 
 
 
 
 In 1995, 
  the U.S. Geological Survey (USGS) made the first systematic assessment of the 
  in-place natural gas hydrate resources in the United States. That study suggested 
  that the amount of gas in the nations hydrate accumulations greatly exceeds 
  the volume of known conventional domestic gas resources. With higher natural 
  gas prices and forecasts of tight supply, new projects are pushing forward to 
  better understand the geologic, engineering and economic factors controlling 
  the ultimate energy resource potential of gas hydrates. However, gas hydrates 
  still present both scientific and technological challenges in turning them from 
  nonproducible accumulations of gas to a useable resource.
In 1995, 
  the U.S. Geological Survey (USGS) made the first systematic assessment of the 
  in-place natural gas hydrate resources in the United States. That study suggested 
  that the amount of gas in the nations hydrate accumulations greatly exceeds 
  the volume of known conventional domestic gas resources. With higher natural 
  gas prices and forecasts of tight supply, new projects are pushing forward to 
  better understand the geologic, engineering and economic factors controlling 
  the ultimate energy resource potential of gas hydrates. However, gas hydrates 
  still present both scientific and technological challenges in turning them from 
  nonproducible accumulations of gas to a useable resource. 
Resource potential 
  
  Research coring and seismic programs carried out by the Ocean Drilling Program, 
  government agencies and several industry consortia have significantly improved 
  our understanding of how gas hydrates occur in nature and have verified the 
  existence of highly concentrated gas hydrate accumulations at several locations. 
  Hydrates are found widely dispersed in permafrost regions and beneath the sea 
  in sediments of outer continental margins (see sidebar). 
  
  
  At the Mallik site in Canadas Mackenzie 
  Delta, researchers undertook the first modern, fully integrated field study 
  to test the production potential of natural gas hydrates  an ice-like 
  solid mixture of methane gas and water located beneath the permafrost, which 
  some say could represent a new energy source. Image courtesy of the Mallik 2002 
  Project.
The estimated amount of natural gas contained in the worlds gas hydrate 
  accumulations is enormous, but is speculative and ranges over three orders of 
  magnitude, from about 2,800 to 8,000,000 trillion cubic meters of gas. Alexei 
  Milkov recently reported in Geology that the volume of gas trapped globally 
  in gas hydrate accumulations is in the range of 3,000 to 5,000 trillion cubic 
  meters of gas, which is four to seven times less than some of the more widely 
  cited estimates (see sidebar). By comparison, conventional 
  natural gas accumulations (reserves and technically recoverable undiscovered 
  resources) for the world are estimated at approximately 440 trillion cubic meters, 
  as reported in the U.S. Geological Survey World Petroleum Assessment 2000. 
  
  
  Despite the enormous range in reported gas hydrate volumetric estimates, even 
  the lowest estimates seem to indicate that gas hydrates are a much greater resource 
  of natural gas than conventional accumulations. It is important to note, however, 
  that none of these assessments have predicted how much gas could actually be 
  produced from the worlds gas hydrate accumulations. Much more work is 
  needed to go beyond these in-place gas hydrate volumetric estimates to assess 
  the hydrates as an energy resource.
Extraction
  
  Gas recovery from hydrates is challenging because the gas is in a solid form, 
  and because hydrates are widely dispersed in hostile Arctic and deep marine 
  environments. Similar to conventional hydrocarbon production, the first recovery 
  of hydrate resources will occur in areas with the greatest concentration. Proposed 
  methods of gas recovery from hydrates generally deal with disassociating or 
  melting in-situ gas hydrates, by heating the reservoir beyond the 
  temperature of hydrate formation or decreasing the reservoir pressure below 
  hydrate equilibrium. Depressurization is considered to be the most economically 
  promising method for the production of natural gas from gas hydrates.
  
  The Messoyakha gas field in northern Russia is commonly used as an example of 
  a hydrocarbon accumulation from which gas has been produced from hydrates by 
  simple reservoir depressurization. The field was developed for conventional 
  gas, and scientists have long thought that the sustained gas production was 
  due to the contribution of gas from gas hydrate into an underlying free-gas 
  accumulation. The production history of the Messoyakha field possibly demonstrates 
  that gas hydrates are an immediately producible source of natural gas and that 
  production can be started and maintained by conventional methods.
Developing the unconventional 
  
  
  The pace of projects to assess gas hydrate energy potential has accelerated 
  over the past several years because of the realization that this unconventional 
  resource could be developed in conjunction with conventional gas fields. The 
  most significant development was gas hydrate production testing conducted at 
  the Mallik site in Canadas Mackenzie Delta in 2002. 
  
  The Mallik International Consortium is an international team, involving Japan, 
  Canada, the United States, India and Germany, as well as the International Continental 
  Scientific Drilling Program. Last December, the partners in the Mallik 2002 
  Gas Hydrate Production Research Well Program publicly released the results of 
  the first modern, fully integrated field study and production test of a natural 
  gas hydrate accumulation  allowing for the rational assessment of the 
  production response of a gas hydrate accumulation. Computer production simulations 
  supported by the project, including those performed by Lawrence Berkeley National 
  Laboratory, have shown that under certain geologic conditions, gas can be produced 
  from gas hydrates at very high rates, exceeding several million cubic feet of 
  gas per day.
  
  Extraordinary technological developments in the petroleum industry  3-D 
  seismic techniques, secondary recovery methods and horizontal drilling, for 
  example  have allowed the extraction of resources once thought to be unavailable. 
  Researchers often compare hydrates to coalbed gas resources, which were also 
  considered to be an unconventional and uneconomic resource in the not-too-distant 
  past. However, once geologists understood the resource, defined the reservoir 
  properties and addressed the production challenges, coalbed gas became an important 
  part of the nations energy mix. Now, coalbed gas is a viable fuel in its 
  own right and accounts for almost 10 percent of the natural gas production in 
  this country. Natural gas hydrates also may become economically extractable. 
Global efforts
  
  Past experience with the development of other unconventional energy resources 
  clearly shows that the evolution of gas hydrate into a producible source of 
  energy will require a significant and sustained research and development effort.
  
  That effort has begun in the United States with the Methane Hydrate Research 
  and Development Act of 2000, which authorizes the expenditure of $43 million 
  over five years and directs the U.S. Department of Energy (DOE), in consultation 
  with USGS, the Minerals Management Service, the National Science Foundation, 
  the Department of Defense and the Department of Commerce, to commence basic 
  and applied research to identify, explore, assess and develop methane hydrates 
  as a source of energy. 
  
  Onshore Alaska and the offshore Gulf of Mexico are proven exploration targets 
  for gas hydrates (see sidebar). There, critical drilling 
  and transportation infrastructure exists that will allow gas hydrate prospects 
  to be drilled and produced from existing installations. In the Gulf of Mexico, 
  industry has begun characterizing hydrates on their oil and gas leases. And 
  industry-government partnerships are expected to drill hydrate prospects on 
  the North Slope of Alaska in the near future. Hence, the first domestic production 
  of hydrates may occur in Alaska, where gas from onshore hydrates will either 
  support local oil and gas field operations, or be available for commercial sale, 
  if and when a gas pipeline is constructed. 
  
  Many countries other than the United States are also interested in the energy 
  resource potential of gas hydrates. Japan, Canada, India and others have established 
  large gas hydrate research and development projects, while China, Korea, Norway, 
  Mexico and others are investigating the viability of forming government-sponsored 
  gas hydrate research projects. 
  
  In 1995, the government of Japan established the first large-scale national 
  gas hydrate research program, which now plays a leading role in worldwide gas 
  hydrate research efforts. Plans for 2004 included drilling and coring between 
  10 and 20 wells in the Nankai Trough off Japans east coast, where gas 
  hydrates were recovered during previous field studies in 2000. Japan has budgeted 
  more than $65 million (US) for this years gas hydrate studies.
  
  Indias government is also funding a large national gas hydrate program 
  to meet its growing gas requirements. Seismic data have been acquired on the 
  Indian continental margin, and current plans call for drilling and coring dedicated 
  gas hydrate wells in 2005. In addition, gas hydrates were recently discovered 
  during drilling for conventional oil and gas resources in the Krishna-Godavari 
  Basin along the eastern coast of India.
  
  Despite all the projects and timelines, however, the actual timing for expected 
  commercial production of hydrates remains uncertain. DOE has estimated that 
  gas production from gas hydrates could begin around 2015. In September 2003, 
  the National Petroleum Council reported that we are not likely to see significant 
  production from gas hydrates until sometime beyond 2025. However, initial production 
  from gas hydrates will most likely occur much sooner, especially in areas such 
  as the North Slope of Alaska and Canada. While estimates vary on when (and if) 
  gas hydrate production will play a significant role in the total world energy 
  mix, it is possible that hydrates will be able to provide a sustainable supply 
  of gas for the worlds future energy needs.
  
  Although individual gas hydrate researchers often focus on issues ranging from 
  gas hydrates as a potential energy resource to a potential geologic hazard, 
  or as a possible agent of global climate change, all of these efforts are fundamentally 
  linked under our need to understand the geologic controls on these accumulations 
  in nature. 
| U.S. 
        projects under way TC | 
Collett, T.S., 1993, Natural gas hydrates of the Prudhoe Bay and Kuparuk River area, North Slope, Alaska: American Association of Petroleum Geologist Bulletin, v. 77, no. 5, p. 793-812.
Collett, T.S., 1995, Gas hydrate resources of the United States, in Gautier, D.L., et al., eds., 1995 National assessment of United States oil and gas resources on CD-ROM: U.S. Geological Survey Digital Data Series 30.
Collett, T.S., 2002, Energy resource potential of natural gas hydrates: American Association of Petroleum Geologists Bulletin, v. 86, no. 11, p. 1971-1992.
Milkov, A.V., Claypool, G.E., Lee, Y-J., Xu, W., Dickens, G.R., Borowski, W.S., and the Ocean Drilling Program Leg 204 Scientific Party, 2003, In situ methane concentrations at Hydrate Ridge, offshore Oregon: New constraints on the global gas hydrate inventory from active margins: Geology, v. 31, no. 10, p. 833-836.
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