Expect a "boom" from natural gas deposits

Thursday, October 06, 2011

Ohio’s Utica shale holds vast economic development potential

Cleveland, Ohio—Ohio may have struck gold—in the form of major shale deposits that contain natural gas beneath the eastern half of the state. Newer techniques and technologies for harvesting these deposits drive Utica shale possibilities to new heights. Hydraulic fracturing, the process of accessing gas using a high-pressure water solution, has been around since the mid-1900s.

Horizontal drilling is the real game-changer. Due to technical advances, after reaching the desired depth, drilling companies are now able to drill horizontally from the original well. Businesses and residents in Pennsylvania already are benefiting from this advancement. Industry experts anticipate the Utica shale in Ohio presents even more potential.

What does all this mean for Ohio? It's a little too early to tell, but we can look at our neighbor Pennsylvania for some indication. The gas industry invested $3.2 billion in Pennsylvania in 2008. This number is expected to be over $11 billion by the end of 2011, supporting more than 100,000 jobs in the state. Spending in the form of lease payments, exploration, drilling, and processing is expected for many years. Experts believe the chemical makeup of Ohio's Utica shale present additional opportunities and economic potential.

The Greater Cleveland Partnership will be involved in collaborative efforts to advance this opportunity as part of the Ohio Chamber Coalition.

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