Shale gas, a type of natural gas found trapped within shale formations, is increasingly being explored in India as an alternative energy source. India’s growing energy needs and reliance on imported oil and natural gas have made shale gas a promising resource for reducing import dependence and improving energy security. Read here to learn more.
A study by the Science & Technology Ministry (October 2024) indicated significant shale gas generation potential in the eastern South Karanpura coalfield in Jharkhand.
The study, carried out by scientists from the Lucknow-based Birbal Sahni Institute of Palaeosciences (BSIP), also provides essential insights that can guide future exploration efforts in the region, contributing to energy resource development and national energy security.
What is Shale gas?
Shale gas is a form of natural gas trapped within shale formations, a type of sedimentary rock composed mainly of fine particles of silt and clay.
The gas is primarily composed of methane and is considered an unconventional resource due to the specific geological conditions required to extract it.
Unlike conventional natural gas, which is found in large pockets or reservoirs, shale gas is dispersed in tiny pores within the rock.
- Geological Formation: It is found within impermeable shale rock formations, which make extraction difficult. The gas is held in tiny pores, requiring advanced extraction methods.
- Hydraulic Fracturing (Fracking): The main technique used to extract shale is hydraulic fracturing or “fracking.” This process involves injecting water, sand, and chemicals at high pressure into the rock, creating fractures that allow the gas to flow to the surface. Fracking is combined with horizontal drilling, which allows the well to access larger areas of the gas-rich shale layer.
- Environmental Concerns:
- Water Usage: Hydraulic fracturing uses large amounts of water, which can strain local water supplies.
- Contamination: There are concerns that chemicals used in fracking could contaminate groundwater.
- Seismic Activity: The process of fracking has been linked to increased seismic activity, as the pressure used can cause small earthquakes.
- Greenhouse Gas Emissions: While shale is cleaner than coal, methane, a potent greenhouse gas, can leak during extraction and transport, undermining its environmental benefits.
Global Reserves and Production
Shale gas has transformed the energy landscape, especially in the United States, which has vast reserves.
The U.S. shale boom has made the country one of the largest producers of natural gas in the world.
Other countries, like China, Argentina, and Canada, also have significant shale gas reserves, though extraction varies due to technical, economic, and regulatory factors.
Current Status of Shale Gas in India
The Government of India has carried out studies through various national and international agencies for the identification of shale oil and gas resources in the country.
Based on the data available from conventional oil/gas exploration in the country for the last so many years, the country holds promising reserves of Shale Gas & Oil resources and the following sedimentary basins are considered prospective from a Shale oil and gas point of view:
- Cambay Basin
- Gondwana Basin
- KG Basin
- Cauvery Basin
- Indo-Gangetic Basin
- Assam & Assam-Arakan Basin
These areas are believed to contain large deposits of shale gas, though comprehensive exploration is still ongoing.
Government Policies and Exploration Efforts
The Indian government has taken several steps to encourage shale gas exploration:
- In 2013, the Ministry of Petroleum and Natural Gas allowed state-run companies like ONGC and Oil India Limited (OIL) to explore shale oil and gas.
- As per the policy, the companies have been permitted three Assessment Phases for exploration (Phase I, II & III) of 3 years. Each Phase will culminate in a development and production phase depending on the results of the Assessment Phase.
- The Hydrocarbon Exploration and Licensing Policy (HELP), introduced in 2016, provides for a unified license for exploring all forms of hydrocarbons, including Shale oil and gas. This policy is designed to attract investment and boost exploration efforts.
Significance of Shale gas for India
Shale oil and gas holds significant potential for India, primarily due to its possible role in addressing the country’s growing energy demands, enhancing energy security, and reducing its reliance on imported fuels.
Energy Security and Reduced Dependence on Imports:
- India relies heavily on imported oil and gas, with over 85% of its crude oil and nearly 50% of its natural gas coming from foreign sources.
- Developing domestic Shale oil and gas reserves could help reduce this dependency, making the country less vulnerable to fluctuations in global energy prices and geopolitics.
Economic Growth and Job Creation:
- Shale oil and gas exploration and extraction would stimulate economic activity by creating jobs in the energy sector, both directly and indirectly.
- As the shale industry develops, it could foster technological innovation, infrastructure development, and investments in the country’s energy market.
Cleaner Energy Transition:
- Natural gas is considered a cleaner-burning fuel compared to coal, which is still a major energy source in India.
- Increased shale gas production could help India transition towards cleaner energy, reducing greenhouse gas emissions and improving air quality in urban areas.
- This shift would support India’s climate goals, including its commitments under the Paris Agreement.
Diversification of Energy Sources:
- By tapping into shale gas, India can diversify its energy mix, reducing its reliance on traditional fuels like coal and oil.
- A more diversified energy portfolio is crucial for managing energy demand and supply disruptions.
Global Energy Competition:
- The development of shale gas could position India as a more competitive player in the global energy market.
- With countries like the U.S. experiencing a shale boom, India could similarly benefit from shale gas to strengthen its energy independence and competitiveness in international energy trade.
Challenges
- Geological Factors: Unlike the U.S., which has successfully tapped into its shale gas reserves, India’s geology presents challenges, such as complex shale formations and deeper reserves, making extraction more difficult.
- Water Availability: The hydraulic fracturing (fracking) process requires large amounts of water, and many shale-rich regions in India are water-stressed, posing environmental concerns.
- Environmental and Regulatory Concerns: Fracking can lead to potential environmental hazards, such as groundwater contamination and induced seismicity (earthquakes). Regulatory frameworks around shale gas exploration are still evolving in India to address these issues.
- Seismic Activity: The injection of wastewater from fracking operations into deep underground wells has been linked to induced seismicity, or human-caused earthquakes, in some regions. States like Oklahoma have experienced increased earthquake activity as a result of shale gas operations.
- Finite Resource: While shale gas is more abundant than conventional gas, it remains a finite fossil fuel. Prolonged reliance on shale gas may delay the transition to sustainable renewable energy sources like solar and wind.
- Infrastructure and Investment Costs: Extracting shale gas requires significant infrastructure investments in drilling rigs, pipelines, and processing facilities. This can increase energy production costs, particularly in regions where the necessary infrastructure is underdeveloped.
- Public Health Risks: The chemicals used in fracking fluid, along with the potential for air and water pollution, pose risks to public health. Communities near shale gas drilling sites have reported respiratory problems, skin rashes, and other health issues linked to fracking activities.
Pilot Projects
- ONGC has initiated pilot projects in the Cambay Basin and Damodar Valley Basin to assess shale gas viability.
- As per the policy guidelines, ONGC has identified and initiated exploration activities for Shale Gas & Oil in 50 nomination blocks respectively under Phase I.
- OIL has identified and initiated exploration activities for Shale Gas & Oil in 6 nomination blocks respectively under Phase I.
- Other exploratory activities are being conducted in the Krishna-Godavari and Cauvery basins.
Future Prospects
India is at an early stage in shale gas exploration compared to countries like the U.S., but its strategic focus on diversifying energy sources makes shale gas an important potential asset.
For India to fully realize the benefits of its shale gas reserves, the government will need to enhance exploration, improve infrastructure, and address environmental and regulatory challenges.
This would be critical for reducing dependence on fossil fuel imports and meeting the country’s growing energy demands.
Conclusion
India’s interest in shale gas also aligns with global trends toward energy diversification and reducing carbon emissions by shifting from coal to cleaner natural gas. However, significant technological advancements and investments are needed to make shale gas extraction economically viable in India.
Frequently Asked Questions (FAQs)
Q. Which country is the largest producer of shale gas?
Ans: The United States is far and away the most dominant shale gas producer in the world. Canada also is a leading producer. Few other countries produce shale gas at scale other than Argentina and China.
Q. Which region has the largest shale gas reserves in India?
Ans: It is estimated that several sedimentary basins (Gangetic Plain, Gujarat, Rajasthan, Andhra Pradesh & other coastal areas) in India, including the hydrocarbon-bearing ones – Cambay, Assam-Arakan, & Damodar – have large shale deposits.
Related articles:
- Hydrocarbons: How are they extracted?
- Sedimentary basins of India
- Neduvasal Hydrocarbon Project Controversy
-Article by Swathi Satish
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