“There are about 420 trillion cubic feet of natural gas offshore,” Felmy estimates. “You have 187 trillion cubic feet of natural gas onshore. . . . You also have exciting, new shale gas supplies. The Marcellus shale deposits in Pennsylvania and upstate New York are huge. There could be as much as 500 trillion cubic feet in Marcellus alone.”
Americans use about 20 to 25 trillion cubic feet of natural gas annually. Hence, Marcellus could represent a 25-year natural-gas supply. Existing offshore reserves could add 20 more years of natural gas to America’s energy menu.
Producers could also extract offshore oil via underground, land-based, horizontal drilling. Essentially, oil would be sucked to shore via pipes beneath the ocean floor, rather than through pipes in the water. This should be far less risky and far more earth-friendly than today’s drilling regime. At least with existing technology, however, this only would work to drain deposits about five to ten miles offshore, far shy of where many deposits lie, up to some 200 miles from land.
Drilling is much cheaper onshore than off. According to December 2009 Energy Department figures, from 2006 through 2008, major domestic firms spent $36.90 to locate and collect an average barrel of onshore oil. The equivalent offshore figure: $73.47 — almost precisely double.
It’s worth restating the obvious: Offshore natural gas does not spill. At worst, if a natural-gas rig exploded, the ensuing fireball might scorch a passing flock of seagulls. The only onshore impact might involve sunbathers rising from their beach towels and asking, “What the hell is that?”
Offshore drilling will not end today, nor should it. But given its catastrophic potential, plus the immediate availability of cheaper and less environmentally calamitous substitutes, perhaps the Left and Right can agree, for once, to deemphasize offshore oil while passionately embracing onshore oil and offshore natural gas.
This may be the best policy to keep the cares to a minimum and, as this city does so well, let the good times roll.
– Deroy Murdock is a nationally syndicated columnist with the Scripps Howard News Service and a media fellow with the Hoover Institution on War, Revolution, and Peace at Stanford University.