|
Post by trbixler on Mar 18, 2013 13:26:05 GMT
"Are Warren Buffett and Natural Gas Killing the Golden Age?" "Earlier this month, The Wall Street Journal reported that Warren Buffett's BNSF Railway will initiate a pilot program to investigate the viability of using natural gas to power its locomotives. If the program is successful, it would have wide ramifications, as the company is believed to be one of the largest consumers of diesel fuel in the country, second only to the U.S. Navy. The path from the shale gas boom to improved economic conditions, curtailed oil prices, and a stronger U.S. dollar isn't a simple one, but it does follow a fairly straight series of connections. The ultimate result of this daisy chain of causes and effects is that gold prices are under legitimate pressure for the first time in many years." link
|
|
|
Post by glennkoks on Mar 18, 2013 14:49:54 GMT
It's amazing how much more efficient the free market is vs. the government at driving economic change. If BNSF initiates this program and it works expect others to follow. Many natural gas pipelines follow railway easements so one would think it makes sense. The logistics of converting those giant diesel engines to natural gas poses some big challenges but 3.50 an mmbtu vs. 4.00 a gallon diesel has to be attractive.
|
|
|
Post by sigurdur on Mar 18, 2013 15:03:48 GMT
Glenn: They are going to start doing this in ND this fall being the natural gas is a "wet gas", and there is plenty of it.
|
|
|
Post by karlox on Mar 18, 2013 17:46:59 GMT
Glenn: They are going to start doing this in ND this fall being the natural gas is a "wet gas", and there is plenty of it. Spain is going to follow North Dakota path, we are a decade or so behind, but we will catch up rapidly. Hope we could learn from any mistake or hidden danger from ND experience through these coming years... So, go ahead! (and keep us informed, please)
|
|
|
Post by nonentropic on Mar 18, 2013 19:04:28 GMT
The market will do the work. Worth noting how few subsidized are in fact needed.(nil)
Ironically the reduction in costs thought the use of micro LNG or some such technology will increase the revenue that the government will see. Again allowing them to push stupid subsidies out to twits who lobby well in Washington.
It's a bit depressing actually as every part of the technology is sorted it's a logistic exercise and the spread of gas throughout the US and in fact much of the world as a result of the shale bonanza is not embraced by a ruling class of fiddlers.
|
|