Heard last evening on the Kudlow show on CNBC that the Obama administration is stopping land leasing for environmental reasons in the Utica. No more details were given. Any one heard any more news about this issue?
I could not get the content of the recent link someone posted here about CHK. The poster's message said an analyst/s reported that McClendon had overvalued some land among other things. Is it the same as EVEP's holdings in the Utica?
Thank you Rip and Otto. Maybe this has something to do with the PPS falling along with the delay of closing a deal. I still believe that $100.00+ is going to happen, but when is the big question. Thanks again guys!
My pleasure. The media tends to put out sound bytes without real context. I am confident this stock will be well over $100 in the next twelve months. In fact, I will be scooping up a couple more thousand shares with the recent weakness. The market is extremely myopic right now given all of the political and economic headwinds. In addition, I believe some institutional owners may be locking in some profits going in to the end of the year.
In my opinion, this is one of the most asymmetric investments in the market. Unfortunately, most of the critics don't believe management and or haven't taken the time to do the valuation work and due diligence.
This is a post from the National Association of Manufacturers yesterday. The delay pertains specifically to the Wayne National Forest not privately owned properties.
Earlier this week the U.S. Forest Service delayed the lease sale of approximately 3,300 acres in the Wayne National Forest for shale oil and gas drilling. The Forest Service states that conditions have changed since the 2006 Forest plan was developed.
The exploration and development of shale oil and gas is creating thousands of jobs across Ohio and neighboring states, and providing a significant economic boost to the local communities. The impacts of shale exploration and development are felt throughout the economy, from the companies that do the fracturing all the way to the local restaurants and hotels.
Just recently the Ohio Oil and Gas Energy Education Program estimated that drilling in the Utica shale in Ohio would produce up to 204,500 jobs by 2015. These much-needed jobs are put at risk with the delay of the lease sale.
Manufactures remain concerned with how this delay and potential future delays will directly impact their energy costs and ability to compete. Access to affordable sources of energy is directly linked to the competitiveness of manufacturers as they use one-third of our nation’s energy supply.
We are hopeful that this lease sale delay in the Wayne National Forest does not trigger a chain reaction for similar delays throughout the country, potentially locking up an important resource and driver of job creation. Our nation needs jobs and shale development provides a tremendous opportunity for job creation as well as access to an important and valuable new source of energy.
The US Forest Service has used delaying tactics on all National Forests due to extreme pressure from environmental groups and interal pressure for the Obama administration. The Allegheny National Forest in NY/PA has been tied up for yours while the USFS completes it's "study", which never is quite finished.
The good news is that in Ohio this is a relatively small National Forest, and if it is non-contiguous (meaning if there is private property within the boundaries) those landowners can still lease their properties to gas companies if they choose.