Innovation ‘R’ Us

North Dakota celebrated its 60th year of oil production yesterday. On April 4, 1951, Amerada Corp. struck oil in Clarence Iverson's wheat field near Tioga, which eventually led to North Dakota becoming the 4th largest oil producing state in the country.

Over the intervening years, the process of producing oil in North Dakota and elsewhere has advanced markedly. American ingenuity and investments by the oil and natural gas industry have fueled innovations making it possible to find and produce oil and natural gas in rock formations that were deemed too difficult to locate and assess or too dense to drill a few years ago.

With today's oil and natural gas innovations:

  • The industry is using steam to melt oil as thick as a hockey puck in underground formations and coax it to the surface.
  • It is using global positioning systems to lower a drill pipe from a floating drill ship and reach a target the size of a refrigerator on the ocean floor several thousands of feet below.
  • It is using sophisticated seismic technology to find additional pockets of oil and natural gas in heavily explored rock formations, giving new life to old oil and natural gas fields.
  • It is drilling vertically for two miles into the ground and then moving the drill pipe horizontally to drill through a layer of rock only a few feet thick to enhance oil and natural gas production.
  • The industry also is working at the molecular level in refineries to produce fuels and chemicals that provide personal mobility and consumer products for people around the world.

Innovations in the oil and natural gas industry also are leading the way toward advances in transportation, renewable, and battery technologies. As Steven D. Pryor, president of ExxonMobil Chemical Company, said recently, "game-changing innovations in the petrochemical industry" are transforming everyday life by reducing the weight of cars to improve fuel economy; increasing the durability and efficacy of solar cells; and helping to make the thin, rechargeable lithium-ion batteries that have revolutionized handheld communications devices.

Even the music business is benefiting from an oil and natural gas industry innovation. Auto-Tune, the device that makes singers sound pitch perfect, was invented by Andy Hildebrand who spent several years in the oil industry using mathematics to fine-tune seismic data.

Innovations like these occur when bright, creative people can dream, build, and hone their entrepreneurial talents in an economic climate that encourages investments in new technologies. When they are successful, they create new products, improve old ones, and help the economy grow.

The oil and natural gas industry has a long and distinguished history of finding breakthrough technologies that have enhanced the quality of life and standard of living around the globe. It should be not be deterred from making further advances through punitive taxes or other government measures that slow true progress in the development of traditional and non-traditional energy resources.

Comments

Related

Blog Posts

Massachusetts, Jobs and the Shale Energy Revolution

Interesting report in the Boston Globe about how a ripple of economic benefits from shale natural gas development is reaching a non...

Blog Posts

Generation Next: Securing Tomorrow’s Energy Industry...

Recently, ExxonMobil Development Co.’s L.M. Tillman addressed a gathering at the Offshore Technology Conference on the subject of e...

Blog Posts

Going Beyond Rhetoric on Natural Gas

Over on the White House Blog, there’s genuine enthusiasm for natural gas, and for good reason.  Natural gas is clean-burning, affor...

Blog Posts

Our Energy and Economic Crossroads

During a recent conference call with reporters API Chief Economist John Felmy said the country is at a “crossroads of energy and ec...

Blog Posts

Job Creation and the Effects of Regulation

A follow-up to our follow-up on a Washington Post article that dismissed the effects of increased U.S. oil production on global cru...

Blog Posts

FracFocus Turns One!

A year ago this week the FracFocus.org online chemical disclosure registry was created, and what a year it has been: 130 companies...

Blog Posts

Behind the Latest Gulf Rig Count Numbers

Reuters reports that eight deepwater drilling rigs are expected in the Gulf of Mexico this year, which would bring the active deepw...

Blog Posts

‘The Laws of Supply and Demand Do Work’

Back in February we ran the chart below. Then, at a congressional hearing last month, API President and CEO Jack Gerard referred to...

Blog Posts

Study: EPA’s Tier III Proposal Would Increase Fuel-Ma...

At a time when just everyone is understandably concerned about fuel prices, EPA apparently didn’t get the memo. Its latest thinking...

Blog Posts

Energy Works in North Dakota

For the state of North Dakota, the oil and natural gas industry currently means: Nearly 37,000 statewide jobs provided or supp...

Blog Posts

O’Reilly - Oh So Wrong On Exports

Bill O’Reilly was beating the drum again last night about oil exports, once again displaying his lack of rhythm.  Here are his argu...

Blog Posts

Fear Mongering on Exports

Kevin Hall, of McClatchy, writes: “U.S. demand for oil and refined products - including gasoline - is down sharply from last y...

Blog Posts

Political Theater on Refined Exports

One of the flimsier arguments deployed against the Keystone XL pipeline is that the Canadian oil sands crude it would deliver to U....

Blog Posts

Earnings Facts, Perspective

For a better understanding of oil and natural gas industry earnings, take a look at a pair of blog posts by ExxonMobil’s Ken Cohen...

Blog Posts

Hydraulic Fracturing Workshops Launched

This week API is launching a series of hydraulic fracturing workshops in shale energy states to continue the conversation on indust...

Blog Posts

Just The Facts: No Targeted Oil & Gas Tax Credits

Oil and natural gas opponents think they’ve got some ammunition in a NBC News/Wall Street Journal poll from nearly a year ago showi...

Blog Posts

Graphically Speaking: Producing Oil on Federal Lands

One of the most important things to know about producing oil on federal lands is that it takes time. Lots of it. As this chart deve...

Blog Posts

The White House’s Natural Gas/Manufacturing Connectio...

From where we sit, a new White House report that gives substantial credit to natural gas production for recent growth in U.S. manuf...

Blog Posts

Graphically Speaking: Bakken Oil & Natural Gas Producti...

Pretty neat animation by the Energy Information Administration, showing the growth of oil and natural gas production in the Bakken...

Blog Posts

Antidote to Energy Inertia

Good editorial in The Oklahoman newspaper, lamenting America's lack of energy vision - even as a number of experts say the world's...

Stay Connected