Posted on 03/06/2014 4:21:03 PM PST by rickmichaels
You’re welcome Civ!
Natural gas supplies will also rise; at current rates of burning it, there is about 7000 years supply in hydrates and clathrates in seafloor sediments. More autos will run on natural gas long before we see widespread use of hydrogen burners (and that’s not much of a claim, imho we will literally NEVER see widespread use of hydrogen burning vehicles). Conversion of natural gas to easier-to-handle liquid fuels is likely to be competitive fairly soon (if it isn’t already). The price of oil will fall because of more supply — but only because of where the increase in supply is, namely here, which will mean US $ exchange rates will improve longterm.
here is about 7000 years supply in hydrates and clathrates in seafloor sediments.
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but currently its way too expensive to extract
More autos will run on natural gas long before we see widespread use of hydrogen burners (and thats not much of a claim, imho we will literally NEVER see widespread use of hydrogen burning vehicles).
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It does look like electric cars will get there first.
Conversion of natural gas to easier-to-handle liquid fuels is likely to be competitive fairly soon (if it isnt already).
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Chevron currently has a plant in the persian gulf that converts natural gas to engine oil for lubrication. Its cheaper than engine oil made from crude. They were thinking about making a big plant in louisiana convert natural gas to gasoline. but pulled out of the deal recently.
The price of oil will fall because of more supply but only because of where the increase in supply is, namely here, which will mean US $ exchange rates will improve longterm.
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the price of oil unlike natural gas is set internationally. that is the price oil is roughly the same all over the world—because it can be transported easily. The price of natural gas set country by country because it can’t be transported so easily. That’s why the price of natural gas in the USA is one third of the price of natural gas in europe and one fourth the price of natural gas in the Far East. Whereas there’s usually no more than a 10-20 dollar spread between the price of brent oil and texas oil.
consequently the whole world will have to be awash in oil before the price of oil goes down—and not just the USA. For the whole world to be awash in oil— some of the other big oil shale plays will have to go into production in big volume. That’s not happening in the next five years and maybe not the next 10 years.
Don’t forget about the CFL lights and the mercury clean up costs.
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