Study projects total 2011 economic impact of Marcellus could exceed $12 billion

Study projects total 2011 economic impact of Marcellus could exceed $12 billion

The Pennsylvania Marcellus Natural Gas Industry: Status, Economic Impact, and Future Potential,” a study conducted by researchers at Pennsylvania State University and commissioned by the Marcellus Shale Coalition (MSC) projects some startling figures for Pennsylvania: that the total 2010 economic impact of Marcellus could exceed $12 billion, PA consumer savings topped $633 million in 2010, and that by 2020 Marcellus Shale could lead the nation in production.

The study projects that Pennsylvania’s Marcellus Shale has the potential to produce 17.5 billion cubic feet of natural gas per day (6.4 trillion cubic feet annually) – representing nearly one-quarter of America’s annual natural gas production in 2020, according to U.S. Department of Energy estimates. In 2011, Pennsylvania could produce nearly 3.5 billion cubic feet per day of natural gas, making the Commonwealth a net exporter of natural gas right now. This development could support more than 156,000 jobs and generate $12.8 billion in economic activity in Pennsylvania alone. By 2020, according to the study, Marcellus development could support 256,420 jobs and generate $20 billion in added value to Pennsylvania’s economy.


  • During 2010, the Pennsylvania Marcellus Shale natural gas industry triggered $11.2 billion in economic activity, generated $1.1 billion in state and local taxes, and supported nearly 140,000 jobs.
  • The Pennsylvania Marcellus industry is projected to generate more than $12.8 billion in economic activity in 2011, leading to more than $1.2 billion in state and local taxes and supporting more than 156,000 jobs.
  • As a result of Pennsylvania Marcellus production, residential electricity and natural gas bills across the Commonwealth are $245.1 million lower [$217.4 million from lower natural gas bills and another $27.7 million from lower electricity bills].
  • In 2010 alone, natural gas companies paid over $1.6 billion in lease and bonus payments to Pennsylvania landowners.
  • By 2015, Pennsylvania’s Marcellus Shale could produce more than 12 billion cubic feet per day, second only to Texas in natural gas production.
  • Marcellus Shale natural gas production could reach 17 billion cubic feet per day in 2020, potentially allowing the Marcellus to become the single largest producing gas field in the United States, if real natural gas prices do not fall significantly.




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