Cheap oil forever
Recent technological advances in the search for hydrocarbons, known as the Great Revolution of shale, changed the oil market. This transformation now threatens to lead the trend of oil prices over the next 20 years. The technology used today to extract unconventional resources, will begin to be implemented in the extraction of unconventional resources, which will increase more than production and reduce costs in a competitive market.
According to Roberto F. Aguilera, a researcher at Curtin University (Australia) and Marian Radetzki, a professor at Lulea University of Technology (Sweden), the recent drop in oil prices has come to stay, thanks to increased production and stronger, as shown in his latest work.
On the other hand, advances in horizontal drilling and fracking can also be applied to conventional oil extraction. Several oil basins in the US and other countries are applying these techniques to extract the conventions resources, reduce cost and increase production.
No doubt this new way of extracting oil ‘lifetime’ will be known with the revolution of conventional oil: “We assume that if conventional oil in the world is able to benefit from the techniques applied in the shale and fracking, as US has done, production will increase by another 20 million barrels a day by 2035 “, sentenced these two teachers. That is, by 2035 production could be 40 million barrels per day, which would mean a daily world production of about 135 million barrels.
“These production increases are required to produce a strong pressure on prices … We estimate that by the year 2035 the barrels will be $ 60. However, a new scenario that begins to gain momentum tells us that oil could end up in the $ 40 for the year, “say these experts.
The truth is that concerns about oil scarcity has disappeared, and new techniques of production and oil extraction make us see that there is oil for many years.