Surging Natural Gas Prices

How are the surging natural gas prices affecting drilling this year, and what about going into 2022?  Are the gas companies taking advantage of these higher prices?  What`s next?

Views: 75780

▶ Reply to This

Replies to This Discussion

Permalink Reply by Ralph cramdon on December 30, 2021 at 4:34am

Good point Paleface ,,, 

Permalink Reply by Kyle Nuttall on December 30, 2021 at 5:05am

That would be unusual.  Probably a lawsuit situation as well.  It would depend on what the lease and the division order say, of course, but I haven't heard of any producers paying the hedge price in the past.

Permalink Reply by paleface on December 30, 2021 at 7:58am

I’m trying to make sense of there price,its about $2.00 less than Bradford county producers,EQT,EQUIOR AND CHK?

Permalink Reply by Ralph cramdon on December 31, 2021 at 12:25am

CHK was roughly 75% hedged in 2021... EQT was higher if memory serves me ....

Permalink Reply by paleface on December 31, 2021 at 3:01am

If someone would tell us what Southwestern paid at the Painter well we could possibly see if the Bradford prices are attainable in Tioga. Seneca paid $2.92 for October Equinor was $4.95,EQT paid $4.75, CHK paid $4.65 this is for October.

Permalink Reply by farmgas on January 1, 2022 at 6:57am

Happy new Year!

Now that a new year is upon us how will 2022 look for the gas drilling industry?  Will we see more drilling or just more of the same as 2021?  Will gas prices stay above $3 or drop?  Who will be the surviving gas companies and which ones will be sold?  

How will January 1, 2023 look compared to today?

Permalink Reply by Ralph cramdon on January 1, 2022 at 1:48pm

Farmgas you are an intelligent guy ,, you seek answers to questions many Investors also have .... 

 All interested Energy Investors have our opinions ,its what makes markets ,, buyers and sellers who have different ideas on what the future holds ..... 

 production is bulging despite what the PR Depts tell us ..... Inventories have increased dramatically in just a few months ,,, the situation is hugely Bearish unless Winter unleashes its fury .. Some weather guys are still calling for extreme cold in Jan ,, we shall see .... I really like the future of N gas , but in the short term its hard to stay motivated to be an owner ...... Is gas headed below $3 this year ??? Without a real deal cold snap , I say it will creep below $3 ... Could be all wrong ,, take your best guesses and Invest accordingly ....Happy New Year .... 

Permalink Reply by farmgas on January 1, 2022 at 2:55pm

Thanks Ralph, I`m just a very experienced & anxious landowner wanting gas royalties!  Having spent over 15 years following this industry with all it`s ups & downs plus becoming a veteran of this website, I guess some of the news & knowledge has seeped into my soul & mind.  I probably won`t give up until that first royalty check deposit lands in my bank account.   Sound similar fellow landowners, hey?? 

Now if I could only find a magic wand or had a crystal ball to use....

It`s professional expertise from contributors like you Ralph that keeps this whole process worthwhile to follow.

Happy New Year!

Permalink Reply by Ralph cramdon on January 4, 2022 at 3:38am

As I have mentioned earlier ,, I thought I was smart by investing in Acreage in NY before the Ban of Fracking in NY .... I have land in Lindley , and NW of Corning and to the East as well ..... Most Industry insiders were surprised when the Ban  occurred.... Years later it looks like the Marcellus thins out going into NY ,,,, Utica may be viable ........ I have since sold the land but held onto the Mineral Rights ....... Having spent some time in the region , those local Folks sure could use some economic benefits that N Gas might provide ....... Colder here in. NY , but not for too long and not Nationwide .... 

  

Permalink Reply by farmgas on January 4, 2022 at 4:44pm

Unfortunately we must rely on the worst of the worst weather conditions occurring to encourage more drilling and thus the prospect for gas royalties.  As a landowner we can sell off our timber or farm our land plus any number of income producing activities.  Selling our natural gas resource is fairly easy but producing it is up to gas company whims or desires.  In the end, we really don`t have any control over what they choose to do with our gas!  We can hope & pray for terrible weather, I guess. 

Permalink Reply by Deb Reynolds on January 5, 2022 at 2:12am

Try not to think of it as terrible weather, guys. It's just natural for this area, and part of the beauty of living here. The good with the bad and all that. We need that cold to kill parasites (ticks,fleas, etc.) and germs. It's supposed to be that way, and it's not wrong for us to want to be part of the solution for people's heating needs, etc. Just don't be praying for nasty ice storms, LOL!!

Permalink Reply by farmgas on January 10, 2022 at 12:36pm

Ralph, without asking for personal or confidential information but how do professional investors view & use quarterly reports from gas companies?  Years ago they contained really detailed and useful information but now just seem to be financial information based.  Maybe I have asked this question before, and if so I apologize, but new reports for 4Q 2021 operation are coming at the end of this month.    

RSS

© 2024   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service