Monterey Shale – The Next Game Changing US Play
Representing a growth of 12% in global reserves, shale oil has the potential to significantly alter the global energy market. For the past few years the US has held the monopoly over shale, representing what has been termed ‘the golden age shale’.
Comprising two-thirds of the United States’ total estimated shale oil reserves and covering 1,750 square miles from Southern to Central California, the Monterey Shale could turn California into the nation’s top oil-producing state and yield the kind of riches that far smaller shale oil deposits have showered on North Dakota and Texas.
For decades, operators have been unable to extricate the Monterey Shale’s crude because of its complex geological formation. However as the oil industry’s technological advances succeed in unlocking oil from increasingly difficult locations, there is talk that California could be the next spot for a new oil boom.
“There are billions of barrels of oil buried in the Monterey Shale, and as far as I know, nobody’s been able to find it yet,” said Neil Ormond, the president of California’s Petroleum Land Management. “But I think there’s going to be more people looking for it. You can’t let a few dry holes discourage the whole thing, because if you find oil, you make money.”
With shale success continuing throughout the US, all eyes will be guided towards assessing whether Monterey will be the next hotspot.
Does Monterey shale open up new found potential for shale in the US?
Can other nations across Europe and Asia follow in the US success?
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