24 Dec '11, 3pm

Drumbeat: December 24, 2011

Drumbeat: December 24, 2011

Posted by Leanan on December 24, 2011 - 11:27am Shale Boom Heralds Fifth Year of Gas Declines Booming U.S. natural gas production from shale formations and slowing demand from households, factories and power plants are poised to send prices down for an unprecedented fifth year in 2012. Gas may tumble 8.2 percent from its 2011 average next year, as output rises 2.8 percent to a record 67.72 billion cubic feet a day, according to the Energy Department. Demand will probably climb 1.7 percent, after a 1.8 percent increase this year, the department said in its Dec. 6 Short-Term Energy Outlook. “It’s been practically impossible to turn off the shale- gas tap,” Adam Sieminski, chief energy economist at Deutsche Bank AG in Washington, said in a telephone interview Dec. 14. “Industrial demand has been rising, but it’s not enough.”

Full article: http://www.theoildrum.com/node/8764

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