Posted: Jun 18, 2012 4:52 PM by Melissa Anderson - MTN News
Updated: Jun 18, 2012 10:05 PM
HELENA- Filings from Northwestern Energy show Montanans using natural gas to heat their homes should see about a $50-per-year break on their fuel bills.
Northwestern Energy's report to the Public Service Commission showed supply costs are down, largely because of the rise in "fracking" mining previously unobtainable natural gas reserves.
Many natural gas plants are converting to export the product overseas.
"You mainly see these plays happening in the Rocky Mountain West, in Ohio, Pennsylvania as well as in oil fields where there's a lot of associated natural gas being produced," said Montana Public Service Commissioner Travis Kavulla.
"But it has driven down prices dramatically. Prices are so low in some respects that they are getting to a point where it's hard to make a profit drilling for natural gas," he added.
The projected price over the next year averages 39 cents per therm, down from 51 cents last July, and from 90 cents back in 2008.