The Oil Drum has an incredible article about just how much natural gas does the nation need to become energy independent. Why ask this question? Recently a Potential Gas Committee report states that natural gas reserves in 2008 rose to 2,074 trillion cubic feet. This 35% increase in the estimated amount of natural gas could lay the foundation of nearly another 100 years of natural gas. Why is this important? Natural gas releases much less carbon into the atmosphere than coal or oil. Also natural gas engines are much more efficient than either gas or oil, but usually more expensive.
The author, Robert Rapier, presents specific calculations on the comparative costs between natural gas and oil. Natural gas is a bargain at $4 per million (MM) BTU to oil's current $12.24/MMBTU. Also note that this is at $71 a barrel, not the $100 plus price we saw for oil last summer. So why doesn't everyone just convert?... read more
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