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Shell Oil Experiments with New Drilling Method in Rio Blanco County, Colo.
Byline: Nancy Lofholm
Nov. 29--On a remote plateau in Rio Blanco County, several pump jacks are drawing oil from the Piceance Basin. They look like the hundreds of oil and gas rigs seesawing up and down across the country's largest oil reserve. But they represent something radically different.
Drilling rigs dot the land north of I-70 in the Piceance Basin. Shell is experimenting with extracting oil from the shale below. They are part of Shell Exploration and Production Co.'s dogged effort to economically unlock the vast oil supply trapped in oil shale -- long after the world's other large petroleum companies have mostly given up on it.
In a research and development project that is shaping up to be more than a mere pipe dream, Shell's closely guarded technique involves using super-heated water to melt the oil-containing substance in shale underground so that it can be pumped to the surface and refined into crude oil.
"We've been fiddling with oil shale for a long time. We're pretty excited about this," said Rich Hansen,…
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