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[...] are banding together to oppose the recommendations of the city?s natural gas drilling task force. More from: http://dfw.cbslocal.com/2012/0… Filed under Uncategorized | Leave a [...]

The Task Force was a Task Farce! It reached concensus on setbacks, continuing the current ban on drilling in parks and floodplains and several other major issues, then on the last day reveresed themselves to recommend weakening the current ordinance as they catered to the oil and gas industry.

There is a major glut of natural gas in the pipelines already. natural gas is selling for less than one third its breakeven cost. Companies are building terminals on the west and gulf coasts to liquify and export our natural gas to Europe and Asia while claiming that more drilling will “free us from foreign energy dependency.”

Many wells are now being drilled and then shut in because the wellhead price is too low for profitability, which means that no royalty income is being derived by mineral owners. Signing bonus money is now a fraction of what it was just two years ago. The whole economic plan of natural gas production is a fraud meant to lure investors and sell companies before the buyers become aware of how badly they got duped by their own greed.

To quote Chesapeake Energy CEO Aubrey McClendon, “I can assure you that buying leases for x and selling them for 5x or 10x is a lot more profitable than trying to produce gas at $5 or $6 per million cubic feet.” Actually, gas sells in units of THOUSAND cubit feet, not million cubic feet. One would think the head of the second largest gas company in America would know that!

It appears that the City of Dallas Task Force is much like Fort Worth’s past Ordinance Task Forces cow towing to Industry demands for variances and reduced setbacks. I presented to this TF early on with a clear measage to NOT write and Orsinance that resembles Fort Worth’s. We still DO NOT HAVE IT RIGHT. In fact Cowtown Cow Towed to BIG gas operators and will suffer it’s due fate. BTW note Fort WOrth has already decreased it’s potential revenue from all this by almost 40 % . 1.3 billion over 20 years is now estimated at 667 million. As city estimates usually are and knowing our city’s perchance for not speaking out in any way to deter this activity that loss of revenue is probably underestimated also. Where is the balance? The total estimated revenue is not enough to even repair the already damaged streets in Fort Worth never mind what we will face in 20 years of Gas Industrialization. Dallas I apeal to your judgement. IT IS JUST NOT WORTH IT ! DO NOT copy the Fort Worth Way .