A Natural Gas Severance Tax-An Economic Analysis

This study estimates the economic effects of a severance tax on the market for natural gas produced from shale sources using non-conventional extraction methods, such as horizontal drilling and fracking. Results suggest that a severance tax of 5% would increase the price of natural gas by as much as 3.82% and decrease gas extraction by an estimated 1.16% to a value of 9.52%. If applied to the Commonwealth of Pennsylvania in the United States, a 5% severance tax is estimated to raise between US$443 and $486 million per year in public revenue. The marginal deadweight loss associated with a 5% severance tax is estimated between 1.27% and 12.85% of the last dollar earned. The burden of this tax falls on both producers and consumers and depends upon the underlying assumptions made regarding the price responsiveness of consumers and producers. Under plausible assumptions, a family consuming 1000 MMcfs (approximate to 2.8 x 10(4) m(3)) per year of natural gas is estimated to pay an additional $100 per year after the implementation of a 5% severance tax.

Efficient Liquid Liquid Extraction By Emulsion Formation and Separation in Robust Milli-Fluidic Devices

Conventional liquid liquid extraction (LLE) methods require large volumes of fluids to achieve the desired mass transfer of a solute, which is unsuitable for systems dealing with a low volume or high value product. An alternative to these methods is to scale down the process. Millifluidic devices share many of the benefits of microfluidic systems, including low fluid volumes, increased interfacial area-to-volume ratio, and predictability. A robust millifluidic device was created from acrylic, glass, and aluminum. The channel is lined with a hydrogel cured in the bottom half of the device channel. This hydrogel stabilizes co-current laminar flow of immiscible organic and aqueous phases. Mass transfer of the solute occurs across the interface of these contacting phases. Using a y-junction, an aqueous emulsion is created in an organic phase. The emulsion travels through a length of tubing and then enters the co-current laminar flow device, where the emulsion is broken and each phase can be collected separately. The inclusion of this emulsion formation and separation increases the contact area between the organic and aqueous phases, therefore increasing the area over which mass transfer can occur. Using this design, 95% extraction efficiency was obtained, where 100% is represented by equilibrium. By continuing to explore this LLE process, the process can be optimized and with better understanding may be more accurately modeled. This system has the potential to scale up to the industrial level and provide the efficient extraction required with low fluid volumes and a well-behaved system.