CONSOL Energy Inc. (CNX), Chesapeake Energy Corporation (CHK): West Virginia, Hoping for a Positive Fracking Outcome

How this could affect your investments
Despite this opposition, it looks unlikely that the feds will decide not to enforce their own rules on federal lands. This could cause increased costs for meeting standards, as well as longer waits for drilling permits to be issued.

Between 2010 and 2012, the overall output of natural gas from the state grew by an impressive 82%. The four top producers of natural gas in West Virginia broke down like this:

Source: West Virginia Geological & Economic Survey, via www.frackcheckwv.net. *Through Exxon subsidiary XTO Energy

If federal rules—or even tighter state rules—were to make drilling more costly or time intensive, it would obviously have an effect the operations of these companies. It is unlikely, however, given the geographical diversity and scope of these companies, that any tightening of regulations would be a deathblow to operations. Instead, it is the smaller, independent operators who lack deep pockets who could be most negatively affected.

The article West Virginia, Hoping for a Positive Fracking Outcome originally appeared on Fool.com and is written by Brian Stoffel.

Fool contributor Brian Stoffel has no position in any stocks mentioned. The Motley Fool has the following options: long January 2014 $30 calls on Chesapeake Energy. 

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