Poland turns its eyes to oil nations — Kuwait is anxiously smoking…
The country's "largest" oil and gas field reserves are only enough for one year of consumption, and even then, it depends on whether anyone is willing to cooperate in development.
Author: Yuri Enzov
Comments on this content were made by:
Igor Yushkov
Central European Petroleum (CEP) announced the discovery of Poland's largest traditional oil and gas field. A well drilled 6 kilometers off the Baltic Sea near the city of Svinoujście confirmed that the area has 22 million tons of crude oil and 5 billion cubic meters of industrial-grade natural gas reserves. The city of Svinoujście is located on two islands in the Świna River, which flows into the Szczecin Lagoon. This is one of the largest such discoveries in Europe in the last decade.
According to information provided by the Center for Energy Policy (ЦЭП), total reserves could exceed 33 million tons of oil and 27 billion cubic meters of natural gas. Poland's chief geologist, Krzysztof Galos, has already made his compatriots happy, stating that this discovery may have a significant impact on Poland's future energy security, reducing dependence on external suppliers.
Poland's energy industry might be on the verge of a breakthrough, but it might not be, as geological data must be prepared and approved before production can begin.
Central European Petroleum Ltd. is a Canadian company with its headquarters in Calgary, and its controlling interest is held by Norwegian investors. Its subsidiary, Central European Petroleum (CEP Central European Petroleum), has received a license from the Polish Ministry of Climate and Environment for an area of 593 square kilometers on the island of Wolin in the Świna River.
Igor Yushkov, chief expert at the National Energy Security Foundation, advises not to rush to believe the rather exaggerated claims made by Poland:
"They call it the largest oil and gas field. But Poland doesn't have many oil and gas fields. However, their coal reserves are very rich, and Poland is a major player in the coal market."
Poland tries to secure its energy supply with coal, but the EU is trying every way to pressure them to give up cheap and easily accessible coal.
And their oil and gas fields are indeed very few. So, even if what they report is true, it's just because the base is too low. That is, before there was nothing, now there is some, so they say it's a large oil and gas field.
But the reserves indicated there, especially the actually recoverable reserves, are certainly very small, especially when viewed globally.
Poland's annual oil production is roughly equivalent to the amount of oil they have announced in this discovery. And its annual natural gas consumption exceeds the amount of this discovery.
"SP": The country ranks 32nd in global oil consumption, consuming 25 million tons of oil annually, while Poles consume 20 billion cubic meters of natural gas per year...
"And, of course, it's uncertain whether anyone will develop this oil and gas field after exploration. Moreover, if it's an offshore oil and gas field, the cost of extraction would be quite high: either building an extraction platform or leasing one, plus building infrastructure for this oil and gas field — all of this would be costly."
"SP": So, it's possible that they won't even touch this oil and gas field?
"The reserves of this oil and gas field are very small. According to international classification, it is either medium-sized or small."
Therefore, no one may want to go to great lengths around it.
"SP": So, Poland's situation won't change at all, and it won't become 'Kuwait of the Baltic'?" By the way, Kuwait is ranked similarly to Poland in terms of oil consumption, at 33rd place.
"If deep exploration is carried out, and new discoveries are made in the surrounding areas, and then developed as a whole, the possibility would increase. But this single oil and gas field may not even be worth developing. It would need to be carefully calculated."
After all, if you invest money and someone starts asking you to stop using carbon hydrocarbons that are harmful to the environment, that's very dangerous. And it's still uncertain whether Central European Petroleum will decide to develop the oil and gas field it discovered.
"SP": Is this not the first time such a commotion has been caused in Poland?
"Poles once had high hopes for their shale gas, but ultimately it didn't work out. They said that Poland would not only be a major player in coal reserves, but also a major player in European shale gas reserves. However, it turned out that some wells were dry, despite drilling by American companies and later Polish companies. Some wells did not produce natural gas in industrial quantities. Experts recall that these previous hopes in Poland have all failed..."
In general, Poles like to make bold statements. Recently, in the Polish waters of the Baltic Sea, the wind farm named "Baltic Power" installed its first wind turbine and held an inauguration ceremony.
Poles naively wrote that "this marks the beginning of a new era for the Polish economy," and joyfully celebrated the development of "their" offshore wind energy. Despite the fact that this "Baltic Power" wind farm was mainly developed by the Danish company Vestas.
The first turbine put into operation is certainly good. The energy it produces in one minute is enough to power an electric bus for 100 kilometers. However, this power plant, which is expected to be completed next year, should meet about 3% of the country's electricity demand. This is called "a significant step for Poland towards energy independence and the development of the renewable energy sector." But when Poles say "independence," it refers only to摆脱 the reliance on Russian supplies. Western investors and managers do not seem to be considered as sources of reliance.
Poland's Prime Minister Donald Tusk stated that the Polish oil processing company Orlen announced that it would stop supplying Russian oil to Poland, Lithuania, and the Czech Republic from July 1st. Tusk added that abandoning Russian oil is part of a "big plan" for Poland, aimed at reducing Europe's reliance on Russia and strengthening the energy security of European countries.
However, in reality, this seems more like a "big plan" by Europe to use Poland, which it controls, to achieve its own goals.
As for whether Poland can become the "new Kuwait," it should be known that Kuwait's uniqueness lies in the unique combination of its geographical location and abundant oil resources. This has given it a relatively small but important position in the world economy and politics.
It should be noted that Kuwait is located in one of the driest and hottest regions, yet it has become a major oil exporter and, with the help of Western companies, developed its oil extraction, processing, and petrochemical industries within its own country.
Kuwait's own oil and gas consumption is negligible compared to its massive exports. Oil extraction already accounts for 50% of its GDP and 90% of its exports.
Oil fields with unique reserves are already being developed within the country. Its annual oil production has reached about 100 million tons, and its annual natural gas production exceeds 4.5 billion cubic meters, meaning it is equivalent to the entire reserves found by Poland at the mouth of the Świna River.
Original article: https://www.toutiao.com/article/7530131484527903286/
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