Dragon Shale attends congressional hearing supporting NOSA oil shale position
On June 1, 2018, the National Oil Shale Association (NOSA) was one of seven parties to testify before a U. S. House Subcommittee on Energy and Minerals. The title of the hearing was “Natural Gas and Oil Shale of the Piceance Basin” and it was held at Colorado Mesa University, Grand Junction, Colorado. Representing the Subcommittee were Chairman Representative Rob Bishop (R-UT) and Representative Scott Tipton (R-CO).
Ron Stites, one of the co-Founders of Dragon Shale, LLC, and a member of the NOSA Board of Directors, was in attendance supporting the NOSA position.
Gary Aho, NOSA’s Executive Director of NOSA, presented key points from NOSA’s 2017 White Paper that called on Congress to follow through on the findings of the Task Force on Unconventional Fuels which issued its final report in 2007 as mandated by the Energy Policy Act of 2005.
NOSA put forth a “call to action’ in regard to oil shale. Key points included the following:
- Oil shale is an important domestic resource with over 70% located on Federal lands in CO, UT and WY. This is believed to be the largest, single, untapped hydrocarbon resource in the world
- This oil shale resource could meet a critical part of the Nation’s petroleum and chemical needs for well over 100 years
- Oil shale development will create thousands of high-paying, long-term jobs
- Oil shale development will generate billions of dollars in tax and royalty revenues to the Federal, State and local governments
- Oil shale development will result in improved national and economic security for the U.S. and reduce strategic dependence on foreign oil
- Oil shale can become the National Strategic Oil Shale Reserve (NSOSR), replacing much of the Strategic Petroleum Reserve that now exists
NOSA then presented the following recommendations to Congress:
- The current Administration should include oil shale in its “all-of-the-above” National Energy Policy
- The BLM should designate certain oil shale areas as Strategic, such that they are off limits to conventional oil and gas drilling. The shale oil per acre far exceeds the value of any gas that might be produced from that acreage.
- Congress should revisit the 2005 Energy Policy Act mandates, which are still part of the law
- Congress should establish an Oil Shale Advisory Board to review the 2007 Task Force Report and update to include recommendations appropriate for these time and the current domestic oil production scenario
- Oil Shale Advisory Board members would include representatives from the Departments of Energy, Defense, and Interior, EPA, industry and state and local governments
- NOSA would be engaged to Chair the Oil Shale Advisory Board and work with the Board to produce a Final Report with recommendations to Congress within 9 months
- NOSA, a non-profit, would receive a Federal grant of $250,000 to direct the efforts of the Advisory Board, organize meetings, and produce the Final Report
Mr. Stites of Dragon Shale, LLC, noted, “We fully support the NOSA position that Oil Shale is among the several strategic assets that the US needs to manage. There was a surprising consensus that emerged from the hearing. Even though there was debate on the current commercial status of Oil Shale, all seemed to agree that Oil Shale technologies need to be further developed. We find this type of consensus extremely encouraging.”
Upon hearing of this emerging consensus, Dr. Gary Dorst, Vice President of Colorado Utah Oil Shale Company, a Partnering Company of Dragon Shale remarked, “We are delighted to hear that Oil Shale is being considered in a thoughtful and responsible way. We are hopeful that our partnering with Dragon Shale, with its focus on high-value, non-fuel products, will finally yield fruit to our commitment to Oil Shale development. Industry has been working at this for almost 100 years. Perhaps this new, measured approach, with its focus on developing better ideas and products, will finally yield commercially successful results.”
Colorado Utah Oil Shale Company (CUOS) is a Partnering Company to Dragon Shale. CUOS plans to take part in the first Joint Venture using the Dragon Shale process. CUOS has private property Oil Shale holdings in eastern Utah that would be an ideal site for the first JV. CUOS may be contacted through Dr. Gary Dorst at [email protected] .