Re: Astounding Oil Revelation

If you were in the energy business for any length of time you learn the
terminology and concepts. I give little credence to this book due to the following:

In a message dated 7/13/2004 3:13:04 AM Mountain Daylight Time,
michael.andrea.r@ukonline.co.uk writes:
> Here is the article:
>
> Huge Alaska Oil Reserves Go Unused
>
> After 30 years, an insider finally acknowledges the United States
> has all the oil and gas it needs.
>
> By Marie Gunther
>
> Williams said. "There is more pure grade oil
>
What is 'pure grade?' Oil is categorized by gravity, not pureness. I don't
know of any 'executives' who don't understand oil gravity. Even accountants and
lawyers.

said Jim Lawler, an oil production manager with
> ARCO. "Allw we need to do is
> start production."
>
This also is not the terminology of a professional. What about fracturing,
acidizing, etc., flow testing, pipelines, etc.?

> Lawler maintains that several things can be done to reduce American
> energy bills.
>
> The Alaskan pipeline can be permitted to run at full capacity. > Alaska can
also ship oil to the West Coast immediately.

ALL pipelines are RATED not permitted for volumes to transport hydrocarbons.
A foolish statement.

Alaskan oil
> is of such high grade and low sulfur content that it can be utilized
> at any refinery, without damage to the environment.
>
Actually it (sulfur) would cause damage to the refinery. Not the environment.
 

> "Currently, an estimated 4,000 barrels a day are liquefied at
> Prudhoe Bay, but government regulation controls that limit," added
> Lawler.
> Liquefying is the process by which oil sludge brought from the
> ground is pro cessed to be transported.

This sounds like a someone with a grade school education trying describe
something he has seen which he does not understand. Oil sludge sounds like
something out a cars oilpan. Their could be 'thinning' to make the product less
viscous.

> Lawler said the existing Alaskan pipe line was built to hold another
> four-foot diameter pipe above it, which could be used for natural
> gas. However, he said it "is not necessary because the Alaskan pipe
> line has never been permitted to run at full capacity."

Again, not a valid statement. Pipelines are not 'permitted'. Economics
dictate (supply and demand) flow volume in either gas or oil pipelines.

 This same situation can be multiplied in Wyoming, Texas and other
> oil-productive areas across the country. The government has imposed
> strict orders not to produce.

This is just not true. The BLM actually encourages production (at the higher
levels of the BLM) because of the revenue generated for the government and for
the BLM's budget.

>> Natural gas is readily available; Prudhoe Bay has 48 747-jet
> engines pumping one billion cubic feet of natural gas back into the
> ground 24 hours a day, 365 days a year. They have nowhere else to
> put the natural gas.

This is a foolish statement that would be ridiculed by any group energy
professionals. Reservoir pressure maintenance is not a mysterious concept. And a
bcf of gas isn't a great deal.

Regards,

Jack Jackson
Received on Tue Jul 13 14:57:44 2004