ericinNE

The Realities of Natural Gas

That was for Georealist.

The Realities of Natural Gas

Oh, and yeah. Buy some UNG or GAZ.

The Realities of Natural Gas

My take on this was that, while nat gas would appear to have been seen as a more cost effectively integrateable alternate electricity generating fuel than it will probably actually be, nat gas itself is going to be as subject to supply/demand problems as oil is, making large scale investments in new production facilty construction, or existing facility conversion, less cost effective than here-to-for supposed. As nat gas catches up to oil in overall btu-kwh cost, these largescale investments lose much of their economic appeal. The article totaly ignored the peripheral, but very important aspect of nat gas's cleaner impact on the environment, compared to oil or coal. Some perspective on the investment cost of expanded nat gas usage compared to renewable's would have made the article more pertinant. My final takeaway was that nat gas is going higher, but it's higher cost will negatively impact it's consistant run-up, causing similar pullbacks in price due to reduced demand at times. What the "powers that be" choose to do by way of furthur infrastructure investing may well have a more negative than positive overall effect on the macroeconomic landscape than those same "powers that be" are capable of understanding. The regulatory approach issue will, of course, be a cluster****. So whats new?