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OIL AND GAS
Permian beats Bakken as top oil production shale basin
by Daniel J. Graeber
Washington (UPI) Jul 10, 2013


Turkey considering Exxon venture for shale natural gas
Ankara, Turkey (UPI) Jul 10, 2013 - Turkey is interested in exploring its shale natural gas potential through a possible joint venture with U.S. energy company Exxon Mobil, an official said.

The Turkish national oil and gas company, known by its Turkish initials TPAO, is in talks to form a joint venture with Exxon to explore shale gas. The Platts energy news service said Wednesday it was told by ministry officials in Ankara the work would extend to potential reserves in far western and southeast Turkey.

TPAO and Shell started hydraulic fracturing operations in the Dadas shale basin in southeast Turkey in 2012. Dadas is one of two shale basins in Turkey. Combined with the Thrace basin in western Turkey, the country has an estimated 162 trillion cubic feet of natural gas.

Analysis from Turkish daily newspaper Today's Zaman in January said the "only reliable" source of information about the country's shale gas potential comes from the U.S. Energy Information Administration.

Other sources, the report said, are based on "divergent information."

Turkey is working to position itself as a regional energy hub. Several countries have tried to replicate U.S. success with shale reserves, but high costs and geological complexities have complicated those efforts.

The Permian shale basin in the southern United States is the most prolific with output topping 1.3 million barrels per day, the Energy Department said.

Permian production increased 58 percent from 2007 to reach 1.35 million bpd last year, which represents 18 percent of total U.S. crude oil production.

In a review published Wednesday, the U.S. Energy Information Administration said the Permian basin has exceeded production from offshore Gulf of Mexico since 2013.

"The Permian Basin in Texas and New Mexico is the nation's most prolific oil producing area," EIA said in its profile.

Production from the Bakken reserve area in North Dakota is highlighted as helping push the United States to the top of the list of oil production nations. Bakken output reached 1 million bpd for the first time in April.

North Dakota is the No. 2 oil producer in the nation after Texas.

Permian is spread out over 75,000 square miles across Texas and New Mexico.

API publishes 'gold standard' of guidelines for communities hosting fracking
Washington (UPI) Jul 10, 2013 - The American Petroleum Institute released its first-ever set of guidelines aimed at directing community engagement where hydraulic fracturing is planned.

"API's community engagement guidelines will serve as a gold standard for good neighbor policies that address community concerns, enhance the long-term benefits of local development, and ensure a two-way conversation regarding mutual goals for community growth," API Director of Standards David Miller said in a statement Wednesday.

Hydraulic fracturing and horizontal drilling are two technologies used to produce oil and natural gas from shale deposits. Shale exploitation has led to exponential gains in U.S. oil and gas production, though the drilling processes, dubbed fracking, have been met with opposition from those concerned about the environmental drawbacks.

API said its new standards provide guidelines on how to conduct public meetings on safety and prepare communities for energy exploration in order to minimize interruptions.

API represents the business interests of more than 600 oil and natural gas companies.

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Chevron leaves Lithuanian shale venture behind
Vilnius, Lithuania (UPI) Jul 9, 2013
U.S. supermajor Chevron announced it has shut down its offices in Lithuania and sold off half of its interests in the country. "Chevron closed its office in Vilnius, Lithuania," a statement posted Tuesday on its website said. "The company has divested its 50 percent equity interest in [joint venture] LL Investicijos." In a separate statement, Swedish energy company Tethys Oil sai ... read more


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