Question to those who are more saavy with reading these reports. But, in the Tristone Capital research report that has been referenced and discussed in a number of separate threads on this site, there was mention that the underlying resource value could be approximately 60Tcf of natural gas.
I have heard Chesapeake suggest at least 7.5Tcf and up to 20Tcf. While I realize it is still very early, I do expect that Chesapeake (as a public company) is being conservative at this stage. And, this is simply an amazing figure (the 20 Tcf...and certainly the 60Tcf) in relation to the Barnett Shale size (27Tcf I think????). Any confirmations or thoughts on the estimated size...realizing that it is still very early?
Supposedly, the size of the Barnett Shale is in the range of 27 Trillion cubic feet of natural gas (Tcf). The Tristone report suggests that it may be 60 Trillion cubic feet. And Mineral411 is suggesting he has heard unsubstantiated number of approximately 180 trillion cubic feet. That would be HUGE! Not sure I can believe the 180, but we'll wait and see.
Ladyoaks, the Tristone Report is slightly dated and does not reflect recent Chesapeake estimates of 250 Tcf in the 3.5 million acre core (Louisiana & Texas). This resource level would be 5 times the estimate of 50 Tcf for the Barnett Shale. Several companies have estimated resource levels at ~ 50 Bcf per section (640 acres) or about 6.5 Bcf per well based on 80 acre spacing.
The 6.5 Bcf value was given as average by Chesapeake and Petrohawk and would reflect the areas they have acreage which is generally 200 - 250' thick. EnCana has holdings futher south and may have a lower number. Comstock has quaoted 5.5 Bcf per well.
Pilgrim, as Parker stated some people have quoted 30 - 50 years. I believe 20 - 30 years may be more realistic but there has not been enough history of shale gas production to make a proper assessment of average well life.
As exciting as this is, we know that we have a responsibility to do this thing correctly. After all, we want the farm to remain a place where the family can gather for another 80 years and beyond. This site was born out of these desires. Before we started this site, googling "shale' brought up little information. Certainly nothing that was useful as we negotiated a lease. Read More