A new study of Appalachian regions counting on shale gas to replace losses from the steel industry are seeing discouraging results that researchers say show an unlikely future for the field.
Challenges in pipeline construction to connect the region to areas where oil can be exported, along with a slowed increase in global demand for natural gas and even the war in Ukraine have contributed to the declines seen in the Ohio Valley, according to the OVRI. Researchers said the date demonstrates “a need for local and regional policy makers to explore new economic development strategies, particularly strategies associated with clean energy transition.”
The main issue comes from an U.S. EIA 2023 “energy outlook,” which found Appalachian natural gas production “likely peaked in 2022,” the ORVI said in citing the outlook.