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Research and Markets: Shale Market in North America to 2016 - Motivated by Surplus Gas Production, Global Energy Players Eyeing Lucrative Asian Markets for Export

DUBLIN--(BUSINESS WIRE)-- Research and Markets (http://www.researchandmarkets.com/research/4d5jr7/shale_market_in) has announced the addition of the "Shale Market in North America to 2016 - Motivated by Surplus Gas Production, Global Energy Players Eyeing Lucrative Asian Markets for Export" report to their offering.

The Role of Shale Gas in Deciding the US Presidential Election:

President Obama faces a shale gas dilemma that threatens to damage his bid to secure a second term in the White House, states the latest report from natural resources experts GBI Research.

The US is currently endowed with a wealth of natural gas following years of overproduction, and while allowing exports would win friends within the industry and potentially boost the economy, it would anger those seeking to keep domestic prices low, says the new report*.

The past few years have seen natural prices falling to around $3 to $4 per million British thermal units (MMBtu), and the US Energy Information Administration EIA expects the annual wellhead natural gas price trend to remain at around $5 per MMBtu until 2025.

By contrast, liquefied natural gas (LNG) prices in potential trade countries, particularly those in Asia, are three times higher, suggesting a highly lucrative export market. However, shipping LNG abroad would alter the supply/demand balance and naturally result in a higher cost for US consumers.

The development of shale gas over recent years has significantly altered the US energy outlook and major industry players have significantly increased their 2012 capital expenditure (capex) for the development of shale plays.

ConocoPhillips and Chesapeake Energy announced respective capex of $2.3 billion and $2.4 billion for the development of the Eagle Ford shale play in 2012, while Bakken shale operators Continental Resources and the Hess Corporation, outlined respective 2012 capex of $1.1 billion and $1.9 billion in 2012.

GBI Research forecasts the total US shale play capex to reach $52.1 billion by 2016, climbing at an average annual growth rate (AAGR) of 11.9% from the expected 2012 figure of $35.3 billion.

This report look at how the North American shale gas sector has progressed significantly following development of the first shale play: the Barnett Shale.

This report was built using data and information sourced from proprietary databases, primary and secondary research, and in-house analysis conducted by GBI Research's team of industry experts.

Companies Mentioned:

- Bakken Shale

- Barnett Shale

- Eagle Ford Shale

- Fayetteville Shale

- Haynesville

- Bossier Shale

- Marcellus Shale

- Woodford Shale

For more information visit http://www.researchandmarkets.com/research/4d5jr7/shale_market_in

Research and Markets
Laura Wood, Senior Manager.
press@researchandmarkets.com
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Fax (outside U.S.): +353-1-481-1716
Sector: Energy and Natural Resources

Source: Research and Markets