US Natural Gas Potential (Updated Study)

The Potential Gas Committee (PGC), an incorporated, nonprofit organization, consists of knowledgeable and highly experienced volunteer members who work in the natural gas exploration, production and transportation industries and in the field and technical services and consulting sectors. Although the Committee functions independently, the Potential Gas Agency at the Colorado School of Mines provides the Committee with guidance, technical assistance, training and administrative support, and assists in member recruitment. Every two years the PGC puts out their assessment of the potential natural gas resources of the United States.

In June of this year, the PGC released the results of its latest biennial assessment of the nation’s natural gas resources. The new 2008 PGC estimate of potential natural gas resources of 1,836 Trillion cubic feet (Tcf), is a 516 Tcf (or 39 percent) increase over their 2006 estimate. This is the highest resource evaluation in the Committee’s 44-year history. Most of the increase from the previous assessment arose from reevaluation of shale-gas plays in the Appalachian basin and in the Mid-Continent, Gulf Coast and Rocky Mountain areas. When the PGC’s results are combined with the U.S. Department of Energy’s latest available determination of proved gas reserves, 238 Tcf as of year-end 2007, the United States has a total available future supply of 2,074 Tcf, an increase of 542 Tcf over the previous evaluation.

Commentary -  Since I was a member of this Committee several years ago I can assure you that the committee does a creditable job in assessing our natural gas resources. If you dig deeper into their report you will find that Shale gas now comprises 616 Tcf or 34% of the potential gas resources. Dr. John B. Curtis, Professor of Geology and Geological Engineering at the Colorado School of Mines and Director of the Potential Gas Agency said “our present assessment demonstrates an exceptionally strong and optimistic gas supply picture for the nation.”