New Shale Formation in West Texas could Dwarf the Bakken

Oil Price ^ | January 30, 2013 | Charles Kennedy

[2ndDivisionVet]

The US shale boom has led some to predict that it will overtake Saudi Arabia as world’s largest oil and gas producer by 2020, thanks to the massive reserves found in plays such as the Bakken Shale of North Dakota, the Marcellus Shale in New York, and the Eagle Ford Shale in Texas; even the newly discovered Tuscaloosa Shale formation in Louisiana holds large potential.

However there is a new shale formation that has been discovered in West Texas which could dwarf all others being drilled in the US at the moment.

The play is known as the Cline Shale play and has been discovered in the Permian Basin.

John Breyer a geologist at Marathon Oil Corp.(NYES: MRO) said that this new discovery could dwarf anything that exists in North Dakota...

[Paladin2]

Wouldn’t that be an OLD formation?

[mike_9958]

speculative..... pump and dump stock scheme ?

[Old Flat Toad]

Has China bought up all the land rights yet?

[TexasFreeper2009]

I have mineral rights to land in that area, and let me assure you this is not a “pump and dump”. There has been a flood of leasing offers and offers to purchase the mineral rights for vast sums of money the past 9 months or so.

[Perkalong]

Doesn’t matter.

The EPA is going to shut down fracking anyway.

[St_Thomas_Aquinas]

I hope this is true, but... I can see the government using the resulting tax revenue to pay down the debt, and then beginning a new spending binge.

[RobbyS]

Old and previously inaccessible.

[relictele]

You didn’t frack that.

[EternalVigilance]

You can still smell oil in the Permian basin.

[Army Air Corps]

Ping.

[Baynative]

"The EPA is going to shut down fracking anyway."

Will Obama put extra effort into shutting it down because this is Texas, or might he back down because of the same?

[Fractal Trader]

True, or a mirage?

[ConservativeInPA]

Looks like a great time to be in the Republic of Texas. Funny how NY doesn’t even want to touch Marcellus and Utica shale. Two different States of mind.

[Perkalong]

“Will Obama put extra effort into shutting it down because this is Texas, or might he back down because of the same?”

President Obama hasn’t really backed down from anything yet, so I don’t see him dropping his commitment to fighting climate change anytime soon regardless of the state.

[Jeff Chandler]

I can see the government using the resulting tax revenue to pay down the debt, and then beginning a new spending binge.

[spokeshave]

Devon’s tests showed that around 3.6 million barrels of oil could be recovered per square mile, and as the Cline formation covers roughly 9,800 square miles it gives an estimated reserve of more than 30 billion barrels. A fair bit more than the 4.3 billion in the Bakken, or the 3 billion barrels in the Eagle Ford plays.

Small potatoes....the recently discovered New Monterey Shale in California...runs from San Jose to LA weighs in at 500 Billion barrels.

Both eclipsed by the Green River Formation with 3 Trillion barrels of which over 1 Trillion is recoverable with today's technology.

The Rand Corporation, a nonprofit research organization, estimates that 30 to 60 percent of the oil shale in the Green River Formation can be recovered. At the midpoint of this estimate, almost half of the 3 trillion barrels of oil would be recoverable. This is an amount about equal to the entire world's proven oil reserves. ...

[BuckeyeTexan]

If he’s as smart as his minions believe, he will make the wise decision not to go up against Governor Rick Perry and Attorney General Greg Abbott on this one.

[editor-surveyor]

Seriously, ALL of the oil in all of the shale in the US would not begin to pay down our debt.

[dsc]

Chairman Maobama must not be allowed to prevent development of these resources.