Insight
2015 Cost of Supply Update
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Report summary
The collapse in oil prices has had a mixed impact on gas supply. While associated gas economics have deteriorated, wellhead costs have fallen and returns in dry gas plays are more competitive. The Marcellus and Utica will add 10 bcfd over the next three years and are aided by a higher NGL prices and additional pipe. Costs in the Haynesville have fallen by 20% while EURs have increased by 60%. Early refraturing results are mixed but could provide additional volumes from the Haynesville.
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