Minerals Report - International Seabed Authority

This is perhaps due to the perception that methane hydrate
exploitation will be economically viable only when the price of
conventional hydrocarbon and other fuels rises substantially. On the
positive side, many of the identified hydrate deposits are located on
continental slopes not far from major markets in industrialised countries 60 .
Furthermore, countries with little or-no hydrocarbon resources have also
noticed the presence of methane hydrates in abundance on their
continental slopes. It is to be expected that the prospect of energy self
reliance will catalyse some of these countries to initiate harvesting
methane hydrates as soon as scientists and technologists come forward
with dependable, safe and cost effective mechanisms to explore and
exploit this resource.
8.2 Technological factors
Most methane hydrate deposits occur in the deeper part of the
continental slope and rise. Lack of suitable production technology was a
major impediment in considering the feasibility of exploitation of this
resource. However the past five years has witnessed a dramatic
improvement in drilling technologies for oil and gas in deep water areas
and even newer technologies are being developed. The oil exploration
industry is now exploring extensively in deepwater regions (where
hydrate deposits occur), and drilling capability to about 3500-4000 m (the
base of the potential economic hydrate zone) is being built for
conventional hydrocarbon drilling 60 . There has also been a distinct
reduction in deepwater development costs. All these are positive factors
for hydrate exploration and development. Even though located in deep
waters, marine hydrate deposits are easily accessible to relatively shallow
drill penetration from the seabed. Much of the engineering required to
exploit these deposits can perhaps be achieved by suitably adopting
proven technology currently in use in connection with exploitation of deep
water oil and gas reserves. The present technological base appears to be
adequate for exploration, exploitation and sub sea transport capabilities
required for marine methane hydrate resources 60 . However as exploitation
is not expected in the foreseeable future, the corporate sector is not willing
to venture into this field. At present, whatever research is ongoing is
mostly supported by governmental sources. The industry view 3 is that
when hydrate development is required, challenges will be met, just as
industry has mastered other difficult environments in energy resource
development.
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