Sunday, February 24, 2013

Another Big New Shale Play?

Apparently the next big thing is the Cline Shale in West Texas.  Fortunately for gas fans, it seems to be oil-heavy and big, which will make E&P people lather uncontrollably.  The downside for gas fans is the inevitable addition of new associated gas (gas as an unintended target) to the market.  Unlike the Bakken Shale in North Dakota, which has very little natural gas takeaway infrastructure (thus forcing operators to flare lots of the gas produced rather than deliver it to market), the Permian Basin has lots of pipeline infrastructure.

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