{"id":184747,"date":"2010-01-15T10:13:00","date_gmt":"2010-01-15T15:13:00","guid":{"rendered":"http:\/\/www.businessinsider.com\/for-just-850-a-barrel-exxon-makes-new-oil-appear-out-of-thin-air-2010-1"},"modified":"2010-01-15T10:13:00","modified_gmt":"2010-01-15T15:13:00","slug":"for-just-8-50-a-barrel-exxon-made-new-american-oil-appear-out-of-thin-air","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/184747","title":{"rendered":"For Just $8.50 A Barrel, Exxon Made New American Oil Appear Out Of Thin Air"},"content":{"rendered":"<p><img decoding=\"async\" class=\"float_right\" src=\"http:\/\/static.businessinsider.com\/image\/4b4fdb4c0000000000de9f3b-400-\/oil-well.jpg\" border=\"0\" alt=\"Oil Well\" width=\"400\" \/><\/p>\n<p><div style=\"float: left; padding: 15px 15px 15px 0;\">\n<script type=\"text\/javascript\">\/\/ <![CDATA[\ntweetmeme_source = 'moneygame'; tweetmeme_service = 'bit.ly';\n\/\/ ]]><\/script><br \/>\n<script src=\"http:\/\/tweetmeme.com\/i\/scripts\/button.js\" type=\"text\/javascript\"><\/script>\n<\/div>\n<p>Yesterday our colleague Graham Winfrey <a href=\"http:\/\/www.businessinsider.com\/exxonmobil-strikes-it-rich-in-texas-2010-1\">reported<\/a> that Exxon had just added 25 years of life and 40 million barrels of oil to what was thought to be a pretty dead Texas oil field.<\/p>\n<p>We&#8217;d like to add an additional angle to the analysis &#8212; For this new project, Exxon plans to invest only $340 million. This means that for just $8.5 per barrel Exxon has discovered another 40 million barrels of recoverable oil in a 70-year old field right within its own backyard.<\/p>\n<p>More importantly, the latest project is an experiment, using some of the latest extraction technology. If it succeeds, it could be applied to other old U.S. oil fields. For just $8.5 per barrel. It&#8217;s further evidence of how technology works wonders at solving energy problems, and that with the right technology there&#8217;s far more oil out there than most of us can imagine, especially in a world where $50 oil is considered cheap.<\/p>\n<p style=\"padding-left: 30px;\"><a href=\"http:\/\/www.statesman.com\/business\/technology\/new-technology-in-hand-exxon-returns-to-old-179755.html\">Statesman.com:<\/a> The $340 million investment in East Texas is small for Exxon, which spent  $26 billion on capital projects last year.<\/p>\n<p style=\"padding-left: 30px;\">However, the Hawkins plans are significant compared with the $700 million Exxon has spent in Texas during the past three years.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Vinson &amp; Elkins energy expert Steve Davis said the investment represents an experiment for Exxon.<\/strong><\/p>\n<p style=\"padding-left: 30px;\"><strong>If it works, the company can potentially apply the technology to other fields.<\/strong><\/p>\n<p style=\"padding-left: 30px;\">&#8220;This is $340 million. It&#8217;s nothing to these guys,&#8221; he said, but added: <strong>&#8220;Their investment criteria are so stringent, that I would think there&#8217;s a high likelihood of success.&#8221;<\/strong><\/p>\n<p><a href=\"http:\/\/www.businessinsider.com\/for-just-850-a-barrel-exxon-makes-new-oil-appear-out-of-thin-air-2010-1#comments\">Join the conversation about this story &#187;<\/a><\/p>\n<p><b>See Also:<\/b><\/p>\n<ul>\n<li><a href=\"http:\/\/www.businessinsider.com\/exxonmobil-strikes-it-rich-in-texas-2010-1\">ExxonMobil Just Struck It Rich In Texas<\/a><\/li>\n<li><a href=\"http:\/\/www.businessinsider.com\/exxons-xto-buy-is-a-direct-affront-to-the-russians-2009-12\">Exxon&#8217;s XTO Buy Is A Direct Affront To The Russians<\/a><\/li>\n<li><a href=\"http:\/\/www.businessinsider.com\/with-xto-acquired-by-exxon-here-are-the-next-players-to-get-snapped-up-2009-12\">With XTO Acquired By Exxon, Here Are The Next Players To Get Snapped Up<\/a><\/li>\n<\/ul>\n<p><a href=\"http:\/\/feedads.g.doubleclick.net\/~a\/zqyPcjNcbtbZM1MnIr-_kSSUEI0\/0\/da\"><img decoding=\"async\" src=\"http:\/\/feedads.g.doubleclick.net\/~a\/zqyPcjNcbtbZM1MnIr-_kSSUEI0\/0\/di\" border=\"0\" ismap=\"true\"><\/img><\/a><br \/>\n<a href=\"http:\/\/feedads.g.doubleclick.net\/~a\/zqyPcjNcbtbZM1MnIr-_kSSUEI0\/1\/da\"><img decoding=\"async\" src=\"http:\/\/feedads.g.doubleclick.net\/~a\/zqyPcjNcbtbZM1MnIr-_kSSUEI0\/1\/di\" border=\"0\" ismap=\"true\"><\/img><\/a><\/p>\n<div class=\"feedflare\">\n<a href=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?a=-eSWO3OqdB4:GrGETYRitxA:yIl2AUoC8zA\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?d=yIl2AUoC8zA\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?a=-eSWO3OqdB4:GrGETYRitxA:F7zBnMyn0Lo\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?i=-eSWO3OqdB4:GrGETYRitxA:F7zBnMyn0Lo\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?a=-eSWO3OqdB4:GrGETYRitxA:V_sGLiPBpWU\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?i=-eSWO3OqdB4:GrGETYRitxA:V_sGLiPBpWU\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?a=-eSWO3OqdB4:GrGETYRitxA:qj6IDK7rITs\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?d=qj6IDK7rITs\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?a=-eSWO3OqdB4:GrGETYRitxA:gIN9vFwOqvQ\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/greensheet?i=-eSWO3OqdB4:GrGETYRitxA:gIN9vFwOqvQ\" border=\"0\"><\/img><\/a>\n<\/div>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~r\/greensheet\/~4\/-eSWO3OqdB4\" height=\"1\" width=\"1\"\/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Yesterday our colleague Graham Winfrey reported that Exxon had just added 25 years of life and 40 million barrels of oil to what was thought to be a pretty dead Texas oil field. We&#8217;d like to add an additional angle to the analysis &#8212; For this new project, Exxon plans to invest only $340 million. [&hellip;]<\/p>\n","protected":false},"author":809,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-184747","post","type-post","status-publish","format-standard","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/184747","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/users\/809"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/comments?post=184747"}],"version-history":[{"count":0,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/184747\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/media?parent=184747"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/categories?post=184747"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/tags?post=184747"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}