Estimate Places Natural Gas Reserves 35% Higher

view article

Published at: www.nytimes.com

Dennis FagerstoneConsultantDennis Fagerstone

Reserves vs. Resources

June 30, 2009

This article correctly states that new technology has opened many areas in the US and worldwide for natural gas development. The 35% increase, however, is for resources, which is very different than reserves. These resources must be proven to be commercialy feasible for development before classification as reserves. At natural gas prices below $6/mmbtu, only 20-30 % of these resource plays in the US are commercial at present development cost levels. The quality of these unproven supplies must also be confirmed by drilling and testing. Adequate natural gas prices will be necessary to support development and conversion of this gas to reserves. 

at which costs

June 24, 2009

Analysis by: GLG Expert Contributor

Appraisal and drilling costs, reserves, reservoirs productivity are important issues that may compromise overall return

Natural Gas Reserves Surge

June 22, 2009

Analysis by: GLG Expert Contributor

New drilling technologies have made it possible to unlock substantial amounts of natural gas from shale rocks.  This has prompted the Potential Gas Committee to raise its estimate of gas reserves by 35%.  This includes proven reserves, as well as probable, possible and speculative reserves.