#5 - Gas Boom Goes Bust

theoildrum.com 29 Dec '12, 11am

#5 - Gas Boom Goes Bust

Gas shale wells are expensive to drill and complete as well are the cost of the leases on which they are drilled. Even though initial gas production from shale wells is huge, the low price has depressed the amount of cash companies are receiving. As a result, producers are spending well in excess of their cash flows. To supplement cash flow, producers have engaged in every known trick in the finance book to boost available funds. These tactics include hedging forward future production whenever high prices are available, tapping Wall Street to raise equity and debt, and seeking out relationships such as joint ventures with larger, and often foreign, oil and gas companies. In order to access Wall Street capital, producers have needed to demonstrate that they are being successful in exercising a strategy for aggressive wealth creation. That means aggressively buying acreage a...

Full article: http://www.theoildrum.com/node/9744

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@staghunting » 01 Jan '13, 2pm
Gas shale wells are expensive to drill...low price has depressed the amount of cash RT @energylover: Gas Boom Goes Bust [link]
@onahunttoday » 31 Dec '12, 11pm
RT @energylover: Gas Boom Goes Bust [link]
@albertasoapbox » 31 Dec '12, 8pm
RT @TheOilDrum: #5 - Gas Boom Goes Bust [link] very predictable ! Long run hopefully good for #Alberta #yyc #yeg #abpoli
@nartured » 30 Dec '12, 3pm
#5 - Gas Boom Goes Bust [link] #SupplyProduction #futures
@soshann » 30 Dec '12, 9am
#NaturalGas Boom Goes Bust. #Investors beware #LNG #CSG production costs exceed returns as supply exceeds demand [link]
@superSamantha85 » 30 Dec '12, 3am
The Oil Drum | #5 - Gas Boom Goes Bust: 6, 2011 article in Rigzone: Musings: Imagining The Future for The Natura... [link]
@chrisalecanada » 29 Dec '12, 4pm
#bcpoli might want to consider this: “@TheOilDrum: #5 - Gas Boom Goes Bust [link]” @tomfletcherbc @KeithBoag @WoodfordCKNW980
@ProfJonTaylor » 29 Dec '12, 3pm
RT @bigtkirk: The coming bust in the natural gas market. [link]
@ptone » 29 Dec '12, 3pm
Great data oriented (re)post debunking current natural gas boom [link] note that post from 2/12 & NG dipped below $2 in 12/12
@johnbijarney » 29 Dec '12, 2pm
#5 - Gas Boom Goes Bust [link] via @sharethis
@bigtkirk » 29 Dec '12, 1pm
The coming bust in the natural gas market. [link]
@GroenWerkt » 29 Dec '12, 12pm
#oildr #5 - Gas Boom Goes Bust #mlfeeds: The Oil Drum staff wishes Happy Holidays to all in our readership commu... [link]
@NatGasInvesting » 29 Dec '12, 12pm
The Oil Drum | #5 - Gas Boom Goes Bust: 6, 2011 article in Rigzone: Musings: Imagining The Future for Th... [link] #natgas
@skintnick » 29 Dec '12, 12pm
“natural gas...recently enjoyed a boom. As night follows day, a bust is sure to come. I...submit it has just arrived.” [link]
@PKinbangkok » 29 Dec '12, 12pm
"@PeakOilNews: TheOilDrum: #5 - Gas Boom Goes Bust [link]"
@sonicviz » 29 Dec '12, 12pm
RT @TheOilDrum: #5 - Gas Boom Goes Bust [link]
@openib » 29 Dec '12, 11am
#5 - Gas Boom Goes Bust: The Oil Drum staff wishes Happy Holidays to all in our readership community. We... [link] #iSolar
@jpgseva » 29 Dec '12, 11am
#energy #oil #5 - Gas Boom Goes Bust [link] - @TheOilDrum
@EnergySysNews » 29 Dec '12, 11am
[oilbarrel] #5 - Gas Boom Goes Bust: The Oil Drum staff wishes Happy Holidays to all in our readership community... [link]
@bigpicturetv » 29 Dec '12, 11am
The Oil Drum: #5 - Gas Boom Goes Bust: The Oil Drum staff wishes Happy Holidays to all in our readership communi... [link]
@waynemaceyka » 29 Dec '12, 11am
via @TheOilDrum: #5 - Gas Boom Goes Bust: The Oil Drum staff wishes Happy Holidays to all in our readership comm... [link]
@komaliaint » 29 Dec '12, 11am
#5 - Gas Boom Goes Bust: The Oil Drum staff wishes Happy Holidays to all in our readership community. We are on ... [link]
@TheOilDrum » 29 Dec '12, 11am
#5 - Gas Boom Goes Bust [link]
@fixfrankenstein » 29 Dec '12, 11am
via @TheOilDrum: #5 - Gas Boom Goes Bust: The Oil Drum staff wishes Happy Holidays to all in our readership comm... [link]
@WeBuyWasteOil » 29 Dec '12, 11am
#5 - Gas Boom Goes Bust [link] [link]