New fracking method could double shale oil production

ExxonMobil asserts that a better way to frack wells could double oil production from shale fields. "There's a lot of oil left in the ground," CEO Darren Woods said June 1 at the Bernstein Strategic Decisions Conference. "Fracking technology has been around for a long time, but it's not well understood." Hydraulic fracturing, or fracking, is the process of blasting water, sand and chemicals underground to break up rock and keep it open so that oil can flow out. Although the technology sparked the U.S. shale boom, only about 10% of the oil in reservoirs can be extracted using current technology. As production growth slows in shale fields, better drilling and fracking methods may prove critical. Woods said ExxonMobil is working on improving hydraulic fracturing technology in two specific areas. It wants to be able to fracture more precisely along the well to get more of the oil-soaked rock to release oil. It also wants to keep the fractures open longer to let more oil flow out. Sand is currently the main way to keep the fractures from closing. “In my opinion, the first wave of technology is going to be in that space,” Woods said. “We think there are some promising technologies out there that will significantly increase our oil recovery.”