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The U.S. Geologic Survey (USGS) recently surprised observers by issuing a new Marcellus Shale estimate of 84 trillion cu ft (TCF), one fifth the estimate published in March by the U.S. Department of Energy (DOE). By way of an explanation, Survey staff characterized their estimate as "undiscovered technically recoverable", which they define as accessible by current technologies. With continuing advancements in horizontal drilling, seismic monitoring while drilling, and hydrofracturing in general, one wonders if "technically recoverable" is a moving target. More importantly, recoverable reserves drive energy company valuations. Is it time for the USGS and DOE to join forces and speak with one mind?
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