I’m often asked my opinion on what the prices of oil or natural gas are going to do. My answer is always the same: nobody knows what the price of these commodities is going to do six months. Or even tomorrow, for that matter.
But here’s what we do know: Texas has an amazing volume of both commodities underneath its soil in various shale formations around the state. From the Barnett Shale in north Texas, to the Eagle Ford Shale in South Texas, to the Cline and Wolfcamp Shales in West Texas’s Permian Basin – Texas is swimming in recently-discovered oil and natural gas reservoirs. So abundant are the resources in the Lone Star State that as of today there were 843 oil and natural gas drilling rigs operating in Texas, representing an amazing 48% of all the rigs operating in the United States.