How could US fracking revolution fail? Sounds like a good idea for a Wikistrat simulation!

Okay, I'm being a smartass here.  We did that one months ago, and it was fascinating.  I brief bits in my current brief today, because so many audiences (especially financial groups) are hungry on the subject.

Along those lines, see this good bit from John Bussey in the WSJ, along with this nice map. 

Worth a read.  The caption on the graphic says it all:  combo of price, infrastructure and regulation - usual story on all energy.  I will just tell you that, given my recent exposure in this field (i.e., more direct than a simulation), you'd be amazed at the ambition here and who that ambition is attracting.

Of course, you look at a chart like this and it's not hard to see why that would be true.

Comments

[Jesse Parent]

More energy simulations? Why not. Although perhaps Libya and Egypt will present some new interests.

As far as US shale - there is so much hype in both directions about what good or bad will come from it. I'm sure some sort of a "perception bubble" will form, one way or another. How it pops and who is there to make the most of it will be something interesting to watch for.

[Aaron B. Brown]

It looks like fracking is here to stay, and will expand widely in the foreseeable future. The only question is can it be done in a manner that does not contaminate and destroy vast swath of the underground water table? So far we've seen that the current cocktail of various toxic chemicals has been revealed, now that companies can no longer keep it secret. I find myself wondering if anyone is doing any research on how to extract the gas in a manner that does not create such a high contamination risk. If it could be done with inert non-toxic substances, that would probably go a long way towards smoothing the way for all concerned.