FRACKMAN – trailer released of Australian movie on Fracking


A sober peek at what Australians are living with and how they are dealing with the oil and gas industry.

SA has an opportunity to stop this in its tracks.

Please share this with anyone that you know – especially farmers and land-owners in the Karoo.

TIME IS SHORT!

http://on.fb.me/1DM567r

 

SA fracking call in global media


The call for a moratorium on fracking in SA has been picked up by the international press. Reuters, Bloomberg, Kuwait, Forbes and Petro Global News, amongst others, have picked up and reported on the story.

Anti-fracking groups threaten South Africa exploration
Image courtesy of RT via YouTube

Anti-fracking groups threaten South Africa exploration

South African anti-fracking groups are threatening a preemptive injunction against exploratory drilling if the nation’s government does not place a moratorium on exploration licenses for the desert region of Karoo within 30 days, Reuters reported.

Last year, Royal Dutch Shell applied for an exploration license covering more than 95,000 square kilometers (59,000 square miles), almost a quarter of the Karoo.

The U.S. Energy Information Administration (EIA) estimates that South Africa has about 390 trillion cubic meters (13.77 trillion cubic feet) of technically recoverable reserves.

Shell has three pending exploration license applications, and Falcon Oil and Gas Ltd. and Bundu Gas & Oil each have one, according to the EIA.

In 2012, Chevron signed a five-year deal with Falcon Oil to explore the southern Karoo Basin.

Anti-fracking lobby seeks new moratorium, keeps legal powder dry


http://bit.ly/1wYGYb4

Anti-fracking lobby seeks new moratorium, keeps legal powder dry

22nd July 2014

Anti-fracking lobby group Treasure the Karoo Action Group (TKAG) and social rights group AfriForum hand delivered a letter to President Jacob Zuma this week calling on him to declare a fresh moratorium on hydraulic fracturing in South Africa, or face possible legal action.

TKAG CEO Jonathan Deal reported on Tuesday that the letter questioned government’s apparent willingness to proceed with the processing of exploration applications despite having failed to address several outstanding concerns that had been raised by fracking opponents over the past three-and-a-half years.

In his State of the Nation address on June 17, Zuma described shale energy as a “game changer” and said that the “the shale-gas option” would be pursued “within the framework of our good environmental laws”.

Subsequently, Shell’s Bonang Mohale urged government to accelerate the licensing process, warning that South Africa ran the risk of missing out on the shale-gas boom as it had with the commodity boom.

Untested estimates indicated that South Africa could have more than 300-trillion cubic feet of shale gas in the Karoo basin, which proponents believe should be exploited to help the country diversify its coal-heavy electricity mix and even, potentially, to produce transport fuels.

However, Deal said the alliance against fracking – which was led by TKAG and AfriForum, but also embraced civil society, labour and religious groups – felt there were at least five outstanding issues that had to be address before South Africa could consider proceeding.

The first, and most important, related to public consultation, which AfriForum’s head of environmental affairs Julius Kleynhans argued had been entirely inadequate to date.

However, the draft fracking regulations outlined in 2013 were also said to be “flawed”, with no indication yet given as to whether the final regulations would take account of public submissions – the alliance against fracking’s own submission ran to over 300 pages.

Thirdly, concerns lingered over the composition of the task team assembled by the Department of Mineral Resources to finalise the framework under which shale-gas exploration and development could proceed. Deal argued that a new task team should be assembled that included individuals who were more critical of fracking and its potential benefits.

Opponents also had serious misgivings about the quality of the environmental management plans that had been submitted by potential shale-gas miners. They also felt that the precautionary principle should remain in place until outstanding scientific questions were adequately answered.

There was a “golden opportunity”, Deal argued, for government to restart the consultation process, the length of the previous consultation should not be confused with a credible process.

Deal said he had been heartened by Mineral Resources Minister Ngoako Ramatlhodi’s indication that he was willing to engage with the TKAG. However, neither he nor Kleynhans had received a formal approach from the Minister.

The alliance, which signed off its letter to Zuma with the words “in good faith”, said it hoped to receive a positive response from government to its “non-litigious” overture within the coming 30 days.

Should no response emerge, however, preparations would be made to take “legal steps”, the first of which was likely to be triggered should government grant an exploration licence to any of the current applicants.

Kleynhans indicated that AfriForum already had the financial wherewithal to take the matter legal and that it was convinced that there would be others willing to join the alliance in what threatened to become an expensive and drawn out legal battle.

“Our letter presents government with a valuable opportunity to address fatal flaws in its approach to shale-gas mining without the need for enormously expensive and embarrassing litigation from the citizens of South Africa,” Deal said.

But he likened the current approach to agreeing to “get on a plane where we don’t even know if the pilot has a licence, or if the plane has been serviced”.

“This is not about bunny hugging and we wouldn’t have the effrontery to talk about stars and birds and bees and rabbits when this country needs energy and it needs employment,” Deal stressed, adding that the debate needed to centre on economics and the science.

Deal also embraced the Economic Freedom Fighters (EFF) recent opposition to fracking, which drew a wry smile from Kleynhans, who admitted that AfriForum, which is known for fighting for minority Afrikaner rights, was not currently on speaking terms with JuliusMalema’s party.

“[The EFF] have indicated that they are going against [fracking], but obviously they have their own political motives . . . if they can put a piece of paper in front of us, we will definitely read through it and see what they have to say.”

Deal was more enthusiastic about the EFF’s potential involvement saying: “I’m not a political animal at all and I’ve had to learn politics fairly quickly in the last three-and-a-half years. But one thing I would say for Julius Malema is that, if he has an opinion, he’s not scared to make it known and not scared to stand up for it – and I admire that in him”.

Edited by: Creamer Media Reporter

Falcon Gas CEO may be too hasty for SA shale gas – TKAG


News from BLOOMBERG is that

(http://bit.ly/FalconShalegas)

Falcon Oil CEO Expects South Africa Shale Permit in Second Half

After unsuccessfully trying to have a response published by BLOOMBERG, TKAG posts it’s views on Falcon CEO’s SA wish list.

Here is the article by Bloomberg: TKAG response below.

Falcon Oil & Gas Ltd. expects to be awarded a permit to start exploration at its shale plot in the Karoo basin in South Africa in the second half of the year after technical regulations are published.

“Our focus will be South Africa over the next 12 months,” Chief Executive Officer Philip O’Quigley said in an interview. The Dublin-based company, which signed a five-year exclusive co-operation agreement with Chevron Corp. in 2012, may sell a stake in the asset following the approval.

The Karoo basin in the southern part of the country may have 390 trillion cubic feet of technically recoverable gas, making it the world’s eighth-biggest shale-gas deposit, according to the U.S. EnergyInformation Administration. Falcon holds 7.5 million acres, according to a company presentation.

“The development of an upstream oil and gas industry will be a focus during the next five years,” Mineral Resources Minister Ngoako Ramatlhodi told a lawmakers committee in Cape Town on July 8. “We want to unlock investment as quickly as possible.”

South Africa has published draft regulations for the shale gas industry, which require drillers to meet American Petroleum Institute standards governing the type of equipment used and the disclosure of chemicals. Final rules are due to be issued in the next few months.

Earlier in the year, parliament approved separate legislation which will grant the government the right to take a 20 percent free stake in all new oil and gas projects and acquire a further unspecified share at an agreed price. President Jacob Zuma was asked to hold off on signing the law pending a review by a ministerial committee that will aim to ensure the law doesn’t discourage investment, Ramatlhodi said.

“We are delighted the government wants oil and shale gas exploration to start as soon as possible,” O’Quigley said.

Falcon has assets in the Beetaloo basin in Australia, where it’s planning to drill three wells this year, and in Hungary, where it’s looking for a company to further develop the license.

To contact the reporters on this story: Nidaa Bakhsh in London at nbakhsh@bloomberg.net; Mike Cohen in Cape Town at mcohen21@bloomberg.net

To contact the editors responsible for this story: Will Kennedy at wkennedy3@bloomberg.net Alex Devine, Indranil Ghosh

_______________________________________

TKAG RESPONSE:

An open letter to Mr. Philip O’Quigley –

Chief Executive Officer of Falcon Oil and Gas Ltd.

July 14 2014

Dear Mr. O’Quigley,

I have read in the press (Bloomberg July 11 2014) of your company’s anticipation that it will receive a permit from the South African government to commence exploration in the unique and sensitive Karoo basin ‘in the second half of the year’ and following the publishing of technical regulations.

TKAG has communicated with your venture partner, Chevron Corporation with regard to its involvement in this Karoo acreage, and in August of 2013 suggested that Chevron may wish to invest some time in reviewing the Environmental Management Plan (EMP) submitted by Falcon in 2011 to the Petroleum Agency of Southern Africa. TKAG and our alliance partners remain shocked and dismayed at the cavalier attitude displayed by Falcon and Chevron to the introduction of shale gas mining into a uniquely sensitive area in a water-scarce country and under the spectre of a plethora of unresolved issues standing between your company and a permit to commence exploration and possibly full production via fracking in South Africa.

Mr. O’Quigley, it is my obligation and duty to inform you that the issue of a permit to your company to commence exploration in South Africa for shale gas may be somewhat further away than you have publicly anticipated. I might add too that even should you have the permit to hand in the next five months, it may be far longer than that, before your company starts breaking ground in the Karoo, if ever. In essence, just because Falcon, Chevron et al are fracking elsewhere in the world doesn’t mean that you will succeed in bringing shale mining here.

TKAG and its alliance partners are not opposed to responsible and sustainable development of natural resources for the present and future benefit of South Africans. We will not submit to the imposition of a technology such as this under the current circumstances in South Africa – circumstances of which Falcon and Chevron are fully aware and which will militate against the commencement of this process in South Africa.

We invite you to send a representative to a press conference in Sandton, Johannesburg on July 22nd at which TKAG and its alliance partner, AfriForum will reveal a significant development in the shale gas debate in South Africa.

Yours sincerely,

Jonathan Deal

CEO

 

AfriForum and TKAG to reveal SA Shale gas development


MEDIA ADVICE

 17 July 2014

AfriForum and TKAG will reveal the contents and nature of an engagement with the State concerning shale gas mining (fracking) and specifically the recent announcements of President Jacob Zuma in this regard.
This will take place at a press conference at Sandton Convention Centre, 161 Maude Street Sandton, 2196 at 10h30 on Tuesday July 22nd.  Press packs will be distributed after questions from the media and this will be followed by refreshments.
If you wish to attend the briefing please respond to research@treasurethekaroo.co.za with the words ‘Will attend 22 July’ in the subject line. If you require an embargoed copy of the press statement and supporting documents please write to research@treasurethekaroo.co.za.
For more detail or to request a copy of the release and supporting documents after the press conference is concluded, please contact Jeanie Le Roux on 072-959-1818 or research@treasurethekaroo.co.za

ENDS/

Jonathan Deal CEO: Treasure the Karoo Action Group |  Landline: 023-358-9903 | Cell 076-838-5150 |

E-mail: jonathan.deal@treasurethekaroo.co.za

 

Oil industry mouthpiece, RIGZONE speculates on SA fracking


An online article July 8, by oil and gas industry mouthpiece RIGZONE proclaims “SOUTH AFRICA EDGES CLOSER TO KAROO SHALE GAS DEVELOPMENT” Peppered with inaccuracies, and drawing on phrases like ‘rolling blackouts in South Africa in May of this year’, the article regurgitates the industry speculation that we have heard in this country since January 2011. Here is the article. My reply to RIGZONE on their own online comment section may not be published, and is set out underneath the RIGZONE article.


A Rigzone nonsense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

I believe that the article is poorly researched, and as one would expect biased towards the oil and gas industry that supports your publication. As proof, I mention just one point that jumps out of the text. ‘300 000 to 700 000 jobs over 25 years. (485tcf)’ Anyone who has done their homework knows that South African scientists long ago reduced that figure from 485 to 40tcf – so any estimates based on 485 are irrelevant – much like the industry hype and speculation over Monterey. No Sir, those backing shale mining in SA may feel that it is edging closer, but actually the news on shale gas globally is not good and is building a strong body of evidence against SA moving ahead under the current circumstances. Jonathan Deal, CEO, Treasure Karoo Action Group, South Africa.

B Rigzone nonsense-1

Cuadrilla’s consultant’s hype over California shale turns out to be hot air


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Write-down of two-thirds of US shale oil explodes fracking myth

Industry’s over-inflated reserve estimates are unravelling, and with it the ‘American dream’ of oil independence
An oil field over the Monterey shale formation in California

An oil field over the Monterey shale formation in California: 96% reserve downgrade undermines claims that fracking is solution to the world’s energy needs. Photograph: David McNew/Getty Images

Next month, the US Energy Information Administration (EIA) will publish a new estimate of US shale deposits set to deal a death-blow to industry hype about a new golden era of US energy independence by fracking unconventional oil and gas.

EIA officials told the Los Angeles Times that previous estimates of recoverable oil in the Monterey shale reserves in California of about 15.4 billion barrels were vastly overstated. The revised estimate, they said, will slash this amount by 96% to a puny 600 million barrels of oil.

The Monterey formation, previously believed to contain more than double the amount of oil estimated at the Bakken shale in North Dakota, and five times larger than the Eagle Ford shale in South Texas, was slated to add up to 2.8 million jobs by 2020 and boost government tax revenues by $24.6 billion a year.

Industry lobbyists have for long highlighted the Monterey shale reserves as the big game-changer for US oil and gas production. Nick Grealy, who runs the consultancy No Hot Air which is funded by “gas and associated companies”, and includes the UK’s most high-profile shale gas fracker Cuadrilla among its clientspredicted last year that:

“… the star of the North American show is barely on most people’s radar screens. California shale will… reinvigorate the Golden State’s economy over the next two to three years.”

This sort of hype triggered “a speculation boom among oil companies” according to the LA Times. The EIA’s original survey for the US Department of Energy published in 2011 had been contracted out to Intek Inc. That report found that the Monterey shale constituted “64 percent of the total shale oil resources” in the US.

The EIA’s revised estimate was based partly on analysis of actual output from wells where new fracking techniques had been applied. According to EIA petroleum analyst John Staub:

“From the information we’ve been able to gather, we’ve not seen evidence that oil extraction in this area is very productive using techniques like fracking… Our oil production estimates combined with a dearth of knowledge about geological differences among the oil fields led to erroneous predictions and estimates.”

The Intek Inc study for the EIA had relied largely on oil industry claims, rather than proper data. Hitesh Mohan, who authored the Intek study for the EIA, reportedly conceded that “his figures were derived from technical reports and presentations from oil companies, including Occidental Petroleum, which owns the lion’s share of oil leases in the Monterey Shale, at 1.6 million acres.” Mohan had even lifted his original estimate for the EIA to 17 billion barrels.

Geoscientist David Hughes, who worked for the Geological Survey of Canada for 32 years, said:

“The oil had always been a statistical fantasy. Left out of all the hoopla was the fact that the EIA’s estimate was little more than a back-of-the-envelope calculation.”

Last year, the Post Carbon Institute (PCI) published Hughes’ study,Drilling California: A Reality Check on the Monterey Shale, which conducted an empirical analysis of oil production data using a widely used industry database also relied on by the EIA. The report concluded that the original EIA estimate was “highly overstated,” and unlikely to lead to a “statewide economic boom…. California should consider its economic and energy future in the absence of an oil production boom.”

A spokesman for the Institute, Tod Brilliant, told me:

“Given the incredible difference between initial projections of 15 billion barrels and revisions to 600 million, does this not call into account all such global projections for tight oil?”

As I’d reported earlier in June last year, a wider PCI study by Hughes had come to similar conclusions about bullish estimates of US shale oil and gas potential, concluding that “light tight oil production in the USA will peak between 2015 and 2017, followed by a steep decline”, while shale gas production would likely peak next year. In that post, I’d pointed out previous well-documented, and alarmingly common, cases of industry over-estimates of reserve sizes which later had been questioned.

Analysts like Jeremy Leggett have said, citing exaggerated oil industry estimates, that if reserve and production reality are indeed significantly lower than industry forecasts, we could be at risk of an oil shock as early as within the next five years.

The latest revelations follow a spate of bad news for industry reassurances about the fracking boom. New research published this month has found that measured methane leaks from fracking operations were three times larger than forecasted. The US Environment Protection Agency therefore “significantly underestimates” methane emissions from fracking, by as much as a 100 to a 1,000 times according to a new Proceedings of the National Academy of Sciences study published in April.

The Associated Press also reported, citing a Government Accountability Office investigation, that the US Interior Department’s Bureau of Land Management had failed to adequately inspect thousands of oil and gas wells that are potentially high risk for water and environmental damage.

Despite the mounting evidence that the shale gas boom is heading for a bust, both economically and environmentally, both governments and industry are together pouring their eggs into a rather flimsy basket.

According to a secret trade memo obtained by the Huffington Post, the Obama administration and the European Union are pushing ahead with efforts to “expand US fracking, offshore oil drilling and natural gas exploration”, as well as exports to the EU, under the prospective Transatlantic Trade and Investment Partnership (TTIP) agreement.

Dr. Nafeez Ahmed is an international security journalist and academic. He is the author of A User’s Guide to the Crisis of Civilization: And How to Save It, and the forthcoming science fiction thriller, Zero Point. Follow him on Facebook and Twitter @nafeezahmed.