New York state to ban fracking over health fears. Industry crashing worldwide.

It’s not only health fears that are afflicting the industry (see below).  Energy prices are diving, with share prices of development companies diving faster.  See IGAS on the London market, crashing from £1.50 to 25p in six months.  Are they going bust, as the world wakes up to the fact that no one wants fracking in populated areas.  Yet nearly all political parties say they want Britain to be fracked across both highly populated and less populated areas.

New York

Shale gas development using high-volume hydraulic fracturing carries unacceptable risks that haven’t been sufficiently studied, officials say

Environmental Commissioner Joe Martens said he is recommending a ban. Governor Andrew Cuomo said he is deferring to Mr Martens and Acting Health Commissioner Howard Zucker in making the decision.

“I cannot support high-volume hydraulic fracturing in the great state of New York,” Mr Zucker said, adding that the “cumulative concerns” about fracking “give me reason to pause”.

Mr Zucker and Mr Martens summarised the findings of their environmental and health reviews. They concluded that shale gas development using high-volume hydraulic fracturing carried unacceptable risks that haven’t been sufficiently studied.

Mr Martens says the Department of Environmental Conservation will put out a final environmental impact statement early next year, and after that he’ll issue an order prohibiting fracking.

Environmental Commissioner Joe Martens said he is recommending a ban. Governor Andrew Cuomo said he is deferring to Mr Martens and Acting Health Commissioner Howard Zucker in making the decision.

“I cannot support high-volume hydraulic fracturing in the great state of New York,” Mr Zucker said, adding that the “cumulative concerns” about fracking “give me reason to pause”.

Mr Zucker and Mr Martens summarised the findings of their environmental and health reviews. They concluded that shale gas development using high-volume hydraulic fracturing carried unacceptable risks that haven’t been sufficiently studied.

Mr Martens says the Department of Environmental Conservation will put out a final environmental impact statement early next year, and after that he’ll issue an order prohibiting fracking.

http://www.telegraph.co.uk/finance/newsbysector/energy/oilandgas/11300013/New-York-state-to-ban-fracking-over-health-fears.html

Fracking health impacts – growing body of evidence

A growing body of evidence shows that people both near and far from oil and gas drilling are exposed to fracking-related air pollution that can cause at least five major types of health impacts, according to a new comprehensive analysis of scientific studies to-date by the Natural Resources Defense Council.  The health impacts include respiratory problems, birth defects, blood disorders, cancer and nervous system impacts, raising serious concerns for workers and people living closest to wells, as well as entire regions with high volumes of oil and gas activity.

“The health risks from fracking are not limited to what’s in our drinking water—oil and gas operations are also poisoning the air we breathe,” said NRDC senior scientist Miriam Rotkin-Ellman. “While industry continues to try to sweep the impacts of fracking under a rug, the science keeps revealing serious health threats—for workers, families living nearby and entire regions with heavy oil and gas activity.”

http://www.enn.com/health/article/48103?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+EnvironmentalNewsNetwork+%28Environmental+News+Network%29

IGAS share price chart shows dramatic collapse June to December 2014.  Today’s price 25p.

ObjectChart

Great Unwind of Oil-and-Gas Junk Bonds to Defund Fracking Boom

The below-investment-grade bonds these risky companies issued with enormous hoopla and hype to fund the shale revolution and offshore drilling projects, lovingly dubbed “junk bonds,” had been sold to investors on the premise that oil would sell for ever increasing prices in the future, with the understanding that this might allow the company to make interest payments on time and raise new debt to pay off the old debt when it matures.

Even the still uncertain economics of fracking – the expense of drilling coupled with the horrendous decline rates – or the potential environmental consequences and subsequent backlash were elegantly shrugged off on Wall Street, given the ever increasing price of oil.

And investors loved the slightly higher yields these bonds offered in an era when the Fed and other central banks have conspired to expunge yield from the system with the express purpose of pushing investors ever further out into riskier and riskier bets. Investors, driven to near insanity by these central-bank policies, went for the junk bonds with gusto, and it turned into a feeding frenzy that pushed yields down even further, encouraging companies to issue more and more junk at lower and lower yields.

Now the price of oil has plunged by nearly half. None of the equations work any longer. Sure, oil companies have hedged some of their production at much higher prices, and few are fully exposed, at least not yet, to the wrath of the oil-price collapse. But some of their production is already exposed, and in the future more and more of their production will be exposed.

http://www.zerohedge.com/news/2014-12-16/great-unwind-oil-and-gas-junk-bonds-defund-fracking

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