Sunday, January 26, 2014

Forgot fracking

I've completely overlooked fracking as an energy source.   Anyway, what got me interested in it as a post was an interesting article on Al Fin Next Level.

The significance is the technology that will soon convert natural gas into ethylene.  Ethylene is an important feedstock for many petrochemical products.  Amongst these are ethanol.  Yes, what this means is that natural gas could soon be converted to liquid fuels and this will be big news at the gas pump at some future date.  Many cars and vehicles being built are flex fuel now and can take 85% ethanol blend or lower.

It may not show up in gasoline prices yet, because at first, there won't be that much supply.  But once it gets rolling, it will exert a downward force on prices at the pump.

As a result of this finding, I will update the post on Energy Sources That I Like.


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