Technology Advancement Has Increased Natural Gas Supply

There is a huge demand for this unavoidable energy source

, as it has become a part of every one's life. The United States has Natural gas in abundance and this fossil fuel is considered as the backbone of the U.S economy. Natural gas from unconventional reserves can be extracted with the help of improved technology. A common misconception is that we are running out of Natural gas reserves but there are many unexplored areas due to various economic and political factors. Exploring and extracting Natural gas is not an easy task as it involves manpower and huge capital investment. To increase the Natural gas supply new drilling techniques that are less expensive can be adopted which in turn will increase the production and consumption of Natural gas.

Natural gas supply is affected by various factors. There are chances of production getting disrupted if skilled workers are not available. Manpower is essential and without skilled laborers equipment cannot be used for extracting Natural gas and operating the various heavy machines. Before production of Natural gas can actually take place, various time consuming activities are involved which include exploring the reserves, drilling the wells and extracting Natural gas. To set up drilling equipment after locating a particular reserve, approval from the government is required as most of the lands are under its control. Completing these various processes and then proceeding with production part may take months or years. This again affects Natural gas supply.

There are various lands under the control of the United States government where Natural gas still remains undiscovered. The government restricts access to these lands. This curtails the production and Natural gas supply. During the year 1999, Natural gas estimates in these restricted areas were 213 trillion cubic feet. Sometimes hurricanes can affect the production of Natural gas on offshore areas. To ensure safety, drilling and other activities are stopped temporarily which disrupt the production level leading to a fall in Natural gas supply. Delivery of Natural gas can get affected due to accidents, malfunctions in pipelines and so on.

Another major factor affecting the Natural gas supply is the pipeline infrastructure. Natural gas needs to be transported from the production center to the consumption center. The increasing demand for Natural gas has induced the need for expanding the pipeline infrastructure. There is a restriction on the amount of Natural gas that can be transported daily. The daily delivery capacity of this fossil fuel accounts for 119 Bcf. The privately owned small companies are sometimes under great pressure, as huge investment is required in order to increase production. If the companies are slow in raising enough capital required to invest in exploring reserves, drilling wells, extracting Natural gas, hiring manpower, buying drilling equipment and other necessary machines then Natural gas supply gets affected. Since Natural gas is used for various purposes in the day-to-day activities the companies have to keep pace with the growing demand.

by: Sunil Punjabi

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