Shale Benefits
Two new studies came out this month on the benefits of drilling the Marcellus Shale, according to this report from News Channel 34, Binghamton. The Business Council of New York State recently published a report from Petro Enterprises, Inc., a New Hampshire consulting firm, finding that the Marcellus and Utica shales will be more extensive and more prolific than the Barnett in production of natural gas for New York. More: "We project that New York State will experience an annual economic uplift of $92 billion from the Marcellus and Utica shale development," based on Petro's analysis of the Barnett Shale.
Also, Penn State University released a report entitled, The Economic Impacts of the Pennsylvania Marcellus Shale Natural Gas Play: An Update (May 24, 2010), finding that producers spent a total of $4.5 billion to develop Marcellus shale resources in 2009. "We estimate that this spending generated $3.9 billion in value added, $389 million in state and local tax revenues, and more than 44,000 jobs." Moreover, the study finds that producers plan to spend even more this year and next, generating over $8 billion in added value in 2010 and another $10 billion in 2011. "This higher economic activity generates almost $1.8 billion in additional state and local tax revenues during 2010 and 2011. Employment in the state expands by more than 88,000 jobs during 2010 and 2011."
Not bad.
