Hydraulic Fracturing:Unlocking America’s Natural Gas ResourcesJuly 19, 2010

Freeing UpEnergy

Hydraulic fracturing helps free upmore energy.

Clean burning natural gas is critical toAmerican manufacturing jobs, to farmersfor fertilizer, to households for heatingand cooking, to businesses for electricityand fuel for transportation needs, and tosociety to help address climate changeconcerns because of its low carbon-content.But getting to the natural gas isn’t alwayseasy. That’s where hydraulic fracturingplays an important role in America’senergy supply.Hydraulic fracturing is a proven technologyused safely for more than 60 years inmore than a million wells. It uses waterpressure to create fissures in deepunderground shale formations thatallow oil and natural gas to flow.First used in the U.S. in 1947, the technologyhas been continuously improved uponsince that time.Recent innovations combining thistechnology with horizontal drilling inshale formations has unlocked vast newsupplies of natural gas, allowing the nationto get to the energy it needs today,andtransforming our energyfuture.Hydraulic fracturing is so important that without it, we would lose 45 percent of domestic natural gas production and 17percent of our oil production within fiveyears.

Technological innovation is opening the door toabundant new natural gas resources.

1Global Insight, “Measuring the Economic and EnergyImpacts of Proposals to Regulate Hydraulic Fracturing,”2009.

Having a new abundance of natural gas ischanging the vision of our energy future.

Although we’ve known for many yearsthat natural gas was trapped in hard densedeposits of shale formed from ancientsea basins millions of years ago, we didnot have the technology to access theseresources economically until recently.As a result, previously uneconomicnatural gas resources are now availablefor exploration and development.In the last five years, natural gas reservesgrew 30 percent and in the last few yearsalone we have increased onshore naturalgas production by more than 20 percent –an accomplishment that most energyexperts thought impossible a few yearsago.Shale gas “plays” are found throughoutthe Mountain West, the South andthroughout the Northeast’s AppalachianBasin. These plays are geographic areas where companies are actively looking fornatural gas in shale rock. The Barnettcore in Texas, for example, is 5,000square miles and provides 6 percent of U.S. natural gas. The Marcellus fairwaythat blankets Pennsylvania, New York,Ohio and West Virginia covers ten timesthe square miles of the Barnett, but hasonly recently started to be developed.

Unlocking shale gas now guarantees the U.S. more thana 100-year supply of clean-burning natural gas.

CodyGammonHilliard-Baxter-MancosMancosHermosaLewisPierreAntrimNewAlbanyFayettevilleExcello-MulkyWoodfordBarnettBendHaynesvilleBarnett-WoodfordPearsall-Eagle FordEagle FordWoodford-CaneyChattanoogaFloyd-NealConasaugaDevonian (Ohio)MarcellusUtica

Source: Energy Information Administration based on data from variouspublished studies. Updated: May 28, 2009.

Shale Gas Plays, Lower 48 States

Shale Gas PlaysBasinsShallowest/YoungestDeepest/Oldest

Stacked Plays

Mid-Depth/Mid-Age