About the Haynesville Shale

Located in northwest Louisiana and East Texas, the Haynesville Shale has become one of the most prolific, although under-utilized, natural gas formations in the United States.  Some experts estimated the Haynesville to have more than 35 trillion cubic feet of natural gas hidden in the shale formation.  Unfortunately, the mineral rights, and prospective royalty payments, have not performed anywhere near expectations as rig counts are declining along with production.

Haynesville Shale Activities

Low gas prices and the discovery and development of larger, more economically viable natural gas shale plays have hurt the Haynesville Shale.  Current production is slowing, and experts expect oil and gas companies to hold their leases by production, but nothing more.  This means there will likely be only one natural gas well on each property.  Producing interests will likely decline significantly in the coming years. The expected decline rates based on historical production show that Haynesville wells decline as much as 82% in the first year alone.  It is likely that the Haynesville will not be aggressively drilled again except to hold leases or satisfy a significantly higher demand for natural gas.