S&P 500
7,226.20
+0.01%
Dow Jones
49,494.60
-0.62%
Nasdaq 100
27,685.40
+0.66%
Russell 2000
2,804.78
-0.02%
FTSE 100
10,364.50
0.00%
Nikkei 225
59,260.50
-0.78%

Commodities & Metals

The Legacy of Fracking Pioneer George Mitchell

Photo of Paul Ausick
By Paul Ausick Updated Published
Follow 24/7 Wall St. on Google
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Drilling rig
Thinkstock
Although the technique known as hydraulic fracturing was first tried in the 1950s, it did not become popular (read, “economic”) until a small company called Mitchell Energy & Development Corp. applied the technique to tight gas deposits around the Dallas-Fort Worth metropolitan area in the late 1990s. That’s when Mitchell Energy began fracking (then spelled, “fracing”) wells in the Barnett Shale and producing natural gas that was economically viable.

The founder and CEO of the company, George Mitchell, died last week at the age of 94 of natural causes. Mitchell sold his company to Devon Energy Corp. (NYSE: DVN) for $3.5 billion in 2002. The rest, as they say, is history.

More precisely, the still-controversial fracking technique, which is now applied to oil deposits as well, has changed the face of the energy industry. The United States is producing more crude oil now than it has in more than 20 years. There are even some projections that the United States may overtake Saudi Arabia or Russia as the world’s largest producer. “Saudi America” is the outcome of Mitchell’s first experiments with fracking, and one does not need to be an oilman to be impressed with his impact on world energy.

Mitchell also signed the Giving Pledge sponsored by Warren Buffett and Bill and Melinda Gates, indicating his intention to leave the bulk of his personal fortune of an estimated $2 billion to charity.

Photo of Paul Ausick
About the Author Paul Ausick →

Paul Ausick has been writing for a673b.bigscoots-temp.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.

He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.

Continue Reading

France’s Total Takes Over Barnett Shale Following Chesapeake Exit
Paul Ausick |

France’s Total Takes Over Barnett Shale Following Chesapeake Exit

Total announced Friday that it has exercised its preemption right to acquire all of the 75% interests it jointly owned…
Paul Ausick |

24/7 Wall St. Guide to Fracking

Like many technological advancements, hydraulic fracturing of oil and gas wells, or fracking, had been essentially sitting on a shelf…
Jon C. Ogg |

The Haynesville Shale: Major Opportunity & Risk (CHK, ECA, HK, EOG, XOM, DVN, XCO, FST, PXP, EP, COG, SM, GDP, CRK, CLR, DCP, KMP, ETP)

US shale gas deposits were known to have existed for decades. The problem was how to turn them into flowing…
Douglas A. McIntyre |

Shale Gas Producers Could Face Financial Pressure (XOM, CHK, HK, RRC, XCO, SM, HAL, SLB)

The land rush to acquire and develop shale gas deposits remains as competitive as ever. But the way that the…
Lee Jackson |

Merrill Lynch Has Top Stocks to Buy That Will Win in the Fracking Revolution

ThinkstockA decade ago, if someone said the word “fracking” in front of their mother, they might have gotten their mouth…
Paul Ausick |

There Are Still Great Values at Independent Oil E&P Companies

ThinkstockGlobal oil markets never seem to sit still. Crude oil prices, of course, vary minute by minute nearly 24-hours a…
Paul Ausick |

Oil and Gas Outlook 2013: Costs Could Put Upward Pressure on Prices

thinkstockLooking back on 2012, it is hard to discern the biggest story in the oil and gas sector. The reshuffling…
Could Oil Fall to $40 a Barrel — or Even Less?
Paul Ausick |

Could Oil Fall to $40 a Barrel — or Even Less?

Crude oil production break-even costs in the Bakken shale play now average less than $40 a barrel. That could mean…
Paul Ausick |

Massive LNG Projects Get More Expensive (XOM, RDS-A, CVX, BHP, CHK, COP, BP, TRP, CQP)

thinkstockAustralia has been a center of development for liquefied natural gas (LNG) development for several years now, and the first…

Top Gaining Stocks

Cboe Global Markets
CBOE • Vol: 1,568,143
New Pluto Global
PSKY • Vol: 12,285,993
Seagate Technology
STX • Vol: 7,378,346
Oracle
ORCL • Vol: 26,317,675
Datadog
DDOG • Vol: 6,247,779

Top Losing Stocks

LKQ
LKQ • Vol: 4,367,433
Clorox
CLX • Vol: 13,260,523
Stryker
SYK • Vol: 4,519,455
Mohawk Industries
MHK • Vol: 1,859,865
Amgen
AMGN • Vol: 3,818,618