April 20, 2024

British Company Applies for Shale Gas Fracking Permit

LONDON — Cuadrilla Resources, a private equity-backed British oil and gas company, continues to try to find a way to produce shale gas in its home country.

On Friday, the company said it was applying for a permit to hydraulically fracture an exploration well that it has drilled at Grange Hill in Lancashire in northwest England. The company hopes to be able to test the well next year. The company also said it planned to ask for permission to drill and fracture six new wells in the region.

Hydraulic fracturing, or fracking, involves pumping large amounts of liquids and sand or other material down wells to loosen up rock formations so that the oil and natural gas they contain flow out.

Cuadrilla’s efforts to pioneer shale gas production in Britain has not been without setbacks. An attempt to fracture another well in 2011 set off small tremors and led to an 18-month moratorium on fracking that was only recently lifted.

Despite tens of millions of dollars in expenditure, the company still has no production outside of a 1990s-era gas well in the same area.

The company also delayed recent plans to drill for oil in West Sussex, south of London, after discussions with environmental regulators determined that it needed additional permits.

AJ Lucas, an Australian engineering company that is one of Cuadrilla’s two main owners with Riverstone Holdings, a private equity firm based in New York, said it had invested about $74 million in the company since 2007.

Despite the costs and delays, there have been some recent upbeat omens for the company and other would-be shale gas drillers. Britain’s coalition government sees shale gas as a possible replacement for the declining production in the North Sea and is broadly supportive.

‘’There is a general recognition we should be getting on with the exploration phase,’’ Francis Egan, Cuadrilla’s chief executive, said during a recent interview.

Last month, Centrica, one of the large British utilities, agreed to pay 40 million pounds, or $60 million, in cash and 60 million pounds in financing commitments for a 25 percent share in Cuadrilla’s 1,200-square-kilometer, or about 460-square-mile, Lancashire license area.

‘’With North Sea gas reserves declining and the U.K. becoming more dependent on imported gas supplies, it is important that we look for opportunities to develop domestic gas resources,’’ Centrica said.

In addition, a recent study by the British Geological Survey, a research group, estimated that there could be a large amount of shale gas — 1,300 trillion cubic feet, or 37 trillion cubic meters — below the region in central England where Cuadrilla has its main licenses. Britain’s current natural gas reserves are about 8.7 trillion cubic feet.

But until companies are permitted to drill and test extensively, how much of the gas, if any, is commercially recoverable will not be known.

Michael Stephenson, a geologist at the geological survey, said that the British formation most closely resembled the Barnett shale, a formation in the Dallas-Fort Worth area of Texas that is one of the main shale gas producers in the United States. Mr. Stephenson said that while the Barnett shale appeared to be almost entirely formed of dead marine organisms from an ancient seabed, the British shale, which is known as the Bowland shale, has more terrestrial content like pieces of plants and wood.

‘’This will probably have some effect on the quality of the gas,’’ he said, meaning that it may not flow as well.

In general, major companies like BP and Royal Dutch Shell have played a waiting game about the shale gas situation in Britain, preferring to have others take the risk as well as bear the intense scrutiny that drilling on land in Britain attracts.

‘’People won’t drill unless they understand the potential, and they won’t understand the potential unless they drill,’’ Mr. Stephenson said.

Cuadrilla is the exception. Along with others in the industry, it is now offering incentives to local communities where it wants to drill.

It says that it will pay 100,000 pounds, or about $151,000, for each well site and share 1 percent of the revenues. The company estimates that could be as much as 1.4 billion pounds, or $2.1 billion, of shale gas in Lancashire.

Article source: http://www.nytimes.com/2013/07/06/business/global/british-company-applies-for-shale-gas-fracking-permit.html?partner=rss&emc=rss

Prototype: Inventions Offer Tools to Endure Future Disasters

The experience also provided a creative incentive for Mr. Tanaka, an inventor who is president of Cosmo Power, a Japanese engineering company: It “spurred me to work hard to complete Noah,” he says.

“Noah” is Mr. Tanaka’s version of a modern-day ark, and his answer to the possibility of another deadly tsunami. A bright yellow globe four feet in diameter — picture a giant tennis ball — Noah is made of fiber-reinforced plastic that can withstand blows from a sledgehammer. Up to four people can fit inside the pod, which automatically rights itself in water and can survive a drop of 33 feet.

Mr. Tanaka designed his pod as a “temporary refuge,” he said, so that in a tsunami, people can get inside and be carried along by the water for one or two hours, until help arrives. Small air ducts make it possible to breathe, and there is a small window to see outside. 

The product is already on the market — it retails for about $3,800. Mr. Tanaka says he has orders from Japanese customers for more than 1,000 pods, some of which have already been delivered.

As the saying goes, necessity is the mother of invention. But so, apparently, is anticipation of possible necessity. The tragedy that people witnessed last year in Japan, combined with inadequacies in the country’s disaster preparedness system, spurred some of Japan’s greatest minds to come up with innovations to deal with future natural catastrophes.

Some of these inventions weren’t created from scratch. They were tailored from already-made products, so the process was much quicker and cheaper. The inspiration for Noah came from a product Mr. Tanaka developed three years ago to protect people if their house collapsed in an earthquake. But that unit was hemispherical and wasn’t intended to be submerged in water.

“So I redid it as a complete sphere, strengthened the water tightness and made Noah able to withstand a tsunami,” Mr. Tanaka says. He hopes that Noah will become a standard safety item in Japanese households.

“It is simple for anyone to have a Noah,” he says, “and I want as many people as possible to have one.”

Yoshiyuki Sankai, an engineering professor at University of Tsukuba near Tokyo, was similarly inspired to update one of his inventions after the tsunami. In his case, he transformed his Hybrid Assistive Limb, or HAL — a lower-body, robotic exoskeleton — so it could assist people working at radiation sites.

The original HAL, introduced in 2008, helps patients who can’t walk by monitoring the signals sent from their brains to their muscles. Sensors in HAL pick up these signals and then, essentially, walk for the person. The robot suit has been commercialized and is leased by hospitals and wellness centers in Japan.

Dr. Sankai was already working on other uses for HAL when he received a call last summer from a company involved in the cleanup of the Fukushima Daiichi nuclear power plant, the site of the nuclear disaster resulting from the tsunami. Could HAL assist workers who had to wear incredibly heavy, anti-radiation tungsten vests at the site?

Less than three months later, Dr. Sankai had his answer: yes. “The principle behind the two suits is the same,” he said of the versions of HAL, describing the philosophical mission as “supporting and expanding the human ability.”

But in the new model, an upper-body frame supports the tungsten plates, which can weigh up to 132 pounds. Without that support, it would be hard for individuals to work in the suit for long stretches of time. “So now the worker doesn’t feel any weight,” he said.

The new HAL has received a patent but is still in the prototype stage and is being tested. Dr. Sankai says it will take an additional six or seven months of development before it’s ready for commercial use.

THE tsunami is not the only recent disaster to inspire technological tinkering. After witnessing the effects of the earthquake and tsunami on Thailand in late 2004, Hidei Kimura was disturbed by the communications breakdown in the area.

“Due to heavy traffic, mobile phones were no use,” he says. “There was no way to access emergency information.” (This observation was reconfirmed last year during the Japanese tsunami.)

As chief executive of Burton Inc., a Japanese company that specializes in 3-D displays, Mr. Kimura had an idea: “If textual information could be drawn in midair” — without a need for a screen — “far more people could see it and have access to valuable information,” he says.

Mr. Kimura says that the concept was based on common sense, but that “no such device existed” at the time. So it became his mission to create a large-scale, 3-D display that could be used to broadcast messages in the air during a disaster.

The result is Aerial 3D, which uses laser beams to create text out of tiny, luminous dots. The technology is now available to rent through Burton, though it is still being improved. At this point, the projected images can be no more than 16 feet high and 16 feet wide, but by year-end those dimensions should double.

As for the advantage of 3-D, “a lot of people can actually see it,” Mr. Kimura says. “If it’s only 2-D, you can only see it from one direction.”

Practical use aside, he says, people are intrigued by his creation on a less serious level: “They say it’s just like ‘Star Wars.’ ”

E-mail: proto@nytimes.com.

Article source: http://www.nytimes.com/2012/01/22/business/inventions-offer-tools-to-endure-future-disasters.html?partner=rss&emc=rss