Consequences of Shale Gas Development on World Energy Markets

Document Type : Original research



Shale gas revolution in the United States has led into much insecurity in world gas markets. America is the mere producer of shale gas in world at the moment. If the technology proliferate and transfer to other countries to overcome the oncoming challenges therefore inexpensive gas will be distributed among consumers. They predict that proper development of shale gas fields will provide 20% of gas required in the world. At the moment, there are serious difficulties in technical, economical, and environmental areas for shale gas development. Technical problems are: restriction in reaching shale gas technologies, need for intensive oil drilling, low reserves recovery factor, limited access to water, high density of population in white areas. Economic problems are high production costs and lack of reliance on future costs of natural gas. Environmental concerns are greenhouse gas emissions, groundwater pollution due to hydraulic fracturing Operations with chemicals, increment in earthquakes likelihood, reprocessed water pollution to radioactive materials, and the possibility of shale gas leak to atmosphere and water.