Expectations shape how we see reality, and they are mighty big for Marcellus Shale gas. Pennsylvania gas production grew 26% in the first half of 2012, compared to the last six months of 2011. How does that strike you?
Robust growth is how I would describe that 26% production jump, and impressive since natural gas prices tumbled during the last 12 months. But the Post-Gazette headline writer labels it an "uptick."
Perhaps uptick sticks, because the growth rate of production slowed from 40% to 26%. But were we talking about stocks, electric rates, or just about anything other than Pennsylvania gas production a 26% increase would be seen as a big jump, a shocking increase, or a boom.
Pennsylvania produced 793 billion cubic feet of gas in the first 6 months, up from 631 billion cubic feet in the second half of 2011, and on course to produce at least 1.6 trillion cubic feet for all of 2012. Pennsylvania production alone is likely to account for 8% of America's gas and the Marcellus region 10%.
Pennsylvania now is in the big time of gas production by any measure!