shale Gas and Shale Oil Plays
Author(s):  U.S. Energy Information Administration
Publisher(s):  U.S. Energy Information Administration
Publication Date: July 1, 2011
Full Text: Download Resource
Description (excerpt):

The use of horizontal drilling in conjunction with hydraulic fracturing has greatly expanded the ability of producers to profitably recover natural gas and oil from low-permeability geologic plays—particularly, shale plays. Application of fracturing techniques to stimulate oil and gas production began to grow rapidly in the 1950s, although experimentation dates back to the 19th century. Starting in the mid-1970s, a partnership of private operators, the U.S. Department of Energy (DOE) and predecessor agencies, and the Gas Research Institute (GRI) endeavored to develop technologies for the commercial production of natural gas from the relatively shallow Devonian (Huron) shale in the eastern United States. This partnership helped foster technologies that eventually became crucial to the production of natural gas from shale rock, including horizontal wells, multi-stage fracturing, and slick water fracturing. Practical application of horizontal drilling to oil production began in the early 1980s, by which time the advent of improved downhole drilling motors and the invention of other necessary supporting equipment, materials, and technologies (particularly, downhole telemetry equipment) had brought some applications within the realm of commercial viability.

The advent of large-scale shale gas production did not occur until Mitchell Energy and Development Corporation experimented during the 1980s and 1990s to make deep shale gas production a commercial reality in the Barnett Shale in North-Central Texas. As the success of Mitchell Energy and Development became apparent, other companies aggressively entered the play, so that by 2005, the Barnett Shale alone was producing nearly 0.5 trillion cubic feet of natural gas per year. As producers gained confidence in the ability to produce natural gas profitably in the Barnett Shale, with confirmation provided by results from the Fayetteville Shale in Arkansas, they began pursuing other shale plays, including Haynesville, Marcellus, Woodford, Eagle Ford, and others.

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