<a href="http://youngpetro.org/2013/03/06/how-is-it-possible-to-produce-oil-from-sand/"><b>How is it possible to produce oil from sand?</b></a> <a href="http://youngpetro.org/2011/10/09/people-engineers-and-spe-members/"><b>People, Engineers and SPE Members</b></a> <a href="http://youngpetro.org/2012/12/19/if-i-were-a-prime-minister/"><b>If I Were a Prime Minister…</b></a> <a href="http://youngpetro.org/2012/12/26/polish-shales-delayed/"><b>Polish shales delayed?</b></a> <a href="http://youngpetro.org/2013/01/11/russia-continues-the-policy-of-states-companies-monopoly/"><b>Russia continues the policy of state companies’ monopoly</b></a>
 

Oil prices will rally according to IEA report

22 February, 2016 News No comments
Oil prices will rally according to IEA report

Though trying to predict oil prices is said to be a fools game it is very hard to stay away from questioning. Especially because this market is volatile and the political situation is the main determinant. After watching prices crash through floor after floor in the worst slump for a generation, the industry is eager for answers and it gets it- the IEA predicts that global oil supply and demand to rebalance in coming years.

International Energy Agency is at the heart of global dialogue on energy, providing authoritative statistics and analysis. In its annual report, which was released today, says that the market will begin rebalancing in 2017 – and by 2021 the United States and Iran are seen leading production gains among non-OPEC and OPEC countries, respectively. This view is predicated on the expectation that U.S. shale oil production drops 600,000 bpd this year, and by 200,000 bpd in 2017. The IEA projects that global oversupply will be wiped out by 2018. Once the market will start to rebalance, prices will rise also, the availability of easy resources will rally. Thanks to efficiency gains IEA speculates growth of production by 1.2 million bpd in U.S. and global oil supply to rise by 4.1 million bpd from 2015-2021.

According to energy market long-term speculations are the most suitable. So far, shale bankruptcies have been limited to smaller outfits, the one thing the stress on companies hasn’t done is destroy production. Meanwhile, on the international scene, the Saudi-Russian accord announced Tuesday, to which Venezuela and Qatar have also signed up, would cap production at January’s levels.

See more: www.iea.org; www.bloomberg.com, www.oilprice.com

7th INTERNATIONAL GEOSCIENCES STUDENT CONFERENCE

7th INTERNATIONAL GEOSCIENCES STUDENT CONFERENCE

The Adam Mickiewicz University and the University of Silesia Student Chapters of the SEG invite all enthusiasts of geosciences to attend the SEG/EAGE 7th International Geosciences Student Conference in Katowice, Poland. The event will take place on 11 – 14 July 2016 at the Faculty of Law and Administration of the University of Silesia.

The program of IGSC 2016 provides a platform for students and young professionals of all geoscientific disciplines to learn from today’s experts and share their own experience through participation in technical presentations, keynote lectures, short courses, workshops, student competitions, field trips, and a trade exhibition.

Registration and call for papers is open until 30 April 2016. Early bird prices expire on 29 February 2016.

PRESENTER’S BENEFITS:

  • Access to an international audience of geoscience professionals and students from Europe, Asia and Africa;
  • A chance to share your knowledge, research and ideas with others in four technical sessions: Geology, Geophysics, Oil & Gas, and Polar and Environmental Studies;
  • An opportunity to receive valuable feedback from industry professionals, university professors and experienced researchers;
  • An opportunity to network with other conference participants during social events like the Icebreaker Reception or the Farewell Gala.

Abstract template, submission instructions, technical sessions descriptions, information about field trips, keynote speakers, fees and program can be found on www.igsc7.us.edu.pl. Ready abstracts should be submitted using the conference registration form also available on our website.

If you have any questions, contact us at igsc7poland@gmail.com.

YP_nastrone_IGSC7 (1)

First marine LNG fueling terminal in North America opened

15 February, 2016 News No comments
First marine LNG fueling terminal in North America opened

Some time ago we wrote about LNG Terminal in Swinoujscie, Poland (see). Today we come along with theme related news. First marine liquefied natural gas fueling terminal in North America is now opened. The operator of this undertaking is Harvey Gulf International Marine, New Orleans. They inaugurated the LNG terminal at its operating base in Port Fourchon, Louisiana.

The bunkering included the transfer of 43,000 gallons of LNG in about 2.25 hours, the company said. The terminal is able to deliver LNG at a pumping rate of 550 gmp, total on-site storage is approximately 270 000 gals., contained in three 90 000 gals. USG type “C” vacuum insulated tanks. According to Shane Guidry, Chairman and CEO of Harvey Gulf, it should help with promoting the use of LNG as a clean, abundant, and cost-effective alternative marine fuel. Also it provides a LNG bunkering point at the epicenter of marine operations for the Gulf of Mexico, which is vital to continuing the shift to LNG as a marine fuel. Chad Verret, executive vice president in charge of Harvey Gulf’s Alaska and LNG operations, says easier maintenance, longer intervals between overhauls, and cleaner engines and boats were all part of the company’s decision to commit to building an LNG-fueled fleet – along with the promise of long-term lower fuel costs with gas.

Will be LNG only or predominant marine fuel someday? Time will tell whether yes or no. But opening first marine liquefied natural gas fueling terminal in North America was definitely worth to mention.

Source: workboat.com

Image source: oilonline.com

Facing the truth

Facing the truth

It has been almost a year and a half since oil price dropped below 100$/bbl level. This trend continues badly and consequently gas price is low. Huge oil companies lay off thousands of employees and recent graduates cannot believe such a situation. In the internet more and more questions were asked and so did answers come into sight. Some of them present pragmatic point of view and some are completly useless and not really accordant with potential engineer ethics.

The truth is that as graduates we look for the quickest way to make money. Just think about it, we pay a lot of money for our studies, work hard, invest our time and effort in it and sacriface our youth for better life. Many of those who decided to study Petroleum Engineering or similiar major in the USA, Canada, Australia or United Kingdom probably will end up with a loan so there is no possibilty of rejecting the path we have chosen. Even if currently there is no way to find a job in oil and gas industry we should definately find something else that would be a good background for our future job. In the meantime it is essential to provide ourselves with a good education on our own. What do I mean by that? With BSc degree you will be able to face basic challenges in your first job so do not consider doing Masters, PhDs or worst of all Postgraduate studies. It will be worthless unless you have got some work experience. If price do not rise you will end up with huge loan and just a theoretical knowledge. Forget about volunteering as well. During studies you had time to do some summer internships or apprenticeships. I bet big companies even offered competitive salaries in order to attract and train young talents. In worse case you could work for free but still in oil and gas industry to gain essential knowledge and experience but now volunteering within industry not related with oil and gas is pointless.

If not working in other postions try to get and invest your capital and run your own business. What is important is that you will find out how to manage and develop it. Surely being entreprenuer is not easy but this could be really challenging and demanding with a positive effect on your future. You can always treat the current problem as a challenge. Besides, there are always different raw materials that are worth extracting. People drill not only to extract oil or gas, there is demand for plenty of geothermal water, coal and many chemical elements. We need to understand that the world seeks for automation of extraction process to cut costs to the minimum level. There is no point in engaging people if machines can do the same work for us. Still, this is a chance for engineers to work on these problems and try to figure out how to both maximize production and minimaze costs.

And to sum up, you do not have to take under consideration cliché like „build your network”. Obviously, it is a really important part of becoming successful but one should do it constantly, not just when oil price is low and everyone is looking for the last resort. The world is cruel and potential engineers are not supposed to act like lost kids or creatures controlled by others. Show everyone else that you are able to survive and live well even before oil price bounces back.

Nord Stream 2 – what is it all about?

12 February, 2016 News No comments
Nord Stream 2 – what is it all about?

Nowadays we have tough times in Oil and Gas industry. Prices fly pell-mell, OPEC is showing their strong either USA and Russia have they own business. The game is played for high stakes due to market demand is still high. In recent days we can hear a lot of news about German and Russia project, Nord Stream 2. What is the controversy and why do not we all want to get him to agree?

Gas pipeline from Russia to Germany through the Baltic Sea, called Nord Stream works with the use of both threads with a total capacity of 55 billion m3 per year since 2011. Gas flows from Russia to Germany bypassing transit countries in Eastern Europe. The third and fourth thread planned under the Nord Stream 2 may allow to double the bandwidth and increase the export of gas in this part of Europe. This will lead to an increase in the importance of Gazprom on the market, the weakening of diversification of supply for Germany and thus other recipients such as Poland, Lithuania, Latvia, Estonia. It will also lead to a weakening of the role of transit Ukraine, making it difficult to stabilize the region.

Opponents of the Nord Stream 2 show the direct, negative impact on the energy security of several countries of the European Union, especially for the diversification of supply sources – one of the key objectives of the, still being created, Energy Union. In addition, it is questionable economic interest behind the construction of the new capacity for the supply of gas, the current shape of the market and the significant risks of long-term investments in co-operation with Russia after the aggression against Ukraine.

Nord Stream 2 was also one of the main topics of conversation between Polish Minister of Energy Krzysztof Tchórzewski and the Minister of Industry and Trade of the Czech Republic Jan Mladek, which took place during the meeting of February 5. Visegrad group should have a unified position in that very case. It is obvious that the pipeline project is not the nature of the business, and the only political. Strengthen the dominant position of Gazprom in the EU markets will make the more difficult will be to build a competitive gas market in the EU – said Tchórzewski.

However, many of the countries of western Europe supports Nord Stream 2. A large part of this project would be Germany and Finland, through whose territory the pipeline would run. The project also was supported by France and the Netherlands. We do not know yet if Denmark will give their permission, which is addicted to decision on the environmental impact assessment (EIA).

Today, 12.02.2016 Polish Prime Minister, Beata Szydło, during a visit to Berlin spoke with Angela Merkel, among other things about Nord Stream 2 and expressed concern about the project – We are concerned about support for the project Nord Stream 2, it is not incompatible with sanctions on Russia – said Szydło.

It is certain that Russia will exert pressure and try to soften opposition eastern and central parts of Europe in this topic. Whether it comes to the installation Nord Stream 2 depends on many factors, but primarily policy. The European Commission is currently investigating a case against the law. The next few months will probably be intensive treatments supporters and opponents.

Sources:  Szydło in BerlinBiznesalertBiznesalert

U.S. The hidden value of cheap gas.

U.S. The hidden value of cheap gas.

Technological developments in recent years have changed world energy market and allowed the revitalization of chemical and steel industry, especially in the U.S. The latest decline in global oil prices has accelerated expansion of chemical and manufacturing plants despite enhanced OPEC efforts to undercut it. The hidden value of cheap gas is more suitable for economy growth than for international mining companies. The U.S emergent economic development can be comparable to the Industrial Revolution which took place from the 18th and 19th centuries.

Steel sector.

The American steel industry has been facing up to the impact of the global crisis since 2007. Internal markets have struggled to stay profitable among stagnant domestic demand, low prices and increasing Chinese imports.

Asian countries, principally China and Taiwan have been offering cheaper labor and sufficient amount of the raw materials for many years. The U.S domestic production of steel decreased 11 percent between 2007 and 2013, while Chinese production during that period increased 57 percent.

Unconventional sources of energy has enabled the American steel industry to get  back on track. The largest companies have made diversifications and established appropriate investments. A titan of industry Nucor Corp spent $750 million in an iron-ore devices in St. James Parish, Louisiana. Simultaneously, influential Austrial steel maker Voestalpine invested about $634 million in a new factory.

Currently, market analysts predict that new investments can provide about 1 million new jobs by 2035. “Low natural gas prices are spurring new manufacturing investment and creating jobs” said Katherine Miller, a Nucor spokeswoman.

Chemical sector.

The chemical sector was another branch of an American industry which was modernized. The hydraulic fracturing of shale formation has led to a rapid growth of chemical plants mainly in Louisiana and Texas. Modern factories have used natural gas to produce a wide variety of products including plastics and liquid fuels. “Plants use natural gas like a bakery shop uses flour”, said Dan Borne, president of the Louisiana Chemical Association.

The most influential chemical companies such as: Du Pont, Dow Chemical, Eastman Chemical or Westlake Chemical have boosted their production and prepared ground for foreign funds.

According to The American Chemistry Council 238 U.S chemical companies have declared money for new projects. Investment spending in the industry increased 64% from 2010 to 2014, to $34 billion. The ACC assumes spending to rise another 37% by 2018.

This jump in industrialization will stimulate stock market and provide higher employment . However, too high environmental degradation and revolution in energy policy can cut optimistic expectations.

In conclusion.

To sum up new technologies, low gas prices and considered diversifications can  make a great influence on an American society. New plants will generate not only profit but also workplaces. In spite of all the advantages, government and companies can’t forget about environmental challenges and their future impact on safety standards and health.

Sources:

http://www.forbes.com/sites/kensilverstein/2015/05/10/flood-shale-gas-spilling-into-communities-across-america/#22918c41ed83

http://e360.yale.edu/feature/natural_gas_boom_brings_major_growth_for_us_chemical_plants/2842/

Shale Revolution Accelerates Chemicals Industry

http://www.smh.com.au/business/shale-gas-revolution-a-major-boost-for-us-steel-sector-20130101-2c4co.html

http://www.ft.com/intl/cms/s/0/4dacb6a0-10f8-11e5-9bf8-00144feabdc0.html

http://www.micromotionblog.com/wp-content/uploads/2015/09/iStock_000023984130_Small.jpg

Norway wants to become a major natural gas deliverer in Europe

Norway wants to become a major natural gas deliverer in Europe

Norway has got a chance to become a major natural gas deliverer in Central Europe. Now the most important thing is positive reaction of European Commission. Tord Lien, norwegian Minister of Petroleum and Energy is cofident that his country is ready to become essential natural gas supplier to Europe for many decades.
In European Union many people see this move as a plan to reduce dependence on russian natural gas. Many countries in Europe are tired of games with Russia. They are looking for a strong, safe and certain ally to leave their main gas supplier. In that case Norway is a very attractive and trustworthy associate. Nevertheless nothing is official and Norway waits to see specific decisions from Europe.
These days European countries are looking for a way out from russian authority in gas sector. New polish government is interested in diversification of gas suppliers to Poland and analyzes project about collaboration with Norway, which was rejected years ago. Many things changed in last few years and now norge gas is much more eye-catching than earlier. What’s interesting is that for the first time in lithuanian history Russia will not be primary gas supplier for this country. Rokas Masiulis, Energy minister in Lithania during an interview with Reuters says that in 2016 Gazprom lost their gas monopoly to Statoil.
Without clear decisions from european and norwegian side we can only debate about these ideas. We see that Norway has got a lot of friends in European Union and this move might be attractive for both groups. Now we have to wait for more informations in that important case.

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Sources:

http://biznesalert.pl/norwegia-chce-byc-glownym-dostawca-gazu-do-europy-momentum-dla-polskiego-projektu/
http://www.euractiv.com/sections/energy/norway-sees-political-risk-over-future-european-gas-demand-318483