CapNgain

Investing in Natural Gas: It's Time

Before I'm willing to predict which way NG prices will go, I want to understand the underlying fundamentals. Can anyone answer the following questions:

a) At < $3.00 NG, are any NG companies making money, and if so, who?
b) What is the current lowest cost today to start drilling and producing NG from the largest shale plays?
c) If you've already drilled and Frac'd some shale, what's the incremental costs to extract this gas and get it to market?

In my opinion, economic extraction of NG from shale is a relatively new paradigmshift, so until the world energy producers and consumers get a better handle on what this new supply means, the traditional NG to Oil price ratios may stay at non-traditional levels for quite a long period of time.

Regards,

Curtis.