"The current boom in drilling for ‘unconventional’ gas has helped raise US production to levels not seen since the early 1970′s. This has been an incredible boon to consumers and has kept spot prices contained below $5 per million BTU for the past year, recently dropping below $3/mmbtu. Unfortunately, this price is below the cost of production for many of these new wells. When the flood of investment currently pouring into natural gas drilling operations dries up, the inevitable bust will be as scary as the boom was exciting."
Hey, the US was supposed to have gobs of cheap gas for the next 100 years! What gives? -- Rice Farmer
This is a must-read for anyone who follows fracking closely. Up until he died, Matt Simmons would say over and over that fracking was a net-energy loser. Now we see that natgas is so abundant that it is selling for less than it costs to produce. I think that one of the reasons the lobbyists fight so hard for it (they own Obama) is because if it were stopped the American people would realize how badly they have been raped by brazen criminals.
Fracking must be stopped and opposed at every turn. Our side has scored some great victories. At the same time we must acknowledge that when we succeed in banning fracking GDP will take a huge hit. That's because most generating stations in this country are gas-powered and there can be no significant economic activity without electricity. This is a good piece of work. -- MCR
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