Shawn Bartholomae CEO of Prodigy Exploration Inc. notes shift in Energy Market Demands

DALLAS, Oct. 20, 2014 /PRNewswire/ -- The executives in the energy industry and the production planners strive to keep an awareness of the direction of the market.  What is currently noteworthy per Shawn Bartholomae is the prevailing trend of natural gas. The graphs and charts and the productions lines tell an unmistakable story about which direction natural gas is going. The future of natural gas is that it is destined to play a growing role in its share of the nation's energy future. The share of natural gas in the market place has expanded for eighteen consecutive years. The current role is already prominent. The share of this energy source in the future promises to become even larger.

In 2013, the total oil production in the world rose. The average daily production for the year was 86.8 million bpd. Those nations that are apart from, and thus not a member of OPEC, set a record at 50 million bpd. This increase of 1.2 million bpd of non-OPEC production was nearly all attributed to the increase of oil production within the United States.

While the American oil fields were ramping up their production levels, the American appetite for consumption was also growing. This past year marks the first time in 15 years that the growth in American consumption was greater than the growth in China's consumption. This Chinese growth in oil consumption last year rose by 390,000 bpd.

Shawn Bartholomae states, "while we can determine that there has been sustained growth in the oil industry we are also noting that oil, while still representing the largest of the energy consumption markets, is losing much of its portion of the market to natural gas. This is a notable and undeniable trend that has been occurring for the last fourteen years." 

The BP (British Petroleum) annual energy review has noted, "at the end of 2013, oil's share of the energy market has slipped to the lowest level since BP's annual review began in 1965. Oil's market share last year was a calculated 33%."

The EIA (Energy Information Administration) issues reports that continue to be optimistic about the future of natural gas. The advanced technologies of hydraulic fracturing and horizontal drilling have combined with enhanced 3-D seismic to forge a revolution in the production of natural gas. It has taken the other producers of the world some time to readjust to the realities of just how powerfully pronounced these production techniques are. Russian engineers had, as little as two years ago, dismissed the impact of the hydraulic fracturing and horizontal drilling as "a flash in the pan".

The environmental guidelines established by the EPA, with their continuous push for "clean air" are favoring the increased production of this clean burning fuel.  Recent regulations have served to bring coal-burning plants designed for the generation of electricity to a virtual halt; natural gas has taken up the slack. Natural gas is hailed as cleaner, abundant, affordable, and safe. The burning of coal to produce electricity is plummeting.

The coal industry however, is alive and well.  Domestic coal consumption has admittedly taken a hit on the home market, but the export market continues to set records. The exports for coal shipments outside of the United States are expected to total more than 100 million tons. This level of exports has set a record. This bench mark, the 100 million ton level of exports, has been achieved for the third consecutive year. This situation represents a win-win outcome for American energy production. It allows the natural gas industry to maintain its upward surge and at the same time, it keeps the coal industry in good health.

Few market planners care to see the coal industry collapse.

The burning of natural gas thus becomes not only cheaper, but the harmful emissions of pollutant carbons from natural gas is less that half of its coal counterpart. It is the combination of these characteristics that has caused coal to have a difficult time competing in the domestic market place.

The large scale usage of natural gas has not only favored the environment, it has aided the economy immensely. It has been calculated by the EIA that the savings of home heating and cooling costs through the use of this abundant and relatively inexpensive fuel as compared to what the American counterpart in Asia and Europe has to pay, amounts to an average annual saving of $2400 per household.  This is an added cash flow that can be plowed back into the economy to help the consumer markets at all levels.  The U.S. leads the world in production of natural gas. The changing needs of the market to employ a greater usage of this source of energy bodes well for both the economy of the nation and the ecology of the planet. 

A relatively unseen benefit of the lower natural gas costs is the competitive edge that American factories have over their Asian and European counterparts. Few American production facilities have to worry from month to month if their need for natural gas is going to be met. It can be taken for granted. It is this assurance of a steady supply of energy at an economical cost that keeps the American factories humming and being productive. The stability of the market allows planners and investors to incorporate objectives such as their long term commitments. This makes planning easier as they are able to coordinate their plans with a solid range of extended goals.

Nuclear energy was once touted as the "wave of the future" for meeting America's electricity and manufacturing needs. The concept of massive nuclear generation has since fallen from grace in the minds of the public.  Stories from around the world like the disaster at Chernobyl in Russia and the continuing crisis in Japan from the Fukushima nuclear plant has had an impact upon the thinking in this country. As a result of the other nation's experiences in this field, we have moderated our own views of how valuable nuclear energy is. We have come to a new assessment of what the potential risks might be.

Not only is Texas and the United States fortunate to have a well developed infrastructure, it is also a measure of the strength and health of the economy to have this feature, but the prosperity of the nation rests in no small part on the speed of reaction for the American market to correct itself.

To put this in perspective is to say that in this country and in this market, if there is something missing that the market sorely needs, our markets will quickly adjust and provide a solution.

Without unforeseen breakthroughs in technology that could possibly favor alternative or newer energy sources, natural gas appears to have a future as the most reliable sector of the nation's energy needs noted by Mr. Shawn Bartholomae. It will continue to have a large and growing share of the market for America's fuel.

An analysis of the changing markets reveals the basic trends as stated and figures are from the EIA (Energy Information Administration).

Among the fossil fuels, natural gas is the fastest growing in consumer consumption maintaining an average annual growth rate of 1.9%. Natural gas is the only fuel to grow faster than the growth in total energy. The growth in oil consumption slightly lags the growth in natural gas consumption.

Shawn Bartholomae added "While the nation and the world will have a future need for both oil and gas, we will strive to be fully conscious of the emerging needs in the energy markets,  These  markets strongly indicate a continuing growth in the market share attributed to natural gas."

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/shawn-bartholomae-ceo-of-prodigy-exploration-inc-notes-shift-in-energy-market-demands-226143179.html

SOURCE Prodigy Exploration Inc.

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