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Politics : Politics of Energy

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To: Road Walker who wrote (8594)	5/28/2009 7:23:17 AM
From: jrhana	Read Replies (2) of 86350

<Is production expensive?> No!!!!!!!!!!!!! As they have mastered the art of horizontal drilling, it has become cheaper and cheaper. They have had to modify techniques for each of the four major deposits. Message 25672732 But for instance the companies that are drilling the Marcellus, have been finding that each well is progressively cheaper as they hone down there techniques. For instance: <Frac costs are down significantly, though. We’ve seen a 44% reduction in costs there for the same job size. We’re also seeing considerable cost savings from efficiency improvements with the new custom rigs, new bits, reengineered mud systems, slider, new directional drilling companies, turnkey moves and improved completion designs.> Message 25609101 I read somewhere that this period of low NG prices has been actually a benefit to the companies involved in shale NG. It has forced them to reduce their costs by refining their techniques. Once again <It's called natural gas. It's clean. It's cheap. It's abundant. It's ours. And the choice is yours, guys.>

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