Major capital investments in the North American gas shales sector could accelerate rates of drilling and production to cause downward pressure on prices. An article on the Reuters.com website explores gas shale investments and their potential impact upon prices.
A letter published in The Ithaca Journal complains about the many foreign companies who have purchased major stakes in United States gas shale companies.
BHP Billiton, the worlds largest mining company which also holds major oil and gas interests, has purchased a $4.7 billion stake in the Fayetteville Shale from Chesapeake Energy. More at Reuters.
PetroChina plans to purchase half of EnCana’s Montney Shale assets in Alberta and British Columbia for $5.4 billion (Canadian). In the past 14 months Chinese oil and gas companies have acquired $46 billion in foreign resources. More at RigZone.com.
An article on the ABCNews site reports that Chesapeake Energy hopes to sell $5 billion in assets during calendar year 2012. Included in the sale are all of Chesapeake’s holdings in the Fayetteville Shale in Arkansas.
A few oil and gas companies have received shareholder resolutions calling for disclosure of risks associated with hydraulic fracturing. Some resolutions even specify field operating methods for the fracking procedure. More in an article titled “Investors Seek Disclosure of Fracking Oil, Gas Risks” at BusinessInsurance.com.
