U.S. Shale Gas Production Expected to Fall for First Time, Report Says

Natural gas production from all seven major shale formations in the U.S. is projected to drop next month for the first time since the shale gas boom began in earnest roughly a decade ago, according to an analysis from the U.S. Energy Information Administration. Major shale regions produced gas at a record-high rate of 45.6 billion cubic feet per day in May, but that rate is expected to drop to 44.9 billion cubic feet per day in September, the report says. It attributes the decline to existing, legacy wells becoming significantly less productive and a substantial drop in the number of drilling rigs in each of the seven major shale regions since September 2014. New wells are being established, the EIA notes, but they are not producing enough natural gas to offset expected declines from legacy wells.