In an astonishing reversal, the operator of a natural gas pipeline that spans the United States is proposing to change the direction the gas flows through the pipeline in order to sell shale gas from the Eastern U.S., particularly the Marcellus, to the Midwest and Western U.S.
Read More “Marcellus Shale Gas May Soon be Exported – To California”
Will drilling in the Marcellus Shale, or other shale plays for that matter, continue its red-hot growth? The honest answer is, who knows? It depends on whether or not it’s profitable for energy companies to continue their shale gas drilling expansion. Right now, it appears that at least some companies are leaning away from further expansion in shale gas drilling because the commodity price of natural gas is low compared with oil. Many (most?) of the companies who drill for natural gas also drill for oil. If the price you get for gas is only barely covering your costs to drill, as it is right now for natural gas, you take a close look at the alternatives, like oil.
Some of the factors that will continue to affect the price of natural gas in the coming few years, and hence drillers’ willingness to drill:
An article on the Forbes website covers a recent energy conference held by Yale alumni. The focus of the article is on how America’s shale gas has turned around chemical companies. But MDN found this interesting paragraph talking about the Utica Shale:
Read More “Chesapeake Energy Paying $2,500 per Acre to Lease Utica Shale”
Is it time for homeowners to switch from heating with oil to heating with natural gas? More and more are doing just that.
Read More “Shale Gas Keeps Heating Prices Low for Homeowners”
Pittsburgh Tribune-Review (Oct 3):
CNX Gas Corp. chief: Slow down or stop gas drilling
Gas prices are depressed right now. The question is, how long will it go on? While prices are low, CNX Gas CEO Nick DeIuliis says drillers have to remember to be good business people and slow down or stop drilling to reign in costs. What does that mean for landowners? Will drilling slow down or stop any time soon? Good questions to ponder. A good article to read to give you an update on gas prices on the commodities market and the overall drilling landscape.