Dr. Laura Nelson, VP Energy and Environment! April 28, 2010! Unconventional Fuels Conference! Update and Policy Considerations for Development!
World Marketed Energy Consumption! 678.3 Quadrillion Btu! 637.3 595.7 551.5 508.3 472.4 397.9 365.6 347.7 308.5 283.2 2010 economic downturn has dampened energy demand! Demand returns over the next 12-18 months! Global energy demand is expected to grow by 44% by 2030! Most growth will come from China and India! ~~By2006 combined energy demand was!19 % or world demand! ~~By 2030 it will be 28% of world!energy! 1980 1985 1990 1995 2000 2006 2010 2015 2020 2025 2030
World Liquids Consumption By Country and Region! Africa Non-OECD Europe and Eurasia Middle East Central and South America OECD Asia 2030 2006 OECD Europe Non-OECD Asia North America 0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 Million Barrels Per Day! Source: EIA 2006 World energy Demand; 2009 EIA Energy Prices!
Global Reserves for Conventional Crude! Crude Oil Reserves: Top 20 Countries 300.00 266.70 250.00 200.00 150.00 178.10 136.20 101.5 100.00 Oil Reserves 50.00 15.5 0.00 CIA World Factbook
Global Reserves by Region!
Oil Production BBL/Day! 12,000 10,000 8,000 6,000 Daily Oil Production 4,000 2,000 0
2006 World Demand: 85 MMBBl/day! 2006 World Supply: 84.6 MMBBl/day! 3.1 million is from unconventional options 2030 World Demand: 106.6 MMBBl/day! 2030 World Conventional Supply: 93 MMBBl/day (OPEC + non-opec)! Requires 13.4 million bbl/day from unconventional sources 5.9 million is expected from bio-fuels; 7.5 other unconventional options Greatest increase in demand growth will come from non-oecd countries; primarily China and India!
quadrillion Btu History Projections Renewables (excluding liquid biofuels Liquid fuels Liquid biofuels Coal Natural gas Nuclear Source: EIA 2010 Energy Outlook
Energy Efficiency! Renewables! Bio-fuels Coal! Natural Gas! Crude Oil! Unconventional!!resources! Oil Shale Coal to Liquids Oil Sands
U.S. Crude Oil Imports By Country! 2,500 US Crude Oil Imports (1000s Bbl/day) 2,000 1,500 1,000 Imports 500 0 CANADA MEXICO NIGERIA SAUDI ARABIA VENEZUELA ALGERIA IRAQ ANGOLA BRAZIL COLOMBIA RUSSIA KUWAIT AZERBAIJAN CONGO (BRAZZAVILL E) ECUADOR EIA December 2009
Company founded December 2006! Headquartered in Sandy, Utah, RLR is focused on unconventional fuels development! Management team comprised of leading experts on unconventional fuels! Company has:! Access to resources through SITLA oil shale leases! Patent pending technology! Completed successful field pilot test 2009! World class management team and partners! New Technology can open oil shale globally!
The Technology The EcoShale Process In-Capsule Process! Clay Liner! Closely Spaced Heat Pipes! Mined Ore / Void Volume! Gas Convection Heating! O 2 Free Atmosphere! Sloped Drainage! Low Acid! Vapor / Prompt Oil Recovery! Near Zero Fines! In-Pit Extraction! Skid Mounted Equipment!
EcoShale In-Capsule Process Overview!
Development is Sustainable! Environmental impact low emissions, no process water, rapid reclamation! Rapid reclamation as part of the process! Impermeable clay liner protects ground water Enables enterprise projects worldwide lower CAPEX and OPEX than Canadian oil sands projects!
Oil Shale Industry Considerations for Development! Mining! Standard practices with opportunities for rapid reclamation and minimized disturbance Energy! Inputs have declined substantially and are now competitive with new conventional oil production Access! In Utah, SITLA leases and Private property Need to secure access to federally managed lands Emissions! New technologies exist that are low in emissions Footprint! Ethanol production disturbs 40 times more acreage than oil shale development Water! Significant reductions in water use to an average of 1.5 bbl water for each bbl synthetic oil from both oil shale and oil sands
Summary! Sustainable, reclaimable development of US oil shale resources is achievable! There are no technological, economic or environmental show stoppers Oil shale can be commercially developed today! Oil shale development enhances the longterm prosperity of UT! Supports UT as a technology leader Development of unconventional resources is a fundamental part of US energy security!
September 2007!