Energy’s Grand Challenges

Why there isn’t an easy solution

Source: US Energy Information Administration

Today’s Energy 85.5 % = fossil fuels (oil, gas, coal) 14.5 % = nuclear and all other

sources

By 2025 87 % = fossil fuels (oil, gas, coal) 13 %= nuclear and all other

sources

World demand for energy expands 45% by 2030

Source: IEA World Energy Outlook 2008

Challenge: bridge supply limitations with 24-hour demand for electricity worldwide

Image Credit: NASA

1970s: Photo from space - glow from electric lights at night.

Challenge: bridge supply limitations with 24-hour demand for electricity worldwide

Streamline electricity grid for efficiency Develop wind and solar storage systems for peak use. Continue “clean coal” technology advancements Increase use of natural gas

Image Credit: NASA

2005: Photo from space - glow from electric lights at night.

Challenge: Develop new technologies and cultural habits.

Modernize electricity grid Develop and use more efficient

transportation energy (i.e. hybrids, electric cars, hydrogen, natural gas, algae-based fuels)

Redesign homes and buildings Use less!

Challenge: Develop new technologies and cultural habits

Engineers use complex computer simulation models for design

U.S. consumes 19.5 million barrels of oil per day

U.S. produces 8.5 million barrels of oil per day

How important is oil?

Artificial HeartsAspirinBalloonsBandagesBlendersCamerasCandlesCD PlayersClothingCDs/DVDsComputersContainersCrayonsCredit CardsDentures

DeodorantDigital ClocksDyesFertilizersFood PreservativesFootballsFurnitureGarbage BagsGlassesGlueGolf BallsHair DryersHang GlidersHouse PaintInk

InsecticidesLife JacketsLipstickLuggageMedical EquipmentMedicinesMP3 PlayersPantyhosePatio ScreensPerfumesPhotographic FilmPhotographsPiano KeysRoller BladesRoofing

You can kiss lipstick good-bye.

ShampooShaving Cream Soft Contact LensesSurfboardsTelephonesTentsToothpasteToysUmbrellas

How valuable is petroleum?

Enough energy to heat 80 million homes

382 million gallons of gasoline to service stations, enabling 200 million drivers to get to work, take their kids to school, and take vacations-- traveling 7.5 billion road miles every day

67 million gallons to airport terminals, enabling 30,000 flights to travel around the world

Source: API Energytomorrow.org

In one day, the oil and gas industry delivers

ExplorationExplorationAppraisalAppraisal ProductionProduction

Refining and MarketingRefining and Marketing

The search for oil and gas

Where we find oil: porous rock

Hydrocarbon Traps

Images courtesy of http://www.planete-energies.com

Challenge: getting the oil out

Today, we can access hydrocarbons trapped in rocks with smaller, complex pores using horizontal drilling

Challenge: large oilfields increasingly difficult to find.

Seismic technology advances Breakthroughs in computer processing

power and data management needed Offshore deepwater exploration

Seismic Reflections

Challenge: getting the oil out

Deepwater DrillingThe Deepwater Pathfinder drillship (shown) can drill in water depths up to 10,000 feet

Dynamic-Positioning - Small thrusters and global positioning keep it stable, shifting less than 50 feet in any direction.

Offshore Rig

A deepwater project will:

Take many years to complete

Cost almost $1 billion USD

Employ 2000 people

Bring 50,000 barrels of oil per

day to market

Production Systems

Safety and Environmental Protection are Critical!Deepwater Horizon

There has not been an offshore accident of this magnitude in the US since the late 1960s.

2009 Analysis of U.S. Oil Spillage - API

Challenge: Recruiting the next generation of engineers and scientists

Engineering Petroleum, Chemical,

Mechanical, Others

Geoscience Geology, Geophysics

Sciences All basic sciences -

research

Business Finance, HR,

Management

Energy’s Grand Challenges

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