Oil production, demand together determine prices
BY ADAM WILMOTH NewsOK.com
Sunday, October 07, 2012
10/07/12 at 3:36 AM
Improved technology and drilling methods have allowed the country's natural gas producers over the past five years to flood the market with record natural gas volumes.
As a result, natural gas prices plummeted and the industry has all but abandoned areas rich in dry natural gas.
Now producers are targeting oil, leading some industry observers to warn about a similar result.
"Throughout most of our lifetimes, we have been accustomed to look at the United States as a mature oil province," said Pavel Molchanov, an analyst for Raymond James Equity Capital Markets in Houston. "The fact that we have dramatically turned the corner to where the U.S. added more supply than any other country over the past three years is a rather remarkable historic fact."
Click here to read the complete article at NewsOK.com.
Original Print Headline: Oil production, demand set prices