Reuters is reporting:
China's plans to unlock what could be the world's biggest shale gas reserves risk running further off track after 16 firms awarded exploration rights in the latest auction lacked one core skill - not one has drilled a gas well before.
Beijing is hoping shale gas can transform the country in the same way as the U.S. boom, though to date there has been little commercial production and a target of producing 6.5 billion cubic metres of gas by 2015 in the world's biggest energy consumer looks out of reach, according to industry experts.
The lack of experience exploiting shale among new firms scrambling to enter the sector will make it an even bigger challenge to get at the gas, and if they fail to deliver China will struggle to reduce its dependence on expensive imports of oil, liquefied natural gas and coal.
Wouldn't it be a kick if China is using their shale investments in the USA as a training ground for their people to learn about shale drilling methods and make business contacts? What's the old saying about teaching a person to fish?
ReplyDeleteIn fact, I think there was an article on this very subject at the "Oil & Gas Journal," "Rigzone," or the "Wall Street Journal."
DeleteI recall reading the story, but I don't think I linked it. But that's the theory: they will learn how to do it here in the states,and take that knowledge/skill set back to China with them.