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Wed September 19, 2007
Governor calls the price of natural gas appalling
By Peter O'Dowd
Laramie, WY – Governor Dave Freudenthal says the price of Wyoming's natural gas is appalling. In a press conference Tuesday, he said there is a six-dollar spread between Wyoming gas and gas sold in other parts of the country. The governor and analysts say the Rockies Express pipeline will boost prices for a while once it comes online early next year. But the governor says it won't take long before that pipeline is full, and prices lag once again. Freudenthal says gas companies need to solve the problem.
"The long-term fix is to try to get the (gas) companies to subscribe to space in the pipleines so the pipeline companies will build them earlier," the governor says. "To some degree they are victims of their own success. They are drilling more gas then they can get out."
Freudenthal says Wyoming natural gas production came on far faster than anyone envisioned, which contributed to the low prices.