Over the next 20 years industry analysts expect total global energy consumption worldwide to grow some 2.2 per cent per year.
Natural gas, however, is expected to grow at more than three per cent annually. Clearly, natural gas is the long-term preferred fuel of choice in many settings.
By 2020 natural gas will be well established as the second most used fuel type after oil. Natural gas will, industry analysts say, continue to increase its share in the energy mix, with its greatest gains in the electric power-generating sector and some gains in its use for stationary heating purposes in residential, commercial, and industrial markets.
There exist more than sufficient natural gas reserves to support this growth in consumption, and the prospect of finding more reserves is very strong. Increasingly worldwide exploration will target the finding of natural gas reserves, they believe.
In the approximately 20 years since Saudi Arabia began producing gas under the MGS, the Kingdom has grown to become one of the ten largest natural gas producers in the world. The top ten, in order, are: Russia, the US, Canada, the UK Netherlands, Algeria, Indonesia, Uzbekistan, Norway, and Saudi Arabia.
Together these ten represent some 75 per cent of the worldwide marketed production. In terms of reserves, however, Saudi Aramco ranks fourth in total known gas reserves.
And Saudi Aramco continues to find new gas reserves.
For example, the company has discovered a new sweet gas and condensates field in the Eastern Province, according to Minister of Petroleum and Mineral Resources Ali Al Naimi.
The find, at Ghazal Well No.1, is approximately 150 km southeast of Riyadh and 100 km West of Haradh at the southern tip of the giant Ghawar field.
Sweet gas has a low hydrogen sulphide content than sour gas, meaning that it is cheaper and easier to process.
Drilling at Ghazal No.1 began in April, and testing in July showed flow rates estimated at five million cu ft per day and 850 barrels of condensates at a depth interval of 4,085 to 4,164 metres in the 'Unayzah reservoir. The well flowed at a wellhead pressure of 3,600 psi on a 20/64 inch choke.
The discovery further confirms the high natural gas and condensates potential of the 'Unayzah reservoir in eastern and central Saudi Arabia. Further evaluation of the well is planned to determine the extent of the gas reserves.
Saudi Aramco has recently discovered sweet gas at Manjurah, Haradh, Wudayhi, Tinat, Waqr, Sham'a and Shaden.
