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Location: Pantego, Texas, United States

Saturday, January 06, 2007

The city of Fort Worth and its suburbs are situated 6000 to 8000 feet above the Barnett Shale, a 1000-foot thick continuous tight-gas field. Technology, supported by income tax credits, has advanced so that the natural gas can now be extracted from the field. DFW airport recently sold rights for drilling under it for $10,000 per acre for a total of $181 million. Arlingon sold the rights to drill under Lake Arlington and the Lake Arlington golf course for $30 million. Fort Worth is now collecting royalties of $400,000 per month from the seven wells drilled so far. What will the cities in North Central Texas do with the "found" wealth? Will the money be spent on capital improvements, invested in a permanent fund to provide a perpetual stream of money, or poured into "social" programs. The debate is beginning.

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