Could the North American Shale Boom Happen Elsewhere?

The dramatic takeoff in oil and gas production in the United States and Canada over the last half decade has left many people asking whether a similar boom will happen in other countries. It’s a good question. To answer it, you have to start by identifying what critical factors enabled the boom to happen here, then figure out whether these same enabling factors exist elsewhere.

Here’s a quick list of seven of these enablers. They vary in importance. Some are essential prerequisites to any shale production gains, like suitable geology. Others are catalysts: Without them, shale production is still possible, but will come much more slowly than it has in North America. The mineral rights regime is an example.

I’m sure there are others beyond the seven I’ve outlined here.  Anyone trying to project if or when shale production will get off the ground in a serious way beyond the United States and Canada will have to start by seeing whether the right conditions apply.