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Shale Gas PR Problems Place Billions of Dollars of Project Spending at Risk


Industry Segment: Production | Word Count: 1014 Words

SUGAR LAND--February 24, 2011--Written by John Egan for Industrial Info Resources (Sugar Land, Texas)--Billions of dollars of planned spending for shale gas projects could be threatened by public relations initiatives mounted by those who oppose the development, industry speakers told a natural gas conference in Denver earlier this month.

Don McClure, vice president for Government Affairs, Stakeholder Relations & Legal at Encana Oil & Gas USA Incorporated, a subsidiary of Encana Corporation (NYSE:ECA) (Calgary, Alberta), said: "I spent 18 months climbing out of a hole in 2004-05, which is how I learned about companies' requiring a 'social license' to operate." At that time, subcontractors did a poor cementing job on some of Encana's gas wells near Rifle, Colorado, and gas bubbled out in local streams, he explained. The episode was featured in the documentary "Gasland," which is currently up for an Academy Award for best documentary. The movie claimed--incorrectly, McClure says--that the released gas was caused by the hydraulic fracturing process.

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