Record-low shale gas prices prompt writedowns

With natural-gas prices reaching a 10-year low this year, energy companies are “at risk of writing off billions of dollars of assets following a bubble in U.S. shale-gas acreage,” Bloomberg Businessweek reports. BG Group Plc wrote down $1.3 billion “on its U.S. shale fields;” Encana wrote down $1.7 billion “on its North American assets;” Exco Resources Inc. and Quicksilver Resources Inc. wrote down $276 million and $63 million on their assets, respectively; and Noble Energy Inc. “recorded impairment charges of $73 million on its U.S. assets in the second quarter mainly because of lower prices,” the article said. For more, read the full story here.

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