There's Gas In Them There Hills

Posted by Bull Bear Trader | 4/02/2008 12:01:00 AM | , , , | 0 comments »

Natural-gas producers, many from Oklahoma and Texas, are converging on a thick wedge of natural gas-bearing rock called the Marcellus Shale, located from West Virginia to Pennsylvania. Chesapeake Energy, Anadarko Petroleum, and EOG Resources are either already drilling, or planning to drill. The find could be significant, with estimates from 1.9 trillion cubic feet to 168 trillion cubic feet. As comparison, the U.S. consumed a little over 23 trillion cubic feet last year. The locals, while not happy about the gold rush invasion from outside companies, are excited about the leasing prices they are receiving, with acre leases increasing from $5 to $2,000 in the last four years.

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