Friday, January 15, 2010

Natural gas production dips

Natural gas production in the Rocky Mountain region's top gas-producing state declined in 2009 for the first time since 1997, helping push Wyoming into recession along with the rest of the country. Last year wasn't all doom and gloom for gas, since it was the second-biggest year for Wyoming gas volume on record. But the state leans heavily on its gas industry and the decline had a ripple effect. State revenue is down. Unemployment is up -- almost double the rate this time last year. And communities in gas-rich areas are struggling. Wyoming's annual natural gas production increased steadily from 1998 through 2008, nearly doubling in that time and bestowing the state with billion-dollar budget surpluses. Last year, the state produced about 2.1 trillion cubic feet of natural gas, down about 9 percent from 2008's record 2.3 trillion cubic feet, according to the Wyoming Oil and Gas Conservation Commission. The Wyoming office of the U.S. Bureau of Land Management reports that it processed 2,162 oil and gas drilling permits last year, down from 3,681 in 2008 and the lowest number since 2003...read more

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