Shale Crescent USA has the Lowest Natural Gas Prices in the Developed World
Natural gas prices in the United States have declined dramatically over the last several years compared to prices in Europe and Asia. Natural gas prices in the states of Ohio, West Virginia and Pennsylvania have declined even further. The wellhead prices in these three states are represented by the Dominion Appalachian Index prices. The Dominion Appalachian Index price has declined more than the Henry Hub prices in Louisiana because most of the growth in natural gas production in the United States is from the Utica and Marcellus Shales located in Ohio, West Virginia and Pennsylvania.
Graph Source: BP Statistical Review of World Energy 2016 PDF, EIA, and Direct Energy
Local natural gas prices have declined 60% in the last five years
The Dominion Appalachian index prices represent the wellhead prices for many wells in the Utica and Marcellus Shales in the states of Ohio, West Virginia and Pennsylvania. The prices have steadily declined since the first shale wells were drilled 10 years ago as a result of dramatic increases in natural gas supplies.
EIA & Direct Energy
London School of Economics discusses the advantages to US Manufacturing resulting from Shale plays.
Low natural gas prices make United States manufacturing costs competitive with China.