Oil prices have been failing and the economy is in a recession but Fortuna Energy is spending at least $160 million to develop infrastructure to drill up to 40 natural gas wells in Bradford County, Pa., pressconnects.com reports.
The plans are part of a pilot project to test the potential of the reserve south of New York’s border. New York is on hold while the state wrangles over industry regulations.
The company’s large investment shows growing confidence in the potential of the Marcellus to become a domestic energy source. But how the project develops depends on the outcome of public debates over its economic promises and its environmental impact.