According to the projections of U.S. Energy Information Administration (EIA), shale gas production is expected to continue to grow in the coming years.
Nearly all of Southwestern’s production is natural gas. So natural gas prices are an incredibly important determinant of revenues and earnings for the company.
Natural gas and nitrogenous fertilizers Natural gas is a major raw material input in the production of nitrogenous fertilizers, such as urea and ammonia, ranging from 40% to 70% of cost of goods sold. A higher natural gas price increases the cost of goods sold and compresses margins. This in turn lowers earnings and free […]
The Permian Basin is one of the US’s primary drivers of oil production growth. Market Realist provides an overview of this prolific hydrocarbon asset with a primer piece: “Introduction to the Permian Basin”.
Natural gas continued to lose market share to coal in February, the third month in a row that this has occurred. The market share loss was due to the rise in natural gas prices relative to coal.
Natural gas gained significant market share against coal in 2012 for usage in power generation. Long-term, the EIA expects natural gas to gain market share.
