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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: t4texas who wrote (161221)	12/16/2011 6:13:24 PM
From: Dennis Roth	1 Recommendation Respond to of 206184

Cash flow would be my WAG. If they sell no gas, they get no cash. They may not be recouping their drilling costs selling at low prices but they're getting cash in to stay current on debt obligations and meet payroll. It's the difference between going broke slowly while hoping for better prices or going broke fast. If some companies shut in production and others do not, the shut-ins make the sacrifice and the others enjoy the higher prices. The producers would have to form an illegal cartel and all conspire together to reduce production and drive up prices or the effort will fail due to cheaters in and outside the cartel. Farmers have often faced the same problem when they over produce and need government programs to support price and pay some of them not to plant. Just my WAG. I've never worked in the business.