Comments on: Israel and oil shale

By: Joseph Hertzlinger

Joseph Hertzlinger — Sun, 19 Nov 2006 01:58:04 +0000

If we really have passed peak oil, then any attempt on the part of OPEC to reduce prices won’t work. They won’t be able to increase production enough.

By: Hugh

Hugh — Sun, 19 Nov 2006 00:22:24 +0000

I hope this works, but I’m a skeptic. I think that, should this oil appear on the market in significant quantity, OPEC will simply reduce its price enough to drive the shale and tar sands producers out of the market.

By: Alex Bensky

Alex Bensky — Sat, 18 Nov 2006 15:14:09 +0000

This is one of the more significant and hopeful stories imaginable. According to one story, half of Colorado’s oil shale potential (not all of it is recoverable) exceeds Saudi Arabia’s proven oil reserves, and Colorado isn’t our only source of the shale. If this pans out the power and money of the Arabs and Iranians will decrease significantly. Maybe they can drink their oil.

And Israel has the patent? If I were a cynic I’d say that might lead to a softening of the European governments and media in their attitudes towards Israel. But as those of you who’ve read my comments know, I’m innocent and credulous. cynical people, though…As Golda Meir once said about the Europeans, it’s hard to hear them speak because their throats are choked with oil.

By: chsw

chsw — Fri, 17 Nov 2006 23:16:21 +0000

SnoopGoon, the land can be reclaimed as is done with strip mines and clearcut forests. IMHO, the biggest environmental hazards are often the environmentalists.

chsw

By: cond0010

cond0010 — Fri, 17 Nov 2006 21:59:42 +0000

It cost around 30 dollars to produce shale oil back in the early 80’s. That comes out to about 64 dollars per barrel today.

And yes, it is much easier to get oil out of Tar Sands than it is to get it out of shale oil.

The nice thing to know is that the US and Canada have more oil reserves in this area than Saudi Arabia. But then as Snoopy said, there are enviromental hazards…

By: Half Canadian

Half Canadian — Fri, 17 Nov 2006 19:53:46 +0000

In Alberta (Canada), it is costing just under $20 to get a barrel of oil out of the tar sands up there. To my knowledge, getting oil out of tar sands is cheaper than getting it out of shale (sand vs rock). If they can do it for $17/barrel, this is a huge step forward.

I’m taking a wait-and-see stance, but I fervently hope that this is true.

By: Bert

Bert — Fri, 17 Nov 2006 16:39:37 +0000

“Canada and the U.S. have large, untapped oil shale reserves”

Hurray for Canada !!

By: david foster

david foster — Fri, 17 Nov 2006 16:15:04 +0000

It’s not totally clear that the $17/bbl is the full cost, including mining of the shale, or whether it is only the cost incurred at the processing plant.

In any event, this bears close watching.

By: chsw

chsw — Fri, 17 Nov 2006 14:13:06 +0000

W/R/T coal from India and China – wherever there is coal, there often is low-grade petroleum-bearing shale, although the reverse is not true.

I hope that the estimate of breakeven is close to $17/barrel, because current technology has a breakeven point of about $40/barrel.

Kol tov to Hom Tov.

chsw

By: cond0010

cond0010 — Fri, 17 Nov 2006 12:32:01 +0000

It costs OPEC $5 a barrel to pull it out of the ground. Thats alot of profit.

This breakthrough is significant as it will force OPEC to lower their prices – just as it did in the early 80’s when the US was at the height of their search for alternative energy sources (which tanked after the oil prices dropped).