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Permalink Reply by P.G. on November 23, 2011 at 0:13

I wonder what NG would be or go to if there were a serious push to replace 20% or so of the petroleum used in this country for transportation fuel?

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Permalink Reply by The_Baron on November 23, 2011 at 4:42

It would rise of course, but I would expect shale gas drilling to rise accordingly.

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Permalink Reply by P.G. on November 23, 2011 at 5:45

more drilling might be something folks around here wouldn't mind

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Permalink Reply by Hopeful About Natural Gas on November 23, 2011 at 17:30

Mike, I am 60 years old and one thing I've learned is the NOONE can predict the future.  Five years ago natgas was dwindling and we were looking at importing it.  I am one of the least knowledgeable people here since I don't work in the biz.  But, here is my guesstimate at the mid term outlook.

 

We have so much shale gas around the world! We must figure out how to use it all.  Shale gas seems to be almost everywhere in the world where they look for it.  Add to this the huge debt companies took on to develop the first shales (Barnett, Haynesville)  The companies MUST pump to pay debt.  All of this leads to huge supplies while the uses for natgas have hardly budged in comparison.

 

I personally believe that NOTHING except cheap energy from shale gas can reignite our economy in the US and in other parts of the world. There are lots of creative people working on the environmental problems shale presents and I expect them to solve them in the near future. We really need to work on new uses for natgas, like in transportation.

 

What may be lousy for us as individual landowners (low prices) might be good for us as a nation. Think of a domestic energy supply that is much cheaper and cleaner than oil or coal.  That would kick start our economy and be good for all of us in the long term.

 

It is possible that the world's governments will print a bunch of money to pay their debts and ignite inflation.  That could cause the price to rise, but it would not have to. For example, housing rose in the last inflationary period but I doubt it's going to rise much in the next inflation cycle.  However, I would like to hear other people's opinions on inflation's impact on natgas prices.

 

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Permalink Reply by P.G. on November 24, 2011 at 5:02

I heard them talking on the news that any meaningful economic recovery will get sucked dry by petroleum producing nations....natural gas is about our only hope...

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Permalink Reply by Hopeful About Natural Gas on November 24, 2011 at 10:48

Shale gas means FREEDOM from OPEC, Iran and Russian monopolies.  Poland has lots of shale and they are going gangbusters to develop it.  Shale gas means economic freedom for Poles who were under the thumb of the Nazis and the Russians for decades.

 

Shale gas is all over the world - which is one reason why the price may stay low. BUT, the benefit is that it will help all of us economcally to have cheaper, cleaner and freer fuels.  Shale gas can be true game changer in many places. There are many forces trying to stop it - both environmental advocates and lobbyists for coal and nuke interests.  Politics makes strange bedfellows :)

 

However, I do fear that overseas countries may not be able to regulate natgas as we can.  They don't have the years of experience, environmental studies, etc.  We can't forget that ANY exploration for ANY kind of fossil fuel has it's risks.  I think we can manage those risks, but I am concerned for countries like Poland and smaller ones.  That could give shale gas an even worse reputation in the media.

 

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Permalink Reply by DrWAVeSport Cd1 on December 2, 2011 at 8:06

Food For Thought...Remember, nat gas prices are not like oil prices.  Oil price goes up, the U.S. takes an economic hit.  Oil prices go down, the U.S. remains addicted to OPEC and the economic static quo.  Nat gas prices go up, the U.S. is affected really at the utilities level, i.e., higher home heating bills, higher utility bills for commercial nat gas customers.  Nat gas prices go down, lower utility bills.  No real National woes with nat gas prices. 

When oil prices go south, the U.S. remains locked into its same foreign-energy-dependent consumptive behaviors.  Why change?  When oil's cheap -- Little incentive for change. 

But, when natural gas prices go south...the U.S. gets a golden opportunity for a new energy life....

When, and IF, the U.S. embraces cleaner-greener independence-based, TRILLONS-of-dollars-worth-of  DOMESTICALLY-SUPPLIED natural gas that can be produced, supplied and sold for a hundred years, 100% by the U.S., for the U.S., without any OPEC Handcuffs  --  And, the U.S. decides WE won't be at-the-mercy-of or energy dependent any longer on the WORLD's Energy "temperature-of-the-moment" volitilty, --  Domestic Natural Gas Production at $3 or $4 dollars is the "Independence Bowl" Ticket of OUR 21st Century.   ...And, WE hold that winning TICKET!!!!!!  

It is almost a blessing in disquise.  That is low U.S. natural gas prices.  Of course it hurts on the mineral owner side (ouch), and the Producer side (more ouch)!  But, WE need lower Natural Gas prices,  Natural gas at $8 mcf won't grow the demand side for U.S. owning and driving  CNG vehicles, or provide new domestic, home-grown jobs for an emerging U.S. Nat Gas Shale/CNG Industry, -- And, most importantly, the U.S. will never be ENERGY FREER or ENERGY GREENER with $8/mcf natural gas --  At $8/mcf (or higher) there is NO incentive for U.S. to switch from diesel and gasoline -- to CNG.   At $8/mcf, the cost/benefit differences between what the U.S. consumer uses today for energy supply and what the Shale/CNG Movement needs the U.S. consumer to convert to for a NEW/BETTER (IMO) energy supply/source...become almost moot...at $8/mcf.  It diminishes any urgency or outcry for U.S. Energy reform.   

Low domestic natural gas prices/higher gasoline-at-the-pump prices...versus...high foreign natural gas/oil prices are a necessary incentive for a U.S. Consumer Energy Freedom Movement/Moment of Truth Scenario.  

As an American energy-consumer, as a HS mineral owner, I want to be FREEEEEEEEEEEEEEE of Our U.S. Foreign Oil/Energy OPEC-Owned Handcuffs!!!!   Remember, WE handcuffed ourselves.  WE "bought" our own energy "handcuffs." WE wanted low/cheap gasoline prices.  WE loved that cheap gas!  WE wrote off the U.S. Energy Industry...For "low" Foreign oil prices.  Did I just say "low" oil prices initially created OPEC Wealth? Hummmmmm? 

Then could "low" U.S. natural gas prices help create U.S. Wealth?????  Help reverse Our U.S. $2 Billion dollar-a-day Energy-Economically-Self-Destructive HABIT with OPEC???  CLUE:  Foreign Natural Gas prices are TRIPLE U.S. prices...  Does Anyone see U.S. running around begging to develop an OPEC/Foreign NATURAL GAS ADDICTION?  LOL!!!!!!!  (Thinking again...I #$#@**&^** Hope Not!)

I want to be FREEEEE of U.S. FOREIGN OIL Handcuffs!  And, the U.S./Domestically-Supplied Natural Gas and Oil Shales will help FREE U.S. and Clean U.S. up.  At "low" nat gas prices...Maybe...U.S. Could become a "Foreign" supplier of Natural Gas...and, help other OPEC-Handcuffed Nations shed their Billion-Dollar-A-Day HABITS and Clean UP too.  What's going on here?  The U.S. becoming an International ENERGY POWERHOUSE? Could it really be Possible?  Practical?   Producible?  Someone Wake Me Up!  LOL.

I am proud to be a wee small supplier of the U.S. product that CAN and WILL (someday) produce the natural gas Energy I will be putting into (Hopefully) My U.S. Manufactured CNG Vehicle! 

Low U.S. natural gas prices are the only way WE can really get THEIR/U.S.'s Attention and Create Change...Demand-Side speaking. 

Personally speaking, I don't want to see $8 natural gas.  I DO want to see a CHK Check, however...  LOL.

Catch-22, always!

DrWAVeSport Cd1 12/2/2011

  

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Permalink Reply by Hopeful About Natural Gas on December 2, 2011 at 8:19

BINGO!!!

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Permalink Reply by DrWAVeSport Cd1 on December 2, 2011 at 8:34

HANG,

Glad I got that off my chest!  LOL.   The "Super" Committee made me say it!  LOL. 

Let's Hope, Hopful, they don't create a "Super" Energy Committee!.  We certainly know the outcome for that one.  ZERO. 

HANG, Wishing You and Yours a Great GHS Holiday Season!

DrWAVeSport Cd1 12/2/2011   

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Permalink Reply by Mike Jackson on December 8, 2011 at 11:37

That put me in another perspective on my assets... THX

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Permalink Reply by DrWAVeSport Cd1 on December 8, 2011 at 12:10

MJ,

Your welcome.  LOL

Again, Hoping you and yours have a Great GHS Holiday Season.

DrWAVeSport Cd1 12/8/2011

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