Question : Shale Oil and Gas

(a) whether United States of America (USA) has turned as an exporting country after huge production of shale oil/gas and if so, the details thereof along with India’s production of shale oil and gas as compared to China and USA during the last two year’s and the current year;
(b) whether the shale oil and gas exploration policy has been finalized and the Government proposes to be included in the New Exploration and Licensing Policy and if so, the details thereof along with the salient features of the same;
(c) whether the Government has identified shale oil and gas reserves in the country and if so, the details thereof along with the names of Government/private oil companies which have discovered the said shale blocks, oil blocks/fields/company-wise;
(d) the quantum of oil and gas estimated to be available in the said reserves along with the status of on-going projects for exploration of shale oil and gas and fund allocated/utilized, oil blocks/fields/company-wise;
(e) the concrete steps taken by the Government to start production in existing shale oil and gas blocks which are found during the recent years; and
(f) whether the Government has conducted any study to find out its impact on environment and if so, the details thereof and if not, the reasons thereof?

MINISTER OF STATE (I/C) IN THE MINISTRY OF PETROLEUM & NATURAL GAS
(SHRI DHARMENDRA PRADHAN)
(a): In India, Shale gas is still in exploration stage.
US & China Shale Gas Production in Billion Cubic Meter (BCM) are as under:-
(compiled from Internet)
Year
China
US
2013
0.2
323
2014
1.3
381
Figures for the year 2015 not available
In 2014 US was producing tight oil about 4 million barrel per day from shale formation.
(Source: China Figures http://en.cgs.gov.cn/new1/144403.htm)
(Source: US Figures http://www.eia.gov/dnav/ng/ng_prod_shalegas_s1_a.htm) (b): In order to exploit shale gas & Oil in the country, Government of India on 14th October, 2013 announced the Policy Guidelines for Exploration and Exploitation of Shale Gas and Oil by National Oil Companies (ONGC and Oil India Limited (OIL)) in their onland Petroleum Exploration License (PEL) / Petroleum Mining Lease (PML) areas awarded under the nomination regimes. Shale gas exploration will be covered under the Uniform Licensing Policy.
(c): In pursuance of this Policy Guideline, 2013 under the first phase of assessment ONGC has identified and initiated shale gas and oil exploration activities in 50 PEL/PML areas and OIL has identified and initiated shale gas exploration activities in 6 PEL/PML areas.
(d): Different agencies have estimated the Shale gas & Oil resources of India with wide variation in estimate. In May 2013, US Energy Information Administration (US Department of Energy) in association with Advanced Resources International, INC estimated a total of 16.54 Trillion Cubic Meter (TCM) of shale gas in-place for India. The technically recoverable shale gas resource is estimated at 2.72 TCM in India. In addition, it was estimated that shale oil in-place for India 87 billion barrels. The technically recoverable shale oil resource is estimated at 3.8 billion barrels for India.
Government of India has not allocated any fund for these projects. However, after announcement of policy guidelines for Shale gas and Oil Exploration in Nomination blocks ONGC has allocated a sum of Rs. 220.89 Crore for the year 2015-16. Out of this total investment made by ONGC is Rs.159.46 Crore upto 30.09.2015.
OIL has allocated a sum of Rs. 13.55 Crore for year 2015-16. Out of this Rs.1.15 Crore has been spent by OIL so far on G&G studies.
(e): In India, Shale gas is still in exploration stage. Presently, ONGC is carrying out Shale Gas and Oil exploration activities in Cambay, Cauvery, Krishna-Godavari and Assam and Arakan Basins. Oil India Ltd. is carrying out Shale Gas and Oil exploration activities in Assam and Rajasthan basins.
So far ONGC has drilled 17 assessment wells for Shale gas and oil and one well is under testing and has shown some positive indication of shale oil. OIL is carrying out data collection and G&G studies for the well location.
(f): As per Policy Guidelines, 2013 the Company shall be responsible for all activities related to Health, Safety and Environment (HSE) and site restoration in respect of Shale Gas and Oil operations in line with guidelines/rules stipulated by Ministry of Petroleum and Natural Gas, Ministry of Environment and Forest or by any statutory authority from time to time.
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