How a gas boom became a glut
Passengers on Pennsylvania’s natural-gas roller coaster are advised to check their restraining devices. It’s poised to change course again, producing nausea for some and shrieks of joy for others.
A combination of powerful forces – Mother Nature and supply and demand – is going to have at least a short-term impact on natural-gas drilling in the state. Low prices, full storage facilities, reduced use due to a mild winter, and slow-to-rebound industrial demand will likely slow down the industry for at least a year, and more likely longer. The state and the nation are reaching a temporary plateau in the natural-gas boom, with consequences both positive and negative.
What happened? And what’s next?
Supply is the leading factor. The shale-gas revolution has outpaced production estimates from just two years ago.
For the rest of the story visit, How a gas boom became a glut
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