New Natural Gas Initiative - Lock in prices for 5 years - Good idea?

digital-audiophile · #1 05-03-2007, 05:26 PM

My current insight and forecast from working in an anylist role oil for a major natural gas producer:

Drilling has been at a very low pace so far in 2007 due to low natural gas commodity prices and a large volume of gas in storage faucilities. We do not predict doing a lot more drilling through the balance of the year either. This holds true for most other oil & gas drilling companies in Alberta. There are current pending court battles in regards to the ownership of the natural resources in regards to coal bed methane, the true new fontier in natural gas development. By Q1 of 2008 there will be better clarity around who owns these resources and can exploit them. I am forecasting that as the reserves of gas in storage are depleted and the clarity around resourse ownership are clarified that drilling is going to once again ramp up in Q1 2008 and continue seamless into 2009. The price of natual gas currently is $7.81 USD/MMbtu. I predict that this will climb over $10 in the next 18-24 months. This of course will cause our prices of natural gas delivery to our homes to increase. Locking in may not be a bad idea right now.

- I should add that this is a forward-looking statement and you cannot hold me to any of this if prices drop and you lock in

Veng68 · #2 05-04-2007, 11:40 PM

So Ant,

did you decide to lock in?

I am not sure what I will do.......... but these commission sales people are coming by a bit too often....... since May 1st I've had 4 people.

Cheers,
Vic [veng68]

andresont · #3 05-04-2007, 11:54 PM

This is what i dream about , getting off the grid.

Going Solar and wind energy. Hydro, Oil and Gas companies are just Faceless scum sucking parasites.
Apologies for whoever may be upset or opposed.

justinl · #4 05-05-2007, 12:03 AM

actually i agree. except for with hydro. hydro is actually a somewhat environmentally friendly source of energy. But it is overused, ill admit. i say somewhat because sticking dams all over the place destroys a LOT of habitat.

solar/wind is the best, but not in BC. not enough sun or wind. geothermal may be a good one? *shrug* don't know enough about it.

you know what's freakin hilarious though? translink is coming out (or have they already?) with hydrogen fueled buses. okay great, but where did teh hydrogen come from? oh... yeah... we got that out of... gas. so what was the damn point?!

digital-audiophile · #5 05-05-2007, 03:12 AM

I do agree even though oil and gas pays me. Its just that our world has become dependant of fossil fuels and it is hard to break the habit. I watched a great documentary last week called A Crude Awakening. Worth a watch indeed!

Justusfish · #6 05-05-2007, 05:52 AM

I have my hot water and heat for the house with geothermal that is composed of four 160 foot wells in my backyard that "extract" the heat from the earth below the frost line. Works like a charm, but still uses a bit of power to run the system. I'd LOVE to be completely off the grid, but that is years in the future, I imagine.

My power was out for three days in the snow storm and I was thankful the house had fireplaces as well or I would have frozen to death!!

Veng68 · #7 05-05-2007, 08:38 AM

Quote:

Originally Posted by Justusfish

I have my hot water and heat for the house with geothermal that is composed of four 160 foot wells in my backyard that "extract" the heat from the earth below the frost line. Works like a charm, but still uses a bit of power to run the system. I'd LOVE to be completely off the grid, but that is years in the future, I imagine.

My power was out for three days in the snow storm and I was thankful the house had fireplaces as well or I would have frozen to death!!

If you don't mind me asking........ did you install this in an existing house or did you build a house and have it built? Was it expensive to set up?

I'd love to have geothermal heating for the house and hot water.

Cheers,
Vic [veng68] South Van