ShaleTech: China, Australia shales ///

When considered strictly from an available resource perspective, theirs is a trading relationship that should not be entirely necessary. Yet, as China remains stuck behind the technical and bureaucratic eight ball in efforts to exploit the world’s largest, estimated, shale gas reserves, it relies on quasi-neighbor Australia to feed much of its chronic, albeit cooling, thirst for liquefied natural gas (LNG). Although China’s once super-charged economy has slowed appreciably, the world’s unofficial swing consumer is still second only to Japan as the world’s top LNG importer—a trend expected to continue over the next two decades, as an antidote to its still-stubborn coal addiction. Then again, much of that appetite could be fed in-house, if not for the myriad geological and governmental restrictions that continue to thwart domestic production of the world-leading 1,115 Tcf of technically recoverable shale gas reserves identified in the U.S. Energy Information Administration’s (EIA’s) 2013 global assessment, its latest. However, the EIA evaluation may swing far to the conservative side, according to IHS Energy, which, in its study, The Unconventional Frontier, puts the estimated shale gas reserves nearly three times higher at 3,295 Tcf.

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