I asked The Hill’s Group what they thought of the recent USGS announcement of the 20 billion barrel Wolfcamp shale Deposit in Texas that follows below:
Release Date: November 15, 2016
This is the largest estimate of continuous oil that USGS has ever assessed in the United States.
The Wolfcamp shale in the Midland Basin portion of Texas’ Permian Basin province contains an estimated mean of 20 billion barrels of oil, 16 trillion cubic feet of associated natural gas, and 1.6 billion barrels of natural gas liquids, according to an assessment by the U.S. Geological Survey. This estimate is for continuous (unconventional) oil, and consists of undiscovered, technically recoverable resources.
The estimate of continuous oil in the Midland Basin Wolfcamp shale assessment is nearly three times larger than that of the 2013 USGS Bakken-Three Forks resource assessment, making this the largest estimated continuous oil accumulation that USGS has assessed in the United States to date.
This was The Hill’s Group Response:
“The U.S. Geological Survey assessed technically recoverable mean resources of 20 billion barrels of oil and 16 trillion….”
Yes, the magic words; “technically recoverable”. I wonder how much “technically recoverable” oil is on Mars? There may be a lot, but oil that will ever see the surface of the Martian landscape is a different matter. Those would be reserves, and at $45/ barrel there is exactly zero. The same that can be said for the Wolfcamp.
Some geologists at the USGS did some investigation (because that is what they get paid to do) and found some liquid hydrocarbons that no one could ever make money producing. The USGS team are not engineers, they are geologists, they just want to acquire knowledge about the quantity of liquid hydrocarbons in the earth’s crust. As far as they are concerned whether or not it would ever benefit the economy to extract them is beyond the point. In other words, that is not their department!
We then find this non event (just the acquisition of the zillion’th piece of scientific information) plastered all over the media. To an uniformed public it is a bonanza of wealth. Of course, in reality it is a big puddle of black goo that will never do anyone any good. Which of course the public doesn’t know.
Someone is selling snake oil, but who? Could it be the same bunch that convinced investors to part with over 1$trillion to construct an industry that produces $362 billion per year in gross sales. Which means that if they generate a 10% profit margin (which they don’t) on those sales the investor will never get their money back. They will have just transferred it to some other pocket besides theirs.
What we are dealing with is one of the biggest, best funded, sneakiest con jobs in history. We shouldn’t be surprised! It is the type of thing that one would expect to happen at the end of an era. That is, the vultures showing up to feed on the carcasses!
I asked The Hills Group if they would be interested in providing articles from time to time on the oil industry, their ETP Oil Model, oil depletion and other aspects of the energy industry. They agreed. I look forward to publishing their articles as they submit them to the SRSrocco Report site.
Lastly, if you are interested in checking out The Hill’s Group Report 67 page report, CLICK HERE.
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