Recent headlines are trumpeting the global promise of shale gas, while closer to home, the “big boys” are jumping into the shale pool with both feet. And their efforts are finding endorsement. None other than Ernest J. Moniz, director of MIT Energy Initiative, declared, “Much has been said about natural gas as a bridge to a low-carbon future, with little underlying analysis to back up this contention. The analysis in our study provides this confirmation – natural gas truly is a bridge to a low-carbon future.”

A voice cries in the wilderness
In an article in the Wall Street Journal, Houston’s own Amy Myers Jaffe foretold that in her well-researched opinion, shale gas is poised to rock the world. Strong words, even from a petroleum optimist. Yet Jaffe, as always, has done her homework.

There are still plenty of detractors who maintain that shale plays simply are the “fad-du-jour,” capturing the imagination of a few bold independents, but certainly nothing to get excited about. But facts are facts. And the facts that purportedly will tilt this old globe on its axis are formidable. Natural gas is both abundant and economical. Natural gas emits half the carbon of coal for the same number of Btus of energy. Natural gas has the potential to defang the foreign oil cartel that has attempted to hold America hostage for years. Natural gas is not uniquely American, so other energy-starved countries can look for the prize in their own backyards – countries like Poland, Romania, Sweden, Austria, Germany, and Ukraine, according to Jaffe. Everyone remembers the gas stranglehold Russia applied to Ukraine in the dead of winter to force its former ally to accept its terms. With widespread shale gas development, these countries and many others will not be forced to kowtow to energy blackmail again.

Interestingly, Jaffe points to China, arguing that if the country is able to develop its own domestic energy resource in the form of shale gas, it may be less beholden to the petroleum overlords on issues like human rights. The idea is that when a nation is purchasing its life blood from a bad actor, it is understandable to turn a blind eye to conditions in the vendor’s country. Seems like I have heard this argument before, only applied to America’s own insatiable thirst for illegal drugs. If we could cut off the demand, the cartels and all the coca and poppy seed growers would be out of business in a heartbeat. What a concept!

Someone is listening
Apparently, articles like Jaffe’s have not fallen on deaf ears. Another famous northeastern journal, the venerable New York Times, published a story on July 8, 2010, announcing the big boys of the business are placing their bets on the Marcellus shale. Using the opportunity to report Halliburton’s major commitment to the Pennsylvania prize in the form of a new field operations center on a 24-acre site near Williamsport, Pa., the Times developed a story on recent major shale play investments by household names here in Texas.

According to the story, the recent shift to shale gas surprised the US government, which had been resigned to importing LNG from God knows where to make up for declining supplies from our continental neighbors. After the events of the last few months, it is no surprise to me that the US government is surprised about anything. Simply tune in to C-SPAN and watch the deer-in-headlights expressions on our congressional delegates’ and administration functionaries’ faces.

While the government prefers to act on hypotheses and speculation, look at a few facts. Big Boy No. 1, who needs no further introduction, started the ball rolling with the purchase of XTO Energy Inc. for US $31 billion. Shell recently announced it would purchase East Resources Inc. for $4.7 billion. Norwegian “Krone jewel” Statoil palled up with Chesapeake Energy Corp. in a deal for $5.5 billion, and today, the companies control 1.6 million Marcellus acres. India’s giant, Reliance Industries, plunged into the pool with a $1.6 billion investment to match its partner, Atlas Energy Inc., which reportedly contributed $1.7 billion. The dominoes are falling, and despite low commodity prices, the Marcellus is starting to resemble an Oklahoma land rush.

Natural gas represents a giant step toward reduced carbon emissions and less greenhouse gas effects on our climate. If the environmental people really are serious about their cause, they could do their part to rock the world by endorsing natural gas as the fuel of the present. Endorse switching power generation to gas, along with residential heating and industrial energy use. This could have an immediate effect on our nation’s economy while starting the process of weaning us away from foreign oil. And maybe, just maybe, lead us down the path to renewable energy resources.