Breitling Oil and Gas Morning Podcast #189 11-12-12

Texas natural gas production in September lost nearly $1 billion in value compared to a year
earlier, as the natural gas price fell and producers turned their attention to higher-priced crude
oil, according to a monthly report on state energy production.

The state produced $1.5 billion in natural gas last month, a 40 percent decline from the value of
natural gas extracted in September 2011, according to the Texas Alliance of Energy Producers.

The analysis showed a general decline in energy industry activity in Texas, as the rig count fell,
drilling slowed, and hiring moderated.

I do not think thnis plateau is in no way a ‘crash,’” At mid-year, even though crude prices were
recovering from an unexpected $30-per-barrel dip in the second quarter, we speculated that
aggregate activity levels might well cool a bit over the balance of the year.

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