Ithaca Blog

Tuesday, November 09, 2010

Chevron Spends $4 Billion For Shot at Hydro-Fracking

The Chevron Corporation has purchased the Atlas Energy company of Pennsylvania to obtain a stake in the natural gas fields of Pennsylvania and New York.

The deal is worth over $4 billion in stocks and cash.

The gas fields in Pennsylvania, New York, and elsewhere in the eastern U.S. have only recently become accessible, through a controversial process called hydro-fracking, which pumps toxic chemicals into the ground to free the gas.

Concerns for water safety have led to popular and political opposition to hydro-fracking, including calls for outright bans.

Chevron, ExxonMobil, and other corporations are spending billions for the chance to drill even though the price of natural gas, and the demand for it, are low.

Opponents to hydro-fracking say that citizen protest can add to the cost of operation, and derail potential profits. In Ithaca, the Shaleshock organization is a leading voice of opposition:

Stephen Burke
for Ithaca NY Blog

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