But big Marcellus news just out from the WSJ: Natural-Gas Driller to Disclose Chemical Use. Which honestly surprises me since I thought they had to disclose all that anyway.
Via The Street and from the folks who gave you Nabisco: Shale Gas the Flavor of the Season
Down in WV local governments are not benefiting as much as they planned on from all this new drilling activity. See: Low prices offset oil and gas boom. Not a knock on the industry actually. Maybe local governments were a bit optimistic in their projections? Anyone else being similarly optimistic in their projections?
Something more academic. A paper recently out: Do Americans Consume Too Little Natural Gas? An Empirical Test of Marginal Cost Pricing. by Lucas W. Davis Erich Muehlegger. From a few weeks ago, but more and more talk of a recent omnibus MIT report: The Future of Natural Gas: An Interdisciplinary MIT Study
From Wall Street (sort of). Everyone knows Cramer is kind of a nut. But a nut to listen to sometimes. I myself keep wondering why nobody really talks about what the implications are if indeed Marcellus production is half as successful as the industry makes it sound. A big supply increase has to push down prices . Anyway, from Cramer: A NatGas Glut Is a Good Thing? The answer depends who you are to a degree. It ends with the money quote and really underappreciated question that will shape the future:
"if natural gas didn't burn off its excess and spike in price off supply shortages in the last few weeks of heat, I don't know if it ever will again.”To back that up, all energy prices jumped up today except natural gas which bucked the trend. If we could only get this stuff on a boat, there is a big natgas shortage in Argentina.
yes yes I know full well there are 'boats'. One of the things you just stay away from at all costs are LNG carriers underway.