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No. 76: Unconventional Gas: Producer Pickle or Consumer Curse

Author(s): Matthew Hulbert

Editor(s): Daniel Möckli

Series: CSS Analysis in Security Policy

Issue: 76

Publisher(s): Center for Security Studies, ETH Zurich

Publication Year: 2010


Gas producers have a problem. Demand is down and supply is up, largely thanks to breakthroughs in unconventional production across America. More output could potentially follow in Europe and Asia, threatening to turn the gas world on its head. But there is a catch: should this prove to be a false dawn for unconventional production either on cost or ecological grounds, then consumers are riding for a fall. Turning the screw on producers is easy in a lax market, but if fundamentals tighten, producers will assuredly take their vengeance.

 

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