Salient to Investors:
4 of the biggest stakeholders in untapped deposits known as the Utica Shale in Ohio have put up all or part of their acreage for sale, as prices fall by a third in some cases. The flip-flop underscores the difficulties faced by even experienced drillers around the world in tapping the sedimentary rock. Occidental Petroleum was stymied by the Monterey Shale’s fault-riddled terrain in California, Exxon stopped drilling in Poland because shale output was minimal, Cnooc and China Petrochemical have had to seek expertise in North America after failures in China.
Jeff Daniels at Ohio State says the number of drilling rigs in the Utica has risen year over year, indicating that producers still see value in the field despite the lack of oil, and says we have a lot to learn about producing from these shales.
Read the full article at http://www.bloomberg.com/news/2013-04-15/ohio-s-500-billion-oil-dream-fades-as-utica-turns-gassy.html
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