AT: Natural GasDDI 2008 <BQ>Deutsch
2AC – CANADA
1) Non-unique Demand satisfied now
, a freelance writer who has written for many business publications,
/08, “Pa. invites bids for leases on possible gasfield,” Reuters, http://uk.reuters.com/article/oilRpt/idUKN1447555220080714
Pennsylvania officials on Monday invited bids to lease land atop a geological formation that may hold enough natural gasto meet total U.S. demand for two years
.The state's Department of Conservation and Natural Resources said it will hold a lease sale from pre-qualified bidders for 18 tractsof state forest totaling some 74,000 acres in two north-central Pennsylvania counties. The bidding will be open until Sept. 2.
The tracts sit over the Marcellus Shale formation, a natural feature about a mile deep that has been known about for yearsbut which has only recently been suspected of containing massive quantities of natural gas
.The formation, which stretches some 600 miles between western New York State and West Virginia, could contain as much as 50trillion cubic feet of recoverable natural gas, or enough to supply the entire U.S. for two years, at a wellhead value of $1 trillion,according to website geology.com.The recoverable quantity may represent about a tenth of the total gas in the formation, some scientists believe.The estimates came from Pennsylvania State University geoscience professor Terry Englander and New York State Universitygeology professor Gary Lash, the website said."Given the enormity of the nation's energy demand,
making less than an addition 4 percent of our state forest available fordrilling is a reasonable decision that protects our forest ecosystem and helps meet energy demands
," DCNR Secretary
Michael DiBerardinis said in a statement."
This lease sale responds to increased interest in the Marcellus Shale formation, a deep resource thought to contain largequantities of natural gas," the department's statement said. It noted that new technology and increased natural gas priceshave made it possible to recover hard-to-reach fuel
2) Non-Unique Demand low now
, correspondent of Dow Jones Newswires,
/08, Reportonbuisiness.com, “With prices high, B.C. gas is hot,”http://www.theglobeandmail.com/servlet/story/LAC.20080715.RSHELLBC15/TPStory/BusinessWhile
B.C. contains huge amounts of natural gas
, those assets are mostly locked in tight formations of shale rock that preventthe gas from flowing freely into wells
. Recent technological breakthroughs allow the shale to be fractured more easily,enabling the gas to be extracted
As a result,
companies such as Duvernay,
holds tracts of land in the Montney that could contain over one trillioncubic feet of gas
, have seen their share price double over the past twelve months.
Montney is estimated to hold 50 trillion cubicfeet of reserves - more than in all of Alberta
.While Duvernay was keen to continue developing its assets and wasn't looking to sell, Shell approached the company in July withits offer and negotiations proceeded smoothly from that point, Duvernay CEO Mr. Rose said in an interview. "
Shell were reallyinterested in us
3) A decrease in demand would allow Canada to fill its empty reserves-4) Canadian production would not decrease because of the NAFTAproportionality clause5) Canada would stop development of the non-economical northern tar pits inreponse to a decrease in demand