Today commercial use of shale gas began in Australia. The gas and oil company Stanos announced that their Moomba-191 well was connected to a main gas grid for the first time this morning. Santos has described the connection as a ‘historic milestone’ for the Australian resources industry.
The use of shale gas has proved a huge success in the US, which many are hoping will be replicated throughout the world.
US production of shale gas has continually increased since its introduction to the market. Production has now overtaken coal seam gas extraction, lowered energy prices and most recently been the biggest cause in the cut of carbon dioxide emissions in the US.
The UK shale gas industry has the potential to create thousands of jobs, 4,000 a year over a ten year drilling programme according to the Institution of Mechanical Engineers. In their Shale Gas policy statement the Institution also said the jobs created would help rebalance the UK’s economy and give a boost to some of the regions hit hardest by the recession.
UK energy experts have warned the introduction of shale gas won’t have the same effect as in the US, and is unlikely to have any major impact on energy prices. A balanced energy strategy is needed to stop over-reliance, with renewables, nuclear and fossil fuels all in the energy mix.