Alex Engler
EGEE 120
Term Project
Understanding the Potential and Controversy of Hydraulic Fracturing in the US
Introduction
Hydraulic fracturing is rapidly becoming a more important part of America’s energy situation. OPEC has
indicated that 2013 will likely come with their lowest share of oil in the global market in over a decade. 8 Natural gas
production from shale tripled between 2007 and 2010 and accounted for 45% of US natural gas production in 2011.
This year the US is starting to import less foreign oil despite new environmental regulations of industry practice. 1, 13
Figure 1: Shale Gas Production from ’07 to ‘10
The use of hydraulic fracturing to contribute to shale gas and tight oil (that which is retrieved with
fracturing) is one of the most highly debated topics in American Industry at the moment for several reasons. The
Industry has only been economical for most businesses for a brief period due to technological limitations in its
beginning; so, many people have – until recently – been uneducated on many of the details of how the process
works.9 There also seems to be a large number of contradictions concerning the environmental impact of hydraulic
fracturing, as various bodies debate the necessity of regulations or if the industry should be allowed at all.5 Finally, it
can only be expected that this innovative, energy-producing process would be met with some skepticism given the
surprising nature of its exponential growth in terms of production in recent years. This paper will explain where
Hydraulic Fracturing sits in the future of the United States energy situation, and shed lights on future possibilities.
Origins and Development of Hydraulic Fracturing
Hydraulic fracturing is the process of fracturing a well by introducing pressure from a fluid mixture in order
to release desired substances such as natural gas or petroleum. The mixture is typically made of 90% water and 8-9%
sand.6 Drilling is typically done vertically first before going horizontally (figure 2.) The highly pressurized mixture is
introduced to the desired reservoir/shale plate (at depths up to thousands of feet.) After a high enough pressure is
put on the plate, small fractures form along the horizontal segment, allowing the petroleum/natural gas to flow out
and be collected. The mixture is also removed, and can be either recycled or disposed of. 3, 4, 10
Figure 2: Fracturing Well Being Drilled Downward and then Horizontally Through Shale Plate
The concept of fracturing wells to obtain natural resources has been around for over a century and a half10,
but the first commercial hydraulic fracturing expedition occurred in the late 1940’s. 3 While earlier attempts used
explosive mixtures like Nitroglycerin, Halliburton was the first company to patent a “Hydrafrac” process. 10 The
number of wells grew by nearly a factor of 10 between 1950 and the middle of the decade. During this time, water
and sand became the primary components of the fracturing mixture (water to add pressure, sand to hold open
fractures.) In the early 60’s, the formula received the addition of surfactants that would help limit emulsions. 10
While hydraulic fracturing opened up incredible production opportunities, the industry would not become
economically possible for some time, as was noted by several experts until the end of the 70’s.9 However, natural gas
production was trending downward in the 80’s, and the increased demand made it much more economical for
companies to use fracturing to obtain the natural gas from shale. (Figure 3) 1
Figure 3: US Natural Gas Production by Year.
During the 1990’s and through the first decade of the 21 st century– thanks to the increase in hydraulic
fracturing and horizontal drilling – US natural gas reserves increased from 162,420,000 million cubic feet to
244,660,000 million cubic feet in 2009.1, 10Through this time of extreme growth (and still today) hydraulic fracturing
has become the most recent victim of America’s need to polarize political issues. Many experts seem convinced that
the process will cause more harm environmentally than it will help the energy field.
Safety Concerns
An interesting article by Nature Publishing Company in 2011 summarizes many of the primary
environmental objections to the use of hydraulic fracturing. There is concern over the amount of water used and the
additives in the liquid mixture used for hydraulic fracturing. Concern is also expressed over the materials recovered
from the shale (salts, metals, hydrocarbons, etc.) the lack of data concerning the environment available to prove
“fracking’s” safety, and methane (natural gas) leakage from the wells. 5
Most of these concerns have already been answered for by the industry, however. While it is true that
under the Energy Policy Act (2005) companies do not have to release the full composition of their fracking liquids 17,
most do release that sand and water (harmless materials) which make up at least 98% of that mixture, and the
American Petroleum Institute and Groundwater Protection Council ensure that companies voluntarily disclose the
rest of their components 14.
Depending on regional regulations, the liquids used for fracturing can be recycled, and while measures are
taken to avoid spills, the amounts of water used by the oil and gas industry is not particularly large with respect to
other industries. 17, 144
As far as the environmental impact of the recovered materials, studies are starting to shed more light on the
subject. One study at the University of Texas, Austin, released in early 2012 expressed that there was no evidence of
a negative environmental impact from hydraulic fracturing. 15 This issue should be resolved one way or another in
2014, when the EPA releases the study it is currently undergoing for peer review and comment 11 This is leading to an
overwhelming feeling that the opportunities presented by hydraulic fracturing should not be overlooked when no
actual evidence of negative environmental effects have been recorded, especially considering how vast these
opportunities are for the US. 17
The Role of Hydraulic Fracturing in the Near Future
Natural gas from shale already accounts for over 45% of the United States production, and many think it
could account for as much as 70%. Two questions beg answering - how much of a difference could tight oil and shale
gas make in the US energy situation, and, how much will it?
It is fairly clear that natural gas will continue to play a large role in the US energy business; Prices are very
low and supplies are in abundance, and have been increasing for over 2 decades (recall figure 3.) 18. However, tight
oil is much more puzzling. Oil from shale has been used more in other parts of the world than the United States, yet
the United States has by far the most high quality reserves. (Figure 4)2
Figure 4: Significant Oil Shale Deposites by Region
A prime example is Estonia, where 1.1 billion tons of oil has been mined from shale in the past century.
Figure 5 shows the amount that Estonia has managed to utilize their shale deposits with respect to other countries’
production. 2, 16
Figure 5: Shale Oil Mined by Region (High Quality Shale)
This easily demonstrates that tight oil could clearly make some great contribution to America’s oil problem;
as Daniel Yergin of the New York Times put it, “energy less dependent.” 18 It’s much more difficult to say how much
will be used. The American Geophysical Union seems to think the economic benefits of tight oil and shale natural gas
will not hold up in the long run due to wells yielding product for only a short time and high production costs. 12 This
claim conflicts with those of the oil producers, but both parties are in agreement that there is a lot of tight oil to be
had. 4, 14
The environmental issues previously discussed only further complicate the matter, as the looming outcome
of the EPA’s study of the safety of hydraulic fracturing could make the development of new wells even more difficult.
11
Also, hydraulic fracturing activity has been decreasing in several states – most notably in Pennsylvania – with no
other explanation than that of public perception of “fracking.”7 This puts even more weight on the EPA study,
however overcoming previously bad public perception will always be an obstacle.
Although there is no way to know where the tight oil business will go from here, the important takeaway for
those concerned about the future of US energy is that there is plenty of it. Even if the technology is not yet efficient
or environmentally friendly enough, we are sitting on large deposits of oil we have not put serious consideration into
until recently. That is quite comforting for a nation that is always concerned about its dependence on foreign fossil
fuels.
Conclusion
Due to both public perception created by media outlets and the sudden nature of the recent shale natural
gas boom, it can sometimes be difficult to obtain credible, reliable information on hydraulic fracturing and its history
in the United States. This paper has clearly shown that the technology for hydraulic fracturing dates back much
further than most people realize. It has also become clear that although the complete safety of the process has not
yet been proven, the environmental concerns over fracking come more from general skepticism than from traceable
incidents that would lead to well-founded calls for harsher regulations. Most importantly, there is no doubt that both
oil and natural gas obtained from shale by hydraulic fracturing could play a greater role in increasing the longevity of
America’s fossil fuel reserves.
Although it may not be the alternative to traditional fossil fuels we are looking for, it is safe to say that at
some point the United States’ shale reserves will be used to buy plenty of extra time as we work toward perfecting
our currently uneconomical “green” alternate energy sources.
Works Cited
1.
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2.
Allix, Pierre, et al. Coaxing Oil from Shale. n.d. <http://www.slb.com>.
3.
Charles, Ph. A. "Rock Mechanics - Volume 2." Paris: Editions Technip, 1997. 239-250.
4.
"Halliburton: Hydraulic Fracturing." n.d. <www.halliburton.com>.
5.
Howarth, Robert W, Anthony Ingraffea and Terry Engelder. "Should Fracking Stop?" Nature (2011):
271-275.
6.
"Hydraulic Fracturing Fact Sheet." May 2012. Chesapeake Energy. <www.chk.com>.
7.
Kelso, Matt. "Unconventional Permits Declining Sharply in PA." 7 August 2012. FracTracker.
<www.fractracker.org>.
8.
Kent, Sarah. "OPEC: US Shale Oil to Cut Into Demand." 12 March 2013. The Wall Street Journal.
<online.wsj.com>.
9.
Marland, Gregg. "Prospects for the Near-Term Commercialization of Shale Oil in the United States."
Energy 4 (1979): 1161-1174.
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JPT (2010): 26-41.
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<www2.epa.gov/hydraulicfracturing>.
12. Pierrehumbert, Raymond T. The Myth of "Saudi America". 6 February 2013. <http://www.slate.com>.
13. Rahm, Dianne. "Regulating hydraulic fracturing in shale gas plays: The case of Texas." Energy Policy
(2011): 2974-2981.
14. Shale Energy: 10 Points Everyone Should Know. 2012. <www.api.org>.
15. Simmons, Daniel. New Study Finds that Hydraulic Fracturing is Safe. 23 February 2012.
<www.instituteforenergyresearch.org>.
16. Suuberb, Eric M. "Oil Shale - Challenges and Opportunities." Estonian Academy Publishers (2010):
Editor's Page.
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18. Yergin, Daniel. America's New Energy Reality. 9 June 2012.
<http://www.nytimes.com/2012/06/10/opinion/sunday/the-new-politics-of-energy.html?_r=0>.