The downturn in shale drilling will likely be costly for Ohio landowners hoping to cash in on Utica Shale royalties, says an energy researcher.
The drilling slowdown and low commodity prices are projected to cost Ohio landowners $6.5 billion in lost income over the next five years, said Maria Cortez of Houston-based Wood Mackenzie, an energy research company.
Cortez, speaking Wednesday at the Canton Chamber of Commerce’s day-long Utica Upstream conference, said the shale downturn will also cost the state of Ohio about $665 million in lost tax income over the five years.
Those losses could reach $12 billion for landowners and $2 billion for the state of Ohio over the next nine years, she told the audience of 110 people at the Pro Football Hall of Fame.The article goes on to mention that the demand may no longer exist to justify the construction of the NEXUS pipeline, meaning that project could be dead before it really got off the ground. Click here to continue reading.
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