The shale-gas revolution has been, like all revolutions, a mixed blessing. It has unleashed a flood of cheap energy on the nation, but it’s also created a treadmill for drillers who must keep pouring capital into wells in a potentially hopeless attempt to show growing earnings from producing gas.
Retired BHP Billiton Chief Charles “Chip” Goodyear sketched out this bleak scenario this afternoon at the Yale Alumni in Energy Conference, an annual gathering of alumni active in all sides of the energy industry. Far from becoming a vast new source of baseload electricity fuel or even exports as liquified natural gas, a lot of the shale gas will essentially serve as a reserve in times of shortage, he said.
I especially like the 'hopeless attempt' to show earnings from producing gas
If this doesn't vallidate what cadmium_telluride has been saying for the past year, I don't know what does.
Brawn421....great perspective. Now that we have a rich supply of a powerful energy source what we need is some of our major corporations to bring their overseas profits back to the US and invest them in R&D. Double taxation of corporate profits is keeping major corporation from bringing their profits back to US based banks and limiting innovation. The problem now is we have more shale gas than we can consume in the US right now. How many filling stations do you know of? How many ports are there to export? (One) and the others proposed are getting challenged with crazy taxes. Why do you think the chinese are investing in US based NG companies? You got it, to borrow our knowledge and beat us at our own game. The chinese can initiate legislation in days and weeks, it takes years to decades to pass crazy bills in the US unless a looming deadline is coming and every Senator can get free Air Time on CNN or Fox News. By the way, i dont care Democrat, Republican, Tea Party, Liberatian i am looking for the Do something Party! The young guns like Paul Ryan, Ted Cruz, Ron Paul guys who understand what the constitution where intended for and not afraid to,take a stand and work! American innovation is there lets get washington to "get out of the way"!