Will shale gas rock the world the role of shale gas in changing the Literature review

Will shale gas rock the world the role of shale gas in changing the dynamics of the future energy markets - Literature review Example For instance, the recent publication of the International Monetary Funds World Economic Outlook 2012, identify the oil price as one of the downside risks that will stall the global economy this year.1 Given the volatility of the situation in the Middle East this problem is expected to remain for a long period of time. This is in addition to the fact that forecasts are projecting the decline of the golden age of oil as supply starts to run short. A report by major oil companies revealed that the growth of oil production outside of the Organization of the Petroleum Exporting Countries (OPEC) will slow to a stop and that by 2015, the Middle East will monopolize that global oil demand, which is almost 1000 gallons per second.2 The experience during the 1970s of a global shortage wherein there was a lack of adequate supply and the price dramatically increased is still fresh. These are the reason why there is a mad scramble for alternative energy sources today. Being able to successfully e xtract oil from different energy sources would mean independence from foreign oil and the negative impact it entails. Shale oil is one of these alternative fuel sources. The changing energy outlook as with the increasing interest on shale oil is consistent with all modern-day assessments of global energy futures, which according to P. Edwards, V. Kuznetsov and W. David (2007), emphasizes the argument that growth in demand for energy must be met increasingly by a diverse energy mix.3 Change as a result of the coming shortage of oil is inevitable. This paper will provide an overview of the current status and prospects for shale oil. For this purpose a brief history will be provided as well as an explanation of shale oil as an energy resource and a discussion as to why it will play an important role in the global attempt to find alternative fuel sources. Oil shales are generally rocks that have high proportion of â€Å"kerogen†. This