 Ed Ratchford, senior petroleum geologist with the Arkansas Geological Survey, said the state still has untouched resources. |
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(To see a map detailing the study areas of the lignite project, click here.)
Rising energy prices have made exploiting many of Arkansas' natural resources more viable, and many of those resources are in south Arkansas.
"The price of energy commodities always renews interest in Arkansas' resources," said Ed Ratchford, senior petroleum geologist at the Arkansas Geological Survey. "Arkansas is rich in fossil fuels and has a long history of production of fossil fuels."
Recent developments prompting increased interest in energy production in south Arkansas include:
• Improved technology that could make mining deposits of lignite, a low-grade form of coal, economically feasible.
• New technology that could allow energy companies to reach the roughly 70 percent of oil believed to remain beneath the surface of the area's fields.
• Indications that the Haynesville Shale Play, a natural gas shale play beneath northwest Louisiana and east Texas, may extend into south Arkansas.
• Identification of the Ouachita Mountains as a possible source of natural gas.
Lignite currently is the source of the greatest enthusiasm about the area's fossil fuel potential. The state Legislature's Joint Interim Committee on Energy voted unanimously last week to support a study of the lignite deposits. The study – if it receives the $1.25 million needed from the state Legislature – would outline the lignite deposits in Arkansas and the best uses for the deposits.
"We are going to get out and sell this resource to the industry," Ratchford said during the committee meeting.
Tapping the Resource
The rise in energy prices has caused many of Arkansas' natural resources to become more viable, Ratchford said.
Michael Jones, senior research adviser with the Energy & Environment Research Center in Grand Forks, N.D., said the purpose of the proposed lignite study is to identify Arkansas' deposits, determine the lignite's quality and help Arkansas determine possible uses for the resource.
"We try to make either smart buyers or smart sellers," Jones, who has a doctorate in physics, said during the Joint Committee on Energy meeting.
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