Jim Rogers on why Shale Oil and Gas is not a long term benefit for the US
I would urge people to go out and see what’s happening in the field. Yes, it was all very exciting in the beginning. But now we’re finding out that those wells are very short-life wells. Production dropped by 40 to 60 percent in the first year, and the demand for rigs to drill in the shale fields is down 75 percent in the last couple of years. The demand for pumps is down 50 percent.
So it’s not as much fun as we’d hope it would be. In some countries such as Poland, people have given up their shale leases, because they’ve realized it’s just not so simple. I read all the hype, but again I’d urge people to go into the fields and see what’s actually happened, rather than reading what journalists hype.
