Friday, May 30, 2008

Economic Benefits of Haynesville Shale could be 'Monstrous' for Louisiana

The Haynesville Shale is being described as one of the richest fields of natural gas ever discovered in Louisiana and possibly in the United States. If it is as viable as several large companies believe, it will bring billions of dollars into the state treasury over the long run.

“The economic impact will be absolutely monstrous if it’s as big as it can be,” said Don Briggs, president of the Louisiana Oil and Gas Association.

Until now, the production of oil and gas in Louisiana has been obtained from the conventional subsurface reservoirs that are located in sandstone or limestone formations. The Haynesville Play is predicated on shale as the subsurface source of natural gas, according to information from M.B. Kumar, Office of Conservation geologist administrator. The shale is a rock formation mainly composed of consolidated clay-sized particles deposited and buried in the north Louisiana geological basin more than 170 million years ago during the geologic Jurassic time. It's characterized by ultra-low permeability in contrast with the conventional sandstone/limestone reservoir rocks that have high permeability.

The shale’s boundaries are still up for interpretation. But the hot zones appear to include all of DeSoto Parish, the mid- to southern regions of Caddo and Bossier parishes, the southern tip of Webster, the western end of Bienville, most of Red River, the upper parts of Sabine and Natchitoches parishes and sections of East Texas.

What if the Haynesville Shale turns out to overshadow the East Texas Barnett Shale, the granddaddy of all natural gas fields? “We don’t know how that will look. It’s going to take a little time,” Briggs said. “However, there’s obviously enough evidence with the preliminary test that certainly has sparked an immense fever of excitement about drilling in the Haynesville Shale, and it could be very big. The economic impact to the northwest part of the state and the state of Louisiana will be very substantial.”

The need for more energy in the United States is behind the push to explore these natural gas fields. Louisiana is a net consumer of natural gas, consuming all of what’s produced in state. “We have a tremendous need for it with all of the petrochemical industry that we have. That’s a power source. … The heart of the natural gas industry flows through all of Louisiana and flows through the rest of the country. Twenty-five percent of all natural gas for the country flows through Louisiana,” Briggs said.

The News Star

Chesapeake Energy announced the find in March. Chesapeake is the largest independent and third-largest overall producer of natural gas in the U.S. Headquartered in Oklahoma City, the company's operations are focused on exploratory and developmental drilling and corporate and property acquisitions in the Mid-Continent, Fort Worth Barnett Shale, Fayetteville Shale, Haynesville Shale, Permian Basin, Delaware Basin, South Texas, Texas Gulf Coast, Ark-La-Tex and Appalachian Basin.

Chesapeake CEO Aubrey McLendon believes that the Haynesville Play is the biggest thing Chesapeake has ever been into, and they are knee-deep in the Barnett Shale in Texas, currently the largest gas field in the country.

Other Sources for information:

My Bossier

Oil & Gas Investor

The Absurd Report

Prime News Wire

Yahoo! Finance

Houston Business Journal

Reuters

Forbes

Fort Worth Business Press

State Revenue Department Information on Natural Gas Severance Tax

10 comments:

Anonymous said...

This is my first post I'd like to thank you for such a terrific quality forum!
I was sure this is a nice way to make my first post!

Sincerely,
Robin Toby
if you're ever bored check out my site!
[url=http://www.partyopedia.com/articles/strawberry-shortcake-party-supplies.html]strawberry shortcake Party Supplies[/url].

Anonymous said...

Hello. My wife and I bought our house about 6 months ago. It was a foreclosure and we were able to get a great deal on it. We also took advantage of the 8K tax credit so that definitely helped. We did an extensive remodeling job and now I want to refinance to cut the term to a 20 or 15 year loan. Does anyone know any good sites for mortgage information? Thanks!

Mike

Anonymous said...

Hi,

I am regular visitor of this website[url=http://www.weightrapidloss.com/lose-10-pounds-in-2-weeks-quick-weight-loss-tips].[/url]Plenty of useful information on jindalwatch.blogspot.com. Frankly speaking we really do not pay attention towards our health. Let me present you with one fact here. Recent Research points that closely 50% of all United States grownups are either fat or overweight[url=http://www.weightrapidloss.com/lose-10-pounds-in-2-weeks-quick-weight-loss-tips].[/url] Therefore if you're one of these individuals, you're not alone. Infact many among us need to lose 10 to 20 lbs once in a while to get sexy and perfect six pack abs. Now next question is how you can achive quick weight loss? Quick weight loss can be achived with little effort. Some improvement in of daily activity can help us in losing weight quickly.

About me: I am writer of [url=http://www.weightrapidloss.com/lose-10-pounds-in-2-weeks-quick-weight-loss-tips]Quick weight loss tips[/url]. I am also health trainer who can help you lose weight quickly. If you do not want to go under hard training program than you may also try [url=http://www.weightrapidloss.com/acai-berry-for-quick-weight-loss]Acai Berry[/url] or [url=http://www.weightrapidloss.com/colon-cleanse-for-weight-loss]Colon Cleansing[/url] for quick weight loss.

Anonymous said...

martin serial number dating http://loveepicentre.com/ dating sample letters

Anonymous said...

clickbank ebook clickbank market http://audiobookscollection.co.uk/Mood-Disorders-A-Handbook-of-Science-and-Practice/p106296/ estadistica ebook free [url=http://audiobookscollection.co.uk/es/Mastering-Autodesk-Inventor-2010/p143485/]ebook reader backlight[/url] read kneller's happy campers online ebook

Anonymous said...

business communication ebook http://audiobooksworld.co.uk/de/Book-Of-Lost-Things/p228250/ 70-291 ebook [url=http://audiobooksworld.co.uk/L-inceste-et-l-incestuel/p228213/]ebook sotre[/url] content management ebook

Anonymous said...

plata quemada descargar ebook http://audiobooksworld.co.uk/Hamid-Ouali/m47384/ beat making on the mpc500 ebook [url=http://audiobooksworld.co.uk/fr/authors/?letter=Sg]free compiler concept ebook[/url] ebook pdf t rk e
[url=http://audiobooksworld.co.uk/Gillian-Jack/m44097/][img]http://audiobooksworld.co.uk/image/4.gif[/img][/url]

Anonymous said...

[url=http://certifiedpharmacy.co.uk/products/confido.htm][img]http://onlinemedistore.com/2.jpg[/img][/url]
randall pharmacy texas houston http://certifiedpharmacy.co.uk/categories/weight-loss.htm pharmacy employment saudi [url=http://certifiedpharmacy.co.uk/catalogue/k.htm]eckerds pharmacy[/url]
percodan online pharmacy http://certifiedpharmacy.co.uk/products/hangoff-helper.htm byerlys pharmacy minneapolis mn [url=http://certifiedpharmacy.co.uk/products/viagra.htm]viagra[/url]
walgreen pharmacy based medical clinics http://certifiedpharmacy.co.uk/products/mentax.htm pennsylvania pharmacy [url=http://certifiedpharmacy.co.uk/products/zyban.htm]pharmacy technican in mississippi[/url]
oncology pharmacy practice http://certifiedpharmacy.co.uk/products/prednisolone.htm diamond pharmacy [url=http://certifiedpharmacy.co.uk/products/cefadroxil.htm]cefadroxil[/url]

Anonymous said...

[url=http://certifiedpharmacy.co.uk/products/xenical.htm][img]http://onlinemedistore.com/8.jpg[/img][/url]
pharmacy prices nicomide http://certifiedpharmacy.co.uk/products/himcolin.htm no prescrition ativans us pharmacy [url=http://certifiedpharmacy.co.uk/products/quibron-t.htm]cvs pharmacy brandon fl[/url]
pharmacy approval letters http://certifiedpharmacy.co.uk/products/diclofenac.htm manerex pharmacy products [url=http://certifiedpharmacy.co.uk/products/buspar.htm]buspar[/url]
univiersity of north carolina school of pharmacy http://certifiedpharmacy.co.uk/products/calan.htm fluconazole 50 mg pet health pharmacy no prescription [url=http://certifiedpharmacy.co.uk/products/cardizem.htm]online pharmacy chat[/url]
texas tech college of pharmacy continuing education programs http://certifiedpharmacy.co.uk/products/hytrin.htm pharmacy errors [url=http://certifiedpharmacy.co.uk/products/accupril.htm]accupril[/url]

Anonymous said...

signs he's dating someone else [url=http://freeinternetdating.info/friendship/friendship-valentine-quotes]friendship valentine quotes[/url] married old couple dating old woman
big beautiful women singles dating georgia http://freeinternetdating.info/meet/meet-and-fuck-leika-game-review 100 top free dating sites
elf sim dating game [url=http://freeinternetdating.info/matchmaking/china-premium-matchmaking]dating site for filipina girls[/url] local swingers dating phone singles local