[ RadSafe ] Helium suppies endangered, threatening science and technology

[Dan McCarn]

Words, Gentlemen:

The terms "Resources" and "Reserves" are not interchangeable and mean
very specific things to an economic geologist.

As an example, oil shale resources, until someone finds an "economic"
method for recovery (at a cost) are just "resources", albeit very
large and well characterized resources.  When a method is developed to
recover these resources at or below a given cost, then they become
"Reserves".

"Reserves" implies that the "Resource" has been accurately
characterized and measured, and a method(s) of recovery at or below a
given cost has been developed.

Resources may be "Reasonably Assured Resources", "Estimated Additional
Resources" and "Speculative Resources", to use the IAEA terminology to
define how well these resources are defined.  Each one of the
categories may be further defined by cost factors.

"Resources" become "Reserves" when they are well characterized
geologically and economically and the cost of a well-established
recovery method is determined.

"Reserves" that have been well characterized but the production cost
is above the present market value are still "Reserves", although
current production is not economically feasible.  But they can be
prudently "forecast" to be able to eventually come into production in
the foreseeable future.

There are "products", "coproducts" and byproducts".  Usually products
and coproducts drive exploration and development.  In this case, oil &
gas is the "product" and helium, at best, is a "byproduct".

So the "Reserve" may be developed when:

1) The price exceeds the cost; or
2) A new recovery method is developed in which the cost is lower than
the price, or
3) A government may impose economic conditions on the recovery of
primary "products" and "coproducts" to include "byproducts" that are
seen, in the public interest, to be "important".

All of these happen on a routine basis.

Helium is always a "byproduct" of oil & gas production, and the
current price of helium is insufficient to drive any increased level
of exploration or production.  Helium production can only occur then
if the additional cost plus profit can be met with the sale of the
helium.  That is, unless, a government requires helium recovery. Then
the cost is part of the overall cost of oil and gas production.

Dan ii

Dan W McCarn, Geologist
Albuquerque & Houston

On 1/2/08, Doug Aitken <jdaitken at sugar-land.oilfield.slb.com> wrote:
> Otto, there is a big difference between total supply (even if constantly
> replenished) and recoverable supply (e.g. economically viable).
>
> Just ask the oil men out there.......
>
> So it would seem to be prudent to take some care to minimize waste (goes for
> most things, too!)
>
> Regards and happy new year!
> Doug
> ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
> Doug Aitken     Cell phone: 713-562-8585
> QHSE Advisor
> D&M Operations Support
> Schlumberger Technology Corporation
> 300 Schlumberger Drive
> Sugar Land TX 77030
>
> Home office: 713-797-0919  Home Fax: 713-797-1757
> ______________________________________________
>
>
>
> -----Original Message-----
> From: radsafe-bounces at radlab.nl [mailto:radsafe-bounces at radlab.nl] On Behalf
> Of Otto G. Raabe
> Sent: Wednesday, January 02, 2008 11:28 AM
> To: Radsafe
> Subject: Re: [ RadSafe ] Helium suppies endangered, threatening science and
> technology
>
> At 03:00 AM 1/1/2008, you wrote:
> >Helium supplies endangered, threatening science and technology
> >News from Washington University in St. Louis - Saint Louis,MO,USA
> >By Tony Fitzpatrick The element that lifts things like balloons,
> >spirits and voice ranges is being depleted so rapidly in the world's
> >largest reserve, ...
> ****************************************************************
> January 1, 2008
>
> I think the article vastly underestimates the helium reserves of the
> earth. As noted in the article, every alpha particle emitted by the
> naturally-occurring alpha emitting radionuclides in the uranium and
> thorium decay series found in all the rock and soil of the earth
> constantly generates helium. If there was not an immense quantity
> continually being generated there would be no helium on the earth
> even without human use. It seems quite unreasonable to assume that
> the puny human use of helium could significantly deplete the earths
> constantly replenished supply.
>
> Otto
>
>
> **********************************************
> Prof. Otto G. Raabe, Ph.D., CHP
> Center for Health & the Environment
> University of California
> One Shields Avenue
> Davis, CA 95616
> E-Mail: ograabe at ucdavis.edu
> Phone: (530) 752-7754   FAX: (530) 758-6140
> ***********************************************
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-- 
Dan W. McCarn
Geologist

Tel: +1-713-241-5726; Fax: +1-713-241-1012; Cell: +1-505-710-3600;
Home: +1-281-903-7667; Austria: +43-676-725-6622
Email: Dan.McCarn at shell.com; HotGreenChile at gmail.com