…the county has seen a 53 percent increase in the number of wells in the past six years, but a 28 percent decrease in overall value.
Erm… Drill more gain less?
You have to read the article. Astounding!
About Sharon Wilson
Sharon Wilson is considered a leading citizen expert on the impacts of shale oil and gas extraction. She is the go-to person whether it’s top EPA officials from D.C., national and international news networks, or residents facing the shock of eminent domain and the devastating environmental effects of natural gas development in their backyards.
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“In other words, the county has seen a 53 percent increase in the number of wells in the past six years, but a 28 percent decrease in overall value. ”
House of cards, meet seismic activity.
You don’t think that our nations economy and high forclosure rate has anything to do with that.
Nope, nothing to do with minerals. Price of gas has something to do with it but it’s not the entire reason. The wells are depleting very quickly, much quicker than we thought they would.
The point was, industry promised massive increases in tax revenue. When you do the math, the ad valorem tax value of a gas well is about equal to that of a few standard single family homes. Even then, it dies down very quickly after first production, when the production curve is the most favorable. Homes provide taxable value for decades upon decades. Gas pads leave pockets of undevelopable land which will never again provide tax value to cities, school districts, or counties because by law, you cannot develop on an abadoned well (i.e. no development, no revenue). North Texas cannot drill its way out of the recession. This doesn’t even begin to address the drop in ad valorem values of having homes in the middle of an industrial zone.