RE:RE:RE:RE:RE:Rig counts continue to drop, Shale growth stallsGood discussions. I'd like to add that most of the world's population lives in abject poverty. As they rise out of poverty, they will consume more energy. But because they are poor, they will choose the cheapest source of energy*. Which in the future will be coal and oil (oil is already cheaper than the JKM ie LNG prices). So IMO, oil will be around for a long time. BUT like I said it may not be that profitable of a business for high cost producers.
Problem in Canada for natgas producers is and has been for years, egress - we can't get our natural gas to world markets - not only do our producers not get JKM (only TOU and ARX get some but its a drop in the bucket), but our local hub trades at a significant discount to US hubs.
* the only exception is China - they are no longer poor but they still choose the cheapest energy - coal.