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Global Natural Gas: A Growing Resource
Michael Ratner
Analyst in Energy Policy
December 22, 2010
Congressional Research Service
7-5700
R41543
CRS Report for Congress
Prepared for Members and Committees of Congress
Global Natural Gas: A Growing Resource
Summary
The role of natural gas in the U.S. economy is expected to be a major part of the debate over
energy policy in the 112th Congress. This report briefly explains key aspects of global natural gas
markets, including supply and demand, as well as major U.S. developments.
Natural gas is considered a potential bridge fuel to a low carbon economy because it is cleaner
burning than its hydrocarbon rivals coal and oil. Natural gas combustion emits about two-thirds
less carbon dioxide than coal and one-quarter less than oil when consumed in a typical electric
power plant. Natural gas combustion also emits less particulate matter, sulfur dioxide, and
nitrogen oxides than coal or oil. Additionally, improved methods to extract natural gas from
certain shale formations has significantly increased the resource profile of the United States,
which has spurred other countries to try to develop shale gas. If the United States and other
countries can bring large new volumes of natural gas to market, then natural gas could play a
larger role in the world’s economy. Several key factors will determine whether significant new
quantities of natural gas come to market, particularly unconventional natural gas resources. These
factors include price, technical capability, environmental concerns, and political considerations.
Ma
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