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To: Sequoyah101

The US Dept. of Energy states that ex situ processing is economic at $54/barrel and in situ processing at $35/barrel. Once the drilling horizontal or vertical has been completed and the capital investment made, reactivation of a site is not a prolonged process. This industry however is subject to environmental constraints and the attitude of those controlling Federal and State regulatory agencies. The point is that this new technology has at a price, that with R&D ought to decline, put the US in a far different political and economic position than it was in fifteen years ago. Foreign policies have not yet reflected those changes but inevitably will soon.


17 posted on 01/25/2016 2:15:46 PM PST by allendale
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To: allendale

I think the numbers you are quoting are for oil extraction from kerogen in real honest to goodness Utah and Colorado Book Cliffs shale. It is for processing and does not include massive amounts of CAPEX to access the shale. Not much of that going on except a pilot project or two maybe and I’m pretty sure they are funded with tax payer dollars.

Check the breakeven number on Unconventional shale oil produced from wells by flowing and pumping instead of processing of shale rock insitu or exsitu. Those projects have been pretty much abandoned. Most are finding that unconventional shale oil production from the Bakken and Eagle Ford and places like that is a chapter out of a book called Ponzi. They require near continuous cash feed to keep going below somewhere between $70 and $80 a bbl.


18 posted on 01/25/2016 3:34:30 PM PST by Sequoyah101 (It feels like we have exchanged our dreams for survival. We just have a few days that don't suck.)
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