attractive than high viscosity, high sulphur oil. Oil, if found in a 

 remote location, is much more easily transported to a market demand 

 center than gas. (Unless a continuous pipeline can be laid, gas 

 transport requires conversion to a liquid.) In fact, unless large gas 

 reserves are found, it may not be economically worthwhile to proceed 

 with development. 



The potential of an area, as defined by these and other factors 

 (e.g., a scarcity of natural gas or a change in prices) is useful in 

 forecasting the amount of exploration activity that is likely to occur 

 in a frontier area. 



1.2.3 Geologic Potential of Lease Areas 



There are four principal segments of the U.S. Continental Shelf 

 which are present or potential hydrocarbon provinces. These are the 

 Atlantic Shelf, the Gulf of Mexico Shelf, the Pacific Shelf, and the 

 Alaska Shelf. The areas under consideration for leasing on the Atlantic 

 Shelf include Georges Bank, the Baltimore Canyon, the Southeast Georgia 

 Embayment and Blake Plateau [9]. (See Figure 5) 



Georges Bank is a structural depression in the continental shelf 

 in the form of a trough aoproximately 190 miles long and 100 miles 

 wide. The structural deformation consists primarily of high angle 

 faulting, as illustrated in Figure 4, extending into the basement 

 crystalline rocks. It is believed that the central and north por- 

 tions of the basin have the best likelihood of oil and gas accumula- 

 tions. The water depth, about 250 to 260 feet, and its close proximity 

 to New England make this area a prime candidate for exploration. A 

 Continental Offshore Stratigraphic Test (COST hole) which will provide 

 more detailed information about sediment characteristics was drilled 

 during the late spring and summer of 1976 off Cape Cod. 



The Baltimore Canyon is a trough area which represents a southern 

 continuation of the Georges Bank geologic characteristics. Geophysical 

 surveys indicate the possible existence of a wide range of structures 

 that could trap oil and gas such as faults, reefs, salt domes, and 

 stratigraphic wedge-outs. Geologists believe that any hydrocarbons to 

 be found are likely to be natural gas rather than crude oil. In May, 

 1976 a C.O.S.T. Hole was completed off New Jersey which will provide 

 further insight into the hydrocarbon potential of the area. The Baltimore 

 Canyon is considered to be the best prospect on the Atlantic Shelf. 



The Southeast Georgia Embayment is a relatively shallow basin that 

 lies offshore from South Carolina to Florida in water depths up to 600 

 feet. 



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