Is Mozambique the next North Dakota? According to the WSJ, the Italy’s energy giant Eni SpA just made a big find:
The company’s first well in a deepwater exploration campaign has found about 15 trillion cubic feet of gas, according to people briefed on the discovery. They said the gas reservoir is of very high quality and Eni should be able to get an unusually large percentage of the gas out of the ground.
Eni reported 17.7 trillion cubic feet of proved natural-gas reserves at the end of 2010.
The article suggests that most of natural gas that Eni extracts will be going to Asia, and from a US point of view there is nothing wrong with that. The western hemisphere is moving rapidly toward hydrocarbon self sufficiency; getting more supply outside the Middle East will reduce the opportunities for energy blackmail in places like the Persian Gulf. More global supply also helps keep prices low in the US; this is frustrating for greens who want prices to go up to make less efficient alternative energy sources more viable, but for hundreds of millions of people trying to escape abject poverty, cheaper and more secure energy sources could literally be the difference between life and death.