American Shale Oil
| Company type | Private |
|---|---|
| Industry | Oil shale |
| Founded | 2008 |
| Defunct | 2016 |
| Headquarters | , United States |
Key people | Claude Pupkin (CEO), Howard Jonas (CEO, Parent Company), Alan Burnham (Chief Technology Officer) |
| Owner | Genie Oil & Gas Total S.A. |
| Website | www |
American Shale Oil, LLC (abbreviated as AMSO), previously known as EGL Oil Shale, LLC, specialized in developing in-situ shale oil extraction methods and was headquartered in Rifle, Colorado. The company was under the ownership of Genie Energy alongside Total S.A.. In May 2016, Genie Energy declared the termination of the AMSO initiative.
History
EGL Oil Shale operated as a division of EGL Resources, an independent oil and gas firm active in the southwestern United States. In 2006, it obtained a lease from the United States Bureau of Land Management to pursue its in-situ shale oil extraction technology in Western Colorado. On January 22, 2008, IDT Corporation acquired a 75% stake in EGL Oil Shale and rebranded it as AMSO, LLC; the company was officially established on February 15, 2008. Subsequently, IDT raised its ownership by an additional 15%.
On March 3, 2009, Total, a French oil giant, acquired half of AMSO for $3.2 million; EGL Resources divested its remaining interest while IDT maintained a 50% share. Following IDT’s spin-off on October 31, 2011, its AMSO shares were transferred to Genie Energy. The primary ownership of American Shale Oil Corporation rested with Genie Energy’s oil and gas arm, Genie Oil and Gas (holding 98.3%).
In 2007, AMSO secured a research and development lease from the Bureau of Land Management for operations in Rio Blanco County, Colorado. The company initiated pilot well activities in January 2012 but encountered technical difficulties linked to a malfunctioning 600-kilowatt electric heating system.
By March 31, 2016, Total had increased its stake in AMSO to 58.7%. Nevertheless, on February 23, 2016, Total announced it would discontinue financial support for AMSO and formally exited the project by April 30, 2016. As part of the withdrawal agreement, Total committed $3 million toward dismantling and wind-down expenses. Genie Energy projected total closure costs near $5 million, with its portion estimated below $2 million.
Technology
AMSO engineered the "Conduction, Convection, Reflux" (CCR) process for oil shale conversion that integrates horizontal wells heated by downhole burners combined with supplementary wells facilitating heat transfer through refluxing alongside oil extraction. Initially, oil is injected to improve heat conduction within the formation. Unlike the original EGL approach relying on hydraulic fracturing, AMSO’s method seeks to enhance formation permeability via thermomechanical fracturing.
The company asserts that its CCR technique accelerates heating of the rock compared to the Shell in situ conversion process—achieving results within three to twelve months rather than several years—potentially lowering energy consumption and reducing the number of wells needed. However, research by Petrochina in 2008 acknowledged faster production but pointed out increased technical complexity, higher operational costs, and difficulties managing fluid flow control.
Operations
AMSO conducted its activities from a primary office located in Rifle, Colorado, with additional personnel operating out of a Newark, New Jersey location. According to an SEC filing from October 2011, the company employed four full-time staff members and held fixed assets valued at approximately US$15,000. For its development and demonstration efforts, AMSO leased a 160-acre testing site in the Piceance Basin from the Bureau of Land Management.
Management
The leadership team was headed by Howard Jonas, who served as chairman and CEO and was also the founder and chairman of IDT Corporation. Claude Pupkin held the position of president, while Alan K. Burnham fulfilled duties as chief technology officer and project manager. Roger L. Day was responsible for operations as the vice president.